Asia Energy PLC
20 March 2006
Asia Energy announces plans to list on the Stock Exchange in Bangladesh
Dhaka, 20 March 2006 - Asia Energy ('the Company'), which is developing the
Phulbari Coal Project ('the Project') in Northwest Bangladesh, today announced
that it is planning to list on the stock exchange in Bangladesh.
The Company said it had signed a Letter of Intent with Equity Partners Limited,
('EPL') a majority foreign owned local merchant bank, for an initial public
offering later this year as part of the Company's Phulbari Coal Project funding.
The local listing will take place as soon as practical following the Project
approval by the Government of Bangladesh ('GoB') the Company said.
'This decision is part of Asia Energy's commitment to giving investors in
Bangladesh an opportunity to share in this major development project,' said Mr
Gary Lye, CEO of Asia Energy Corporation (Bangladesh) Pty Ltd. 'It is also a
measure of our long-term commitment to Bangladesh.'
Asia Energy, which operates in Bangladesh under an existing contract with the
GoB, is in the final stages of Project approval and financing for its planned 15
million tonnes per annum open pit coal mine at Phulbari, in the Dinajpur
District.
It has established a resource of 572 million tonnes of high quality thermal and
semi-soft coking coal in the Phulbari coal basin, and is waiting for GoB
approval of its Scheme of Development for the mine in line with its contract.
Plans for the mine were given Environmental Clearance by the GoB in September
2005.
Pre-mining activity is scheduled to start immediately following Project approval
with first coal expected in late 2008 and production then increasing rapidly to
15 million tonnes per annum by 2013. The Company is also proposing to build a
500MW power plant at the mine site.
The Company expects that some 3 million tonnes of coal per annum will remain in
Bangladesh for industrial and power uses. Expressions of interest for the
marketing and distribution of this coal into the local economy will be sought
shortly after Government approvals. Local construction contracts will also be
sought for the significant infrastructure required for the Project and related
community housing and services.
Shares in Asia Energy PLC are quoted on the London Stock Exchange's Alternative
Investment Market ('AIM'). Leading London based advisors for Asia Energy are JP
Morgan Cazenove and Barclays Capital.
Equity Partners Limited is a full service merchant Bank licensed by the
Bangladesh Securities Exchange Commission. EPL has been responsible for the
listings of Lafarge Surma Cement Limited, currently the largest company by
market capitalisation in Bangladesh, and several other successful listings and
advisory mandates, including the cross-border acquisitions in Bangladesh by
Mumbai-stock exchange listed Marico Industries Limited. EPL was also recently
appointed one of the major local partners of German Development Company (DEG) to
identify new business opportunities in Bangladesh.
For further information
Steve Bywater, Chief Executive (London) Justine Howarth, Cathy Malins
Tel: +44 (0) 20 7079 1798 Parkgreen Communications
Fax: +44 (0) 20 7491 2758 Tel: +44 (0) 207 493 3713
cathy.malins@parkgreenmedia.com
Gary Lye, Chief Operating Officer:(Bangladesh) justine.howarth@parkgreenmedia.com
Tel:+88 0173016704
info@asia-energy.com
This information is provided by RNS
The company news service from the London Stock Exchange