Straits to buy S'pore firm<\/p>\n
SYDNEY (Reuter): Gold and copper miner Straits Resources Ltd
\nsaid yesterday it had agreed to buy Singapore's Straits Sebuku
\nPte Ltd for US$20.6 million.<\/p>\n
Straits Sebuku owns large coal interests in Indonesia, the
\ncompany said.<\/p>\n
Straits Chairman Bill Beerworth said the deal would double the
\nsize of the company's projected revenue and cash flow.<\/p>\n
"It is expected that a full year profit contribution of up to
\nA$7 million after tax per annum will be realized from Sebuku in
\n1998\/99," Beerworth said.<\/p>\n
Straits chief executive Brian Rear said the Sebuku coal
\nacquisition provided an appropriate long term replacement for the
\nGiralambone copper mine.<\/p>\n
"We have been aware for some time of the need to move away
\nfrom a sole dependence on copper which can be vulnerable to
\nchanges in market conditions," Rear said.<\/p>\n
He said a feasibility study of Sebuku had defined coal
\nresources of 18.7 million tons and mineable in-situ reserves of
\n15.5 million tons of thermal coal.<\/p>\n
Product quality would average 0.9 percent sulfur, 8.5 percent
\nto 9.5 percent ash and 5,910 to 5,975 kilocalories per kg.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/straits-to-buy-spore-firm-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}