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Gulf Manganese (ASX:GMC) provided shareholders with an update on the company’s quarterly activities ending in June 2015.
Gulf Manganese (ASX:GMC) provided shareholders with an update on the company’s quarterly activities ending in June 2015. In this quarter, the Company’s 98% owned subsidiary received its Foreign Investment Principle Licence from the Investment Coordinating Board (BKPM) of the Indonesian Government, enabling Gulf Manganese to seek permits to operate within Indonesia as a foreign investment group. This quarter, the Company also entered into an agreement with a South African group, Sigur Holdings Inc, to subscribe to $500,000 of convertible notes and then ultimately to provide a US $10,000,000 project funding package. Despite continued written assurances from Sigur and due to subsequent delays the directors concluded this group are in default; the directors have decided to undertake a financing for short term working capital. Gulf Manganese also reported that this quarter, the Timor Smelter Study Report was released, showing the potential to return an EBITDA of US $374.7 million over a 10 year period supporting an estimated Net Present Value of US $ 160.6 million using an 8% discount factor.
As quoted in the press release:
PT Gulf Mangan Grup
During the quarter the company’s 98% owned subsidiary received its Foreign Investment Principle Licence from the Investment Coordinating Board (BKPM) of the Indonesian
Government.
Capital Raising
… It is proposed to offer up to 95,000,000 shares as placement shares and shareholder shares. Full details will be forwarded shortly in a Notice of Meeting to shareholders.
Gulf continues with the strategy of seeking a Cornerstone Investor prior to a Singapore Listing of the subsidiary International Manganese Group Limited.
Smelter Study
During the quarter the company released the Timor Smelter Study Report.
The study shows that the project has the potential to return an EBITDA of US $374.7 million over a 10 year period supporting an estimated Net Present Value of US $ 160.6 million using an 8% discount factor.
… A full copy of the study is on the website www.gulfmanganese.com
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