Mainboard-listed PSL Holdings, the foundation-engineering specialist, says it plans to invest in Indonesia’s coal-mining industry, given its good growth potential and the positive outlook of the energy sector.
The investment will be made through unit PSL Energy Resources which has inked two agreements, namely, an Exchangeable Loan Agreement (ELA) and a Fee Agreement (FA) with Indonesian businessman Charles Antonny Melati to invest in Sindo Resources.
Based on the loan agreement, PSL Energy will grant an exchangeable loan of up to US$2,998,846 ($3.7 million) to fund Melati’s acquisition of the shares in PT Bubuhan Multi Sejahtera (BMS).
The loan will subsequently be exchanged for 11.5% of new shares in Sindo Resources that will be owned by Melati representing an aggregate of 65% of the total enlarged share capital of Sindo Resources.
PSL Holdings says the entire loan agreement is conditional on the existence of at least 25 million metric tonnes of coal reserves which BMS will be able to mine on those mining areas over which it has obtained mining rights.
No comments:
Post a Comment