Continental Coal still seeking recapitalisation solution
JOHANNESBURG (miningweekly.com) – Dual-listed Continental Coal’s shares remained suspended from trading on the Aim and ASX on Wednesday as the company was still “endeavouring” to complete a recapitalisation that would allow it to settle its convertible notes, which were maturing from November 2013 until February 2014, as well as commitments to other creditors.
Continental Coal stated that, while it had been in active discussions with the holders of convertible notes, other creditors, royalty holders and various investor groups in relation to a comprehensive recapitalisation of the company, no restructuring or refinancing arrangements that were acceptable to all parties had been agreed on yet.
The company noted that its financial position had been negatively affected by the production impact of the availability of continuous miners at its Penumbra operation, in South Africa’s Mpumalanga province.
“While the production will be augmented by the implementation of an additional conventional drill and blast production section, the ramp up of production from this is expected to take several months, placing additional pressure on the company's working capital requirements,” the coal miner explained.
Should no acceptable restructuring or refinancing arrangement be agreed in the near term, the company said the appointment of a voluntary administrator to the company in Australia could be necessary, as it would have insufficient funds to meet the repayment obligations on the convertible notes and other creditors.
Continental Coal stated that it expected to be able to make a further announcement on this matter by January 13.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Showroom
Developed to exceed the latest EN 15964 standards for police breathalysers proving that it will remain accurate and reliable for many years to come.
VISIT SHOWROOM
As a reticulator, Egoli Gas provides natural gas to homes and businesses via underground pipes.
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
