LONDON, Feb 12, 2007 (MARKET WIRE via COMTEX) -- KAL Energy, Inc. (OTCBB: KALG) is pleased to announce that the acquisition of Thatcher Mining Pte Ltd. "Thatcher," has closed. The company will issue 32,000,000 restricted shares for 100% of "Thatcher" which has the rights to two large coal properties situated near the Mahakam River in North Eastern Kalimantan, Indonesia. The company has also completed a private placement and has received a total of $3,523,000 USD and will issue 17,615,000 restricted shares to the private placement investors. These funds are for working capital and for work programs planned on its coal properties.
"KALG" to date has advanced to "Thatcher" $190,000 for property payments and an additional $425,000 as deposits on the initial work programs.
KAL Energy has secured the rights to an estimated 192+ Million Tons of Thermal Coal. (Not NI-43-101/JORC compliant).
The product has very low sulphur, very low ash content– suited for electricity generation.
Customers for this product have been identified, with 200k tonnes of production planned to commence in 2nd Half 2007, scaling to 5Million tonnes (Mt) /yr within 4 years, and a long-term production of 15Mt/yr.
The resource location provides for low-cost logistics and re-use of existing infrastructure, via river barging.
A seasoned management team has been recruited to ensure successful execution.
Posts: 433 | Registered: Jun 2004
| IP: Logged |
posted
no clue....this PR today was titled "KAL Energy, Inc. Raises $3,523,000" BUT if you read lower into it it is also to announce that the aquisition is closed... "is pleased to announce that the acquisition of Thatcher Mining Pte Ltd. "Thatcher," has closed"
I think that the market doesn't realize the deal as the title didn't turn heads
No clue on value but KALG now is a prodicer of coal.... 200,000 tonnes of coal planned to be produced in the 2nd half of 2007 and in 4 years to 5 million tonnes!
"200k tonnes of production planned to commence in 2nd Half 2007, scaling to 5Million tonnes (Mt) /yr within 4 years, and a long-term production of 15Mt/yr"
Posts: 433 | Registered: Jun 2004
| IP: Logged |
I think it'll be an interesting morning, not because he's pumping this now, but exactly as you guys discussed above....no body seems to know about this deal and the stock in general.
The company estimates that in the second half of 2007 they will obtain 200,000 tons of coal at $30 per ton giving around 6 mil in revenue, with somewhere between 46 million and 50 million outstading shares (per otcbb and etrade, respectively) they're looking at 0.12 per share and are currently trading at about 1.3 or only 10 times earnings...
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
