Bathurst Resources - BRL

[sheepy]

Bank of America seem to be gobbling up the shares like pac-man. They are up over 10% now. Anyone keeping tabs on this stock, it is supposed to list on nzx before the end of the year. Pretty experienced board by the looks. There aim is to producing at the end of 2011.

[macduffy]

Hi sheepy.

Refer to thread " BTU Bathurst Resources" on ASX forum. Best to keep all discussion on the one thread?

Cheers

[minimoke]

Hi sheepy.

Refer to thread " BTU Bathurst Resources" on ASX forum. Best to keep all discussion on the one thread?

Cheers
Now that it has duel listed on the NZX and with the absence of PRC perhaps we should have a NZ thread

[macduffy]

Now that it has duel listed on the NZX and with the absence of PRC perhaps we should have a NZ thread

Personally, I don't see the point of that but happy to hear why it would be a good idea.

There's only one BTU company, an Australian one with its main listing on the ASX. It's admittedly early days for its NZ listing, but minimal turnover in NZ and heavy trading on the ASX recently.

Certainly its major assets are in NZ but I don't see that as sufficient reason to "split" discussion between two threads. Those interested in PPP may remember the confusion in the recent past as discussion ranged back and forth between the NZX and ASX threads for that company.

[minimoke]

There's only one BTU company, an Australian one with its main listing on the ASX. It's admittedly early days for its NZ listing, but minimal turnover in NZ and heavy trading on the ASX recently.

Certainly its major assets are in NZ but I don't see that as sufficient reason to "split" discussion between two threads. Those interested in PPP may remember the confusion in the recent past as discussion ranged back and forth between the NZX and ASX threads for that company.
We should be able to manage it. KMD and GPG are just two examples of the different boards where we can keep the conversation separate.


$8,800 worth of trades on the NZX today - so not a totally illiquid stock - unlike some that are on the NZX.

[tosspot]

this stock is taking a damn smacking. strange just after it jump 10% a couple of days ago. might e ripe for a quick buck

[digger]

Be careful, reason is fears of a slowdown in Euro zone/China and resources are taking a big hit...

Your on to it moosie,all the gold stocks in Aus are getting smacked.I am following tap,try,nst,kcn,mod,tte,etc,etc..... and all are down this week. Troy,s drop is just unbelieveable.Do not own any but soon will .Markets always overcorrect so will be in once it stops dropping.
Have a few shares in NTL and Ntloa now showing a need to get away from just oil where I am heavily invested in NZO and PPP.

[benjitara]

I've got a small holding at what I thought was a fairly competitive price but obviously I'm a goose. There's been a lot of poor press about the sector lately but I'm positive about the company and it's intent over time. I see the lifespan of the company in production being 7-10 years before significant gains or need to diversify its current mine assets but the margins they are working on are impressive. The change region of ownership may be the next negative to hit the SP given the Aussie investors may see this as a cynical measure (proud aussie shareholders obviously would having been through the tough times already on this stock) I'm not going to sell at this stage and will be looking to grab a significant holding in a while given the right circumstances.

[Baddarcy]

I've been watching this stock too. Not in yet as always thought they were going to run out of cash and would do a capital raising. They talked about having enough cash and lending facilities to get denniston up and running. But I have my doubts.

[tim23]

Court case happening quickly so that seems positive its a punt on the outcome I guess, me holding.

[Baddarcy]

I've been watching this stock too. Not in yet as always thought they were going to run out of cash and would do a capital raising. They talked about having enough cash and lending facilities to get denniston up and running. But I have my doubts.

Trading halt...my pick is still on a capital raising, last report showed they were down to $17m of cash, can't build a mine from scratch with that.

Any other thoughts for the halt?

[iceman]

F&A has given up and realised the errors of their ways putting wildlife before human livelihood?

I think Nick Smith is announcing his decision on the Denniston Plateau mine today. Could the halt be linked to that ?

[iceman]

Wow, some buyers are VERY bullish!

http://www.radionz.co.nz/news/national/135809/mining-firm-tipped-to-get-conservation-land-access

They are indeed ! Great to see a very environmentally friendly Minister take this approach and responsibility and remove the process away from the stalemate it has been in to make the necessary and long overdue decision. I have no doubt he has done his homework well and will be able to defend his decision, whatever it will be.

[Marilyn Munroe]

Bathurst is staring into the same decline in coal prices that is causing distress to Solid Energy.

If the CFO of Bathurst walked into a bank and said he wanted to borrow money to develop a coal mine the bank manager would turn and instruct a minion to "release the hounds/"

Boop boop de do

Marilyn

[tosspot]

feel sorry for the people who placed orders during trading halt. has come straight back down

[whatsup]

Marilyn you stick to your female desires we will attend to the manily needs of this world, coal mining is a mans world, F & B is for you!

[iceman]

lol, looks like I missed a bloodbath (excuse the pun) while I was out galavanting around town picking up artworks!

You need to give up your museum job. It is obviously interfering with your sharetrading too much :D
Interesting interview with Nick Smith just now with Duncan Garner on Radio Live where he explicitly acknowledges the chance of more applications for open cast mines and that he is not necessarily opposed to it. How refreshing

[benjitara]

Good news with Smiths announcement but still a long way to go until i'm in for another bite at this one. Patience got the better of me and now this stock is weighing down the portfolio (no stop loss and a whole lot of pain later) . With appeals out of the way eventually this stock will recover but a new capital raising will almost certainly take place now and i'm not in until all of that is done and the shovels are in the dirt.

[Newman]

Any bet on the outcome of hearing at High Court this week?

[Baddarcy]

Any bet on the outcome of hearing at High Court this week?

Same as all those before and after this one, in Bathursts favour.

F&B are just playing a stalling game here, they know they will lose, but they also know they will scare off others who want to mine in this country.

[Newman]

Agreed. Brace yourselves accordingly, as I feel the price does not yet reflect this!

I would expect the share price bounch up a lot if Bathurst wins and without additional demands for spending on conservation. At the end of day people need to earn their living.

[Newman]

To listen the broadcast with its Managing Director by clicking the followin g link:

http://www.brrmedia.com/event/112166

[Newman]

TVNZ- Denniston mining appeal dismissed

Bathurst Resources has beaten off another appeal by environmental groups seeking to stop it mining for coal on the Denniston Plateau on the West Coast.

In the High Court in Christchurch, Justice John Fogarty turned down an appeal by the Royal Forest & Bird Protection Society against the Environment Court's preliminary decision not to look at the cumulative impact of Bathurst's proposed mine and a Solid Energy permit for a separate site.

A cumulative analysis would be difficult to do because the area hasn't been mined for a long time, and the authorities would have to consider a detailed current application ready for processing against an intention to reactivate a long-standing modified licence.

The Resource Management Act doesn't provide for applications that may rival each other to be heard together, the judge said.

"This feature of the Act is the source of the hard answer to the otherwise very powerful proposition of Forest and Bird, that if cumulative effects are not considered now, they never will be," the judge said. "In this case, this is a consequence of the fact that the RMA does not provide for comparative or joint hearings of applications which generate cumulative effects."

The decision clears the way for the next Environment Court hearing on June 12, after Bathurst were given Department of Conservation clearance to mine the plateau last month.

Bathurst's South Buller mining plan sees the company taking around 1 million tonnes a year over five years from Escarpment, with Whareatea West contributing another million tonnes. It is targeting production of 4 million tonnes a year once two other mine projects in the North Buller are developed.
--------------------------------------
Share price jumps to 25 cents when its share trading resume on NZX?

[Newman]

Any day now, jeez. How is it the media is allowed to leak this before the company manages to halt trading and release the report itself???

It was Burthurst that reacted too slow. They should had prepared two versions of market news release in advance and notified the stock exchanges the applicable one immediately after the justice announced his decision. I do not understand why Bathurst has not released the news when everyone else has known it.

[Xerof]

Too harsh by far...there is another decision yet to come in a couple of days, so a TH is warranted. Anns take 20 mins to be processed by NZX. The Courts pay no heed to the requirements of listed companies NZX obligations

what evidence do you have of overpaid, incompetent management?

[blackcap]

Does their business model really rely that much on the outcome of the Denniston mine? Ie is that the only thing going or could they survive quite nicely without approval in New Zealand?

[macduffy]

Does their business model really rely that much on the outcome of the Denniston mine? Ie is that the only thing going or could they survive quite nicely without approval in New Zealand?

You'll need to do your own research on that but while BTU has other assets, they are minor, probably marginally profitable. There's no doubt that the Buller project with its high quality metallurgical coal is its "raison d'etre". Just IMO.

[blackcap]

You'll need to do your own research on that but while BTU has other assets, they are minor, probably marginally profitable. There's no doubt that the Buller project with its high quality metallurgical coal is its "raison d'etre". Just IMO.

Thanks Macduffy, I am in the process of doing research. I have heard what you have said. My brother was approached by Bathurst a year or so ago but then the courts delayed the project etc. But he seems to think its a good thing. Dipped my toes in a few days ago and will have a closer look. It just looks funny that its a predominantly Australian listed entity with its major project hinging on NZ enviro outcomes.

[macduffy]

It just looks funny that its a predominantly Australian listed entity with its major project hinging on NZ enviro outcomes.

Bear in mind that its in the process of moving its domicile to NZ! OK, probably partly for "political" reasons but also being realistic about its business.

Disc: I have a few BTU left over from a previous, largely successful holding but doubt if I'll get involved again. Too difficult, too much risk - for me.

[Newman]

Apparently the Sullivan case has been dismissed. Can't open file though, corrupted somehow. Can anyone provide a text version here?

The announcement in a PDF file can be viewed at NZX now.

[Blue Horseshoe]

Man o Man, what is it with this stock, the more "good news" that comes out the more the sp falls. Am I missing something here?. They say they can make money on current coal prices and have available funds. They have never been in a better position according to Gordon Keko.:)

[Xerof]

J P Morgan is a constant seller. Plenty still to go as well

[Xerof]

J P Morgan is a constant seller. Plenty still to go as well

I have just read a comment on the ASX BTU thread posted by macduffy, who says that Morgans are buying back a short position, established by borrowing shares, and selling them as step one. Now they may be buying back as step two, and filing SSH notices which give the impression they are selling down. I.e. as they 'return' the repurchased shares to the original owner, their holding is reducing.

I would have to say that seems a more credible summary of what might be going on. It is common practise in both equity and bond markets for this activity to occupy the minds of proprietary traders within these trading houses across the globe

Apologies if I have put you crook

[blackcap]

Thanks Xerof, but this still poses the question... who is then the seller or sellers? Or are there more short sellers in the market? That seems a bit far fetched as it is at prices where a short is very dangerous.

[Blue Horseshoe]

Thanks for that Xerof, So what this really means is that small holders don't have a chance when the JP's of this world short sell the shares to rock bottom, deflating all faith in the stock so when they buy back there are plenty of disillusioned sellers willing to sell.?

[blackcap]

Not at all. Do your own research and if the big boys have beaten the price down... you get the shares cheaper than you would have if they hadn't. I see this as a win win situation :)

[False Profit]

Price drop to 20c. Good support at 19c and I'm looking to buy. BINGO!!!

[macduffy]

Not at all. Do your own research and if the big boys have beaten the price down... you get the shares cheaper than you would have if they hadn't. I see this as a win win situation :)

So true, blackcap! Shorting is a fact of investment life and miners are prime targets!

Incidentally, the ASX publish daily stats on shorts. I access these via The Bull website. It's a bit of a tedious navigation to find the right page but easier than via ASX' own site! ( Perhaps I look in the wrong place?). It used to be that they would show the total shorts outstanding but these days it only appears as the previous day's transactions. FWIW, yesterdays BTU short activity was negligible!

[tosspot]

The court hearing is today. So if positive then share price should fly this avo. I feel a bad decision is already priced in

[Blue Horseshoe]

The court hearing is today. So if positive then share price should fly this avo. I feel a bad decision is already priced in

That's what I thought at 45 cents. If a positive decision comes out should go to 15c going by the past.

[Newman]

The court hearing is today. So if positive then share price should fly this avo. I feel a bad decision is already priced in

Just the opposite. All good news have been factored in. There is no doubt that the Environmental Court would give consent for mining. The bad news would be: at what cost.

The selling pressure has been from Australia. Every afternoon BTU price at NZX is dragged down by its ASX price.

[Newman]

http://www.3news.co.nz/Denniston-Plateau-decision-could-take-days/tabid/423/articleID/301198/Default.aspx

The idiot system.

Bathurst would probably run out of cash before the Environmental Court makes its decision.

[Banksie]

I am a conservationist at heart. I would like to keep New Zealand clean, green and pristine...but I am also a realist.

F&B have done their job. They secured $22mil for predator control, they have ensured the miners know they are accountable before being allowed free rein to mine when and how the please, and they have raised public awareness of the issues. Now unless they have a plan that creates 225 jobs and contributes $1bil to the economy it is time for them to walk away from this stoush and plan for the next.

[Newman]

Coalmine final approval weeks away
http://www.stuff.co.nz/business/industries/8787877/Coalmine-final-approval-weeks-away

It would be interesting to see what happens at the annual meeting tomorrow.

[NZSilver]

I am a conservationist at heart. I would like to keep New Zealand clean, green and pristine...but I am also a realist.

F&B have done their job. They secured $22mil for predator control, they have ensured the miners know they are accountable before being allowed free rein to mine when and how the please, and they have raised public awareness of the issues. Now unless they have a plan that creates 225 jobs and contributes $1bil to the economy it is time for them to walk away from this stoush and plan for the next.

But do we really need it... A high proportion of profits will
head overseas... A few years down the track it will all be over and everyone will be complaining about job losses... It's a boom bust industry... World coal prices are dropping... it's not a dessert in aus it's some nice native bush... It's time to think away from digging holes in the ground and create renewable buisness ventures in these beautiful parts of nz... I know I wouldn't want that hole anywhere near my place

[Newman]

It's time to think away from digging holes in the ground and create renewable buisness ventures in these beautiful parts of nz... I know I wouldn't want that hole anywhere near my place

Be realistic. Everyone likes clean and green businesses. But there is only one silicon valley in the world. Do you think NZ education systems produce enough science and engineering graduates to support high-tech industries? Do you think NZ capital market is big enough to support such industries? At the end of day it is the natural resources that support the living standard in NZ. Many generations have dreamed clean and profitable industries. But the fundamentals in NZ economy have not changed, and probably would not change much in the foreseeable future.

[macduffy]

.....and in the meantime we're happy to use the products made by other countries digging up their iron ore and metallurgical coal to provide the materials to make our cars, bikes, buses, trains, pots and pans, electrical appliances etc etc ?

A certain amount of hypocrisy on our part, I fear!

Disc: Have a small BTU holding.

[NZSilver]

I completely agree with you, but I don't believe my standard of living will increase if a coal mine on the west coast opens. I dont think it will make many new zealanders have a higher standard of living. I believe in using natural resources to create industry, jobs, exports and wealth in NZ, just not a dirty big open cast coal mines over native forests, dragging most of their returns overseas. Australian companies are closing mines due to oversupply (but also increased supply in china reducing the need for aussie coal) and lower demand In other countries reducing prices, how is this mine going to viable as surely it will rely on exports?

Disc: will never hold BTU

[Snow Leopard]

Could somebody kindly confirm that all this complicated going on with de-listings and listings etc just means that when all is said and done that:

1 BTU [Bathurst Resources Limited] share will be replaced by 1 BRL [Bathurst Resources (New Zealand) Limited]

no more, no less

Best Wishes & Thanks
Paper Tiger

[tosspot]

does anyone know why no trades are being traded this morning

[Newman]

does anyone know why no trades are being traded this morning

If you use code "BRL" your order would be traded if ask/bid price match.

[tosspot]

If you use code "BRL" your order would be traded if ask/bid price match.
oh great theres my shares, looking even more sick than what they were before

[Newman]

Commodities are the wrong market to be into right now. I'd be packing up before the train goes lower IMHO...

As long as bathurst can survive I am not particularly concerned about the cycles of commodities. The fundamentals would not change: everybody needs use steel and the coal from Bathurst has its advantages. Urbanisation in China and a few other countries would last a decade or longer.

[tosspot]

BTW, I am working with books from Forest and Bird here at work now. If you would like me to set fire to some of them for you and dance around the pyre in a victory dance for BTU, just let me know ;)
haha please be my guest

[Newman]

Coal is as bad a performer as gold and has sunk below the crucial $85 support level. As if the Court action wasn't enough for Bathurst...

http://resourceinvestingnews.com/57785-european-coal-futures-sink-to-84-45-per-mt.html

NZ dollar is dropping against USD. This would partially offset price drop. Further, the coal produced from Bathurst is not used for power generation.

[blackcap]

down to 13 cents Kiwi this afternoon... writing on the wall? Or just general panic. I do note from their annual and half yearly reports this company burns cash like its going out of fashion. Only about a year or so left before it needs to go back to the market for more money if I am correct. Otherwise its liquidation time. What will come first? And how can it go to the market with a SP of 13 cents?

p.s I am aware that todays sell off in Australia may be due to those wishing to take their tax losses and use them. If I am not misinformed today is the last trading day in June and it is an important day for Aussie traders.

[Newman]

p.s I am aware that todays sell off in Australia may be due to those wishing to take their tax losses and use them. If I am not misinformed today is the last trading day in June and it is an important day for Aussie traders.

The share price recovers from Friday's lows, which provide a support to your judgement. With about 60% of the shares held by the 20 largest holders it seems unlikely they could exit the company without incurring a heavy loss. They would have to put money in after the Environmental Court gives a go ahead approval, supposedly this month.

[GR8DAY]

..has "btu.nz".......sunk into the westcoast swampland or something.......can't seem to pull iy up anymore on the anz site??

[GR8DAY]

........cher bro'!

[Newman]

Appeal Period Now Lapsed on Interim Decision

Bathurst Resources (NZ) Limited (‘Bathurst’ NZX/ASX: BRL) is pleased to advise that the period for lodging appeals in relation to the High Court decision on the ‘Interim Environment Court Decision’ appeals has now lapsed.

By way of background:
- the Royal Forest and Bird Protection Society of New Zealand Incorporated (Forest and Bird) appealed to the High Court on various alleged points of law in relation to the Environment Court’s interim decision;
- on 7 June 2013 the High Court dismissed the appeal on three points of law and referred two other appeal points back to the Environment Court for consideration. These were heard in the Environment Court on 12 June 2013; and
- on the basis that the two points have now been appropriately considered by the Environment Court there is no further avenue for appeal on these points.

Bathurst Managing Director, Hamish Bohannan, said “We are pleased that this High Court ruling on the interim decision is now final and we are working to ensure that once consents are received for the Escarpment Project we can move into the production phase as soon as possible.”
On 26 June 2013, Forest and Bird applied to the High Court for leave to appeal the interlocutory decision on Sullivan. This is still in process.
The Company is also awaiting a decision from the Supreme Court on the final appeal on the matter of climate change. Additionally, a decision on whether to grant Resource Consents, as indicated in the interim decision, is expected from the Environment Court following the hearing of 12 June 2013.

On behalf of Bathurst Resources Limited
Hamish Bohannan
Managing Director

[Newman]

Bathurst announced this morning:

"The cash balance was NZD$13.8m at 30 June 2013, excluding a $4m prepayment for construction work on the Escarpment Project."

While the cash balance is more than I expected, the announcement did not give any clue on how would the company raise capital for coal production from Escarpment if it gets resource consents.

[blackcap]

Bathurst announced this morning:

"The cash balance was NZD$13.8m at 30 June 2013, excluding a $4m prepayment for construction work on the Escarpment Project."

While the cash balance is more than I expected, the announcement did not give any clue on how would the company raise capital for coal production from Escarpment if it gets resource consents.

Good point because no way is $13.8m going to be enough is it?

[Newman]

Bathurst share price jumped 17% to 21 cents on NZX. Any explanation for this?

[blackcap]

No idea Newman... the vagaries of the market methinks or dare I say it insiders know something. It could just be herd mentality. Funny though that this share should move as it does on no news. Not complaining but bewildered.

[tosspot]

What a damn releif. was down 35% just a few days ago now up 5%

[macduffy]

Bathurst share price jumped 17% to 21 cents on NZX. Any explanation for this?

Probably just a speculative burst as the Buller project inches towards reality. After all, BRL is one of a very few NZX stocks that offer that sort of excitement!

[blackcap]

And they fall for no apparent reason whatsoever. Glad Im not trading this one, you just couldn't pick it

[blackcap]

Another step forward for Bathurst:

BRL
15/07/2013 08:30
MINE

REL: 0830 HRS Bathurst Resources (New Zealand) Limited

MINE: BRL: High Court Refuses Leave to Appeal

Please see attached announcement
End CA:00238565 For:BRL Type:MINE Time:2013-07-15 08:30:05

[Newman]

Another step forward for Bathurst:

BRL
15/07/2013 08:30


The final decision from the Environment Court would come out soon.

[karen1]

For those following, here is a link to the relevant decision: https://www.nzx.com/files/attachments/178260.pdf

[Newman]

At the Crossroads in Coaltown - The Westport Story part 1
Wednesday, 31 July 2013, 12:04 pm
Article: The Westport Story told by Scoop
http://www.scoop.co.nz/stories/HL1307/S00199/at-the-crossroads-in-coaltown-the-westport-story-part-1.htm

Does this suggest that Bathurst has a long way to go before obtaining environmental consents or very close to getting what it wants?

[blackcap]

I see in an announcement today that Forest and Bird are applying to appeal to the Court of Appeal. SO the High court said no and now they go to the next court. Thats ok, that is their right. But does anyone know who funds Forest and Bird?

[Newman]

I see in an announcement today that Forest and Bird are applying to appeal to the Court of Appeal. SO the High court said no and now they go to the next court. Thats ok, that is their right. But does anyone know who funds Forest and Bird?

A desperate effort by Forest and Bird. A leadership change would be required after it loses final battles. What its legal bills would be?

The real concern on Bathurst is the current low coking coal price (around US$150/ton), not the futile actions of Forest and Bird.

[macduffy]

Given the continuous delays being experienced in getting started, I don't think the current price is the problem so much as what the price may be in 2-3 years' time!

[blackcap]

Out this morning... will be interesting to see if it does anything to the SP.

Positive Environment Court Decision announced for Bathurst
Bathurst Resources (NZ) Limited (‘Bathurst’ NZX/ASX: BRL) is pleased to announce the Environment Court has
issued a decision advising that “consent is indicated for the Escarpment Mine Project, subject to final minor
drafting on conditions of consent.”
The Court has requested further minor amendments to a limited number of the proposed consent conditions.
We consider that these amendments will not be difficult to address (the amendments mainly relate to the
wording of the conditions addressing rehabilitation and the requirements in respect of the proposed
‘Denniston Permanent Protection Area’ (“DPPA”)). The Company is required to use “best endeavors” to
achieve an appropriate protection mechanism for this area. The Court has expressed a preference for the local
councils to be the suitable body to certify this has been the case.
Bathurst Managing Director, Hamish Bohannan, said “We are delighted with this positive decision. The Court
has made it clear that consent will be forthcoming. The Court has also acknowledged the urgency of the
matter by requesting that parties provide a prompt response on conditions (within ten working days). We
expect to receive consents as soon as the court has had time to consider that further information. “
Once consent is granted, Bathurst can move into the first stages of operations.

[Newman]

Out this morning... will be interesting to see if it does anything to the SP.

Positive Environment Court Decision announced for Bathurst
.... The Court has expressed a preference for the local
councils to be the suitable body to certify this has been the case.
Bathurst Managing Director, Hamish Bohannan, said “We are delighted with this positive decision. The Court
has made it clear that consent will be forthcoming. The Court has also acknowledged the urgency of the
matter by requesting that parties provide a prompt response on conditions (within ten working days). We
expect to receive consents as soon as the court has had time to consider that further information. “
Once consent is granted, Bathurst can move into the first stages of operations.

This is by no mean a good news, and the judge is kicking the ball to another agency rather than doing his job.

[blackcap]

This is by no mean a good news, and the judge is kicking the ball to another agency rather than doing his job.

Hi Newman, it does look that way. Does this imply then that the MD is lying?

I see this announcement has already hit the stuff.co.nz site. To get the project up and running will require a lot of capital as well I think. Does anyone know if this means that they (BRL) will need to do a capital raising?

[Brain]

A couple of links which may be of interest.

http://www.youtube.com/watch?feature=player_embedded&v=-abAnXuwmQY

http://www.youtube.com/watch?feature=player_embedded&v=DOkx7FgXbiE

[benjitara]

Thanks Brain
Interesting numbers in these videos. Looks to me as if the total reserves for Escarpment alone could support a share price of around 20-22 cents. I've used some pretty crude numbers. static sale price over life of mine 5-6 years being 160USD a tonne (coking coal) standard costs being 120USD plus capital expenditure on conveyor and washplant being 30 million per annum. leaving earnings per share of 2 cents approx. p/eps at 10 being 20c. These of course are absolutely loose figures and we've seen delays and spiralling costs... Overall they're looking like their walking on a thread of silk across the pit themselves! I see the Canterbury acquisition looks very small and thermal in nature so not much of a positive there. lets hope world prices ramp up a little and the Chinese get a bit of "steel fever" soon to give the coasters a chance.

[clifton]

Trading halt and capital raising underway.

[benjitara]

Trading halt and capital raising underway.

I see this. The independent report does warn of a slower than predicted 'ramp up" of capacity several times.

I'm right in saying that this will be a corporate capital raising exercise?

[blackcap]

NZ shareholders get shafted again...

https://nzx.com/files/attachments/181593.pdf


I would like to know though if anyone has the knowledge, what the high regulatory costs in NZ are to stop the SPP being offered to NZ resident shareholders. What makes it that much more fluid and cheaper in Australia?

[macduffy]

Yes, a nasty slap in the face for NZ shareholders and it makes a mockery of the PR hooha that accompanied the change of domicile and the addition of "NZ" to the company name. Plenty of Aust companies have managed to offer participation to NZ shareholders in the past so I think it's fair to say that the additional costs and regulatory hurdles aren't all that onerous. A poor show.

:t_down:

[clifton]

from brl's application for a waiver from NZX "BRL’s reasons for not proposing to extend the SPP to New Zealand Shareholders are as follows:
(a) of BRL’s approximately 4,500 shareholders, only 9 are New Zealand Shareholders. New Zealand Shareholders hold approximately 51.8 million ordinary shares in BRL, representing approximately 7.4% of BRL’s ordinary shares on issue. This amount includes a shareholding of approximately 4.9% held by one New Zealand institutional investor. This investor was invited to participate in the Placement but did not do so"
Only 9 NZ shareholders so hardly capturing the imagination of NZ investors.

[blackcap]

from brl's application for a waiver from NZX "BRL’s reasons for not proposing to extend the SPP to New Zealand Shareholders are as follows:
(a) of BRL’s approximately 4,500 shareholders, only 9 are New Zealand Shareholders. New Zealand Shareholders hold approximately 51.8 million ordinary shares in BRL, representing approximately 7.4% of BRL’s ordinary shares on issue. This amount includes a shareholding of approximately 4.9% held by one New Zealand institutional investor. This investor was invited to participate in the Placement but did not do so"
Only 9 NZ shareholders so hardly capturing the imagination of NZ investors.

I very much doubt if there are only 9 NZ shareholders as I personally know of 3. But that aside, it still a shame that they would do this. Why then make the primary listing in NZ. What a load of $#&@^@

[macduffy]

I wonder how they know that there are "only 9 NZ shareholders"?

My measly holding, the remnant of a once bigger stake, is held as a "Chess" holding of one of the Australian Chess Sponsor firms on the NZ Register. Does it get lumped in and counted as an "Australian" holder?

Not that it really matters. Academic interest only as I wouldn't be intending to take up any more shares in BRL.

[Brain]

This can't be right 9 share holders only. I am one, bllackcap knows of 3, there is one institution,leaving 5 unaccounted for. st members please put your hand up

[Lost in space]

This can't be right 9 share holders only. I am one, bllackcap knows of 3, there is one institution,leaving 5 unaccounted for. st members please put your hand up
Count me and my friend in so that makes 3 left to find...

[Roberto]

Another NZ holder here. 9 seems quite bizarre...

[Crispy]

I'm another NZ holder feeling unhappy at how BRL has treated me.

[Lost in space]

Looks like we are hunting down the last shareholder now. Anyone got Dotcoms phone no?

[blackcap]

That then begs the question. Are BRL blatantly lying to try and get a waiver through? Should they be investigated by the FMA? Is there anything we as minority shareholders can do in such a case?

[Lost in space]

To my mind the should not be granted a waiver because to do so seems to go against the Companies Act 1993. They are essentially creating two classes of shareholders with the ordinary shares.

[Brain]

As I am not trying to sell or buy at this point it means that the one institution and 7 other share holders are being quite active at this point. On Friday there were 4 buy orders and 11 sell orders.

Brain

[blackcap]

As I am not trying to sell or buy at this point it means that the one institution and 7 other share holders are being quite active at this point. On Friday there were 4 buy orders and 11 sell orders.

Brain

chuckle chuckle chuckle. Thanks Brain!

[Ian]

Well i'm a NZ shareholder of BRL as well !!!!

[Ian]

So am I the last of the 9 hard to beleave

[macduffy]

So am I the last of the 9 hard to beleave

No, it's a bit of a stretch to imagine that all NZ shareholders of BRL watch - and post - to Sharetrader!

I still reckon there's something odd in the way NZ shareholders, through Chess holdings, get counted in - or out!

[macduffy]

Another tiny step towards making this mine a reality!

http://www.stuff.co.nz/business/industries/9185843/Court-quashes-Escarpment-mine-appeal?cid=edm:businessday:dailybrief

[benjitara]

Another tiny step towards making this mine a reality!

http://www.stuff.co.nz/business/industries/9185843/Court-quashes-Escarpment-mine-appeal?cid=edm:businessday:dailybrief

Interesting time for the company.

Capital raising and court progress. I think this is a long hold option at this price for anyone who can stomach a long wait for production to start. I've done some fundamentals and came up with the fact that the escarpment alone could support a SP of 22c at a P/E 0f 10. With this being a cyclical stock it's hard to say but my argument would be that the share price cant really go any lower if this company was to stay above water.

[tony64peter]

".....Latest research by investment bank Macquarie (http://www.sharpspixley.com/uploads/CommoditiesCommentGOLDMacquarie19813.pdf) argues that "the lack of supply growth potential sets coking coal apart in the bulks," and that the commodity's medium-term norm is around $180 tonne. Nevertheless, the firm expects Q4 contract prices to stay below $150 a tonne before picking up to reach around $200 by 2015."

This is from an August report and I suspect AU$. Has anyone got a website for the day to day graphs of metallurgic spot prices? Thanks

[benjitara]

Do people have anything to say about the relationship between solid energy and Bathurst. Obviously bathhurst is in its infancy and is dwarfed by solids production. Is the government bailout and restructure of solid going to impact on bathursts ability to gain market share? Sounds a little like the relationship telecom had with vodafone pre debundle.

Tony64pete. I've tried to track down a day to day graph but had little luck in doing so. best just search coking coal prices and reading some aritcles, although coal.org and other such sites are good places to start.

[tony64peter]

benjitara. Thanks Tony

[macduffy]

Another step forward?

http://www.stuff.co.nz/business/industries/9295566/Bathurst-now-awaiting-final-approvals-for-mine

[blackcap]

Another step forward?

http://www.stuff.co.nz/business/industries/9295566/Bathurst-now-awaiting-final-approvals-for-mine

An awful lot of steps that BRL seem to have to take :) (still holding though)

[Roberto]

Well there's that one cleared up:

Information Correction3:08pm, 18 Oct 2013 | GENERALINFORMATION CORRECTION
Bathurst Resources (New Zealand) Limited (‘Bathurst’, ASX & NZX:BRL) advises that the information set out in the waiver decision of NZX Regulation released to the market on 12 September 2013 incorrectly stated that there were 9 New Zealand resident shareholders in Bathurst as at 12 September 2013.
At that date there were 1,046 New Zealand resident shareholders. This information was provided to NZX in error
The information was background information to the waivers granted to Bathurst by NZX Regulation. NZX has confirmed to Bathurst that this error does not affect the waiver.

[Roberto]

Makes you wonder how they mistakenly put 9 in the first place!

Yeah, I was going to make a sarcastic comment around that, but as it's Friday afternoon I thought I'd refrain :P

[macduffy]

It's water under the bridge now but that's the stuff Tui ads are made of!

;)

[blackcap]

It annoys me because that is what they used as the justification for not inviting NZ resident shareholders to participate in the capital raising. But as it stands I'm glad I did not put any $ in anyway.

[Brain]

Yes it did work out well in the end. I was able to top up under 16 c instead of the SPP at 18c. I must admit I am becoming increasingly bullish about this share. Bathhurst appear to be thru the legal hurdles. Their first target is 2.35 Mtonnes ROM yielding 1.6Mtonnes/Annum of coal . Cost of mining after capex for the wash plant and conveyor is predicted to be US $90/ tonne. Metallurgigal coal is currently running at US$ 150 /tonne
The second target is 4.0 Mtonnes Rom yielding 2.7 Mtonnes /Annum. This mine could be very profitable - even more so as the price of coal increases. This is likely as we emerge from the GFC .
Maybe other sharetraders wiser than me would like to comment.

Regards

Brain

[Crispy]

"Australian miner Bathurst Resources has received the final approval from the Environment Court for its controversial Escarpment coal mine project on West Coast conservation land."
http://www.stuff.co.nz/business/industries/9323134/Bathurst-Escarpment-mine-approved

[Theracay]

Thank the lord. Finally things are looking up, hopefully? That sure was a long wait.

[Mista_Trix]

How much of a run will we see out of this news though....?

[clip]

anyone looking to buy/accumulate tomorrow on this news? looking forward to finishing work and starting some research :)

[hling88]

How much of a run will we see out of this news though....?

I personally look at $0.35-$0.40

[andysh]

anyone looking to buy/accumulate tomorrow on this news? looking forward to finishing work and starting some research :)

Yes I think I might need to do some research, know very little about coal so is going to prove a bit difficult. From what I have read so far, is that the coal from Bathurst is Coking Coal, and from the post above from Brian the price is currently USD 150/t. Does anyone have a link to a real times prices (or close to) from the likes of Bloomberg or similar, I really can't seem to find anything.

Also if anyone could point me in the direction to who are the main buyers of coal, I see in the presentations that there is a lot of talk about shipping, so something that may have to be factored into the price?

Thanks

[hling88]

Bathurst eyes start by Christmas

http://www.stuff.co.nz/auckland/local-news/business/9324561/Bathurst-eyes-start-by-Christmas

[clip]

so they have another 15 day window for possible appeals - will be holding off on buying for a couple of weeks personally

[Blue Horseshoe]

"Australian miner Bathurst Resources has received the final approval from the Environment Court for its controversial Escarpment coal mine project on West Coast conservation land."
http://www.stuff.co.nz/business/industries/9323134/Bathurst-Escarpment-mine-approved

Great news, was thinking of accumulating today, but read that this decision can be appealed within 15 day's ?, is this correct or is it all done and dusted.

[clip]

Great news, was thinking of accumulating today, but read that this decision can be appealed within 15 day's ?, is this correct or is it all done and dusted.

The way I read it, the resource consent was given and there is a 15 day window to appeal that consent decision, so parties have until COB Friday 08/11 to appeal? Please correct me if i'm wrong/anyone disagrees

However.. if an appeal was lodged, my feeling would be it would probably fail after all the battles and hurdles BRL have overcome thus far. But an appeal may drop the SP a bit which would be a good time to buy/accumulate.. and get in for the longer term. thoughts?

[clip]

big volume already.. 1.3m buy/sell. 11 buying 471,084 at 21c, 3 selling 133,050 at 21c. at this stage i'm going to wait and hope for an appeal to drop the SP before sinking my teeth in. Wonder if it's worth signing up to some environmental forums to gauge appeal likelyhood!

[hling88]

From the experience of PEB, today we may see SP towards $0.30.

[macduffy]

The way I read it, the resource consent was given and there is a 15 day window to appeal that consent decision, so parties have until COB Friday 08/11 to appeal? Please correct me if i'm wrong/anyone disagrees


That sounds right. Note also that F and B can only appeal on points of law.

[hling88]

Boardroom Radio - Bathurst Environment Court Decision
10:00am, 25 Oct 2013 | GENERAL

Boardroom Radio Broadcast

BATHURST RECEIVES FINAL ENVIRONMENT COURT DECISION

Bathurst Resources (New Zealand) Limited (NZX/ASX: BRL) (“Bathurst”) advises that an audio broadcast with the company’s Managing Director, Hamish Bohannan, discussing the recent positive Environment Court decision for Bathurst, will be available from 11.30am (NZST) and 9.30am (AESDT).

A transcript of the interview is enclosed.

To listen to the audio, copy the following details into your web browser :

http://www/brrmedia.com/event/117633.
Note : This link will be live from 11.30am (NZST) and 9.30 (AESDT) today.

[clip]

That sounds right. Note also that F and B can only appeal on points of law.

Can you expand on F and B please? :)

[karen1]

Can you expand on F and B please? :)

delighted to: feathers and bulls#*#*t, aka Forest and Bird

[blockhead]

Can you expand on F and B please? :)


My understanding is Forest & Bird can only object now on the basis of the law having been applied incorrectly

[clip]

delighted to: feathers and bulls#*#*t, aka Forest and Bird

hahaha! thanks :)

[apac]

Do we have BRL holders that's been holding for a while? Can you share what you like about the company?

[hling88]

Do we have BRL holders that's been holding for a while? Can you share what you like about the company?

put aside the emotional environmental effect for NZ, I only like the coal out of the ground and shipping to JP and CN.

[apac]

I'm surprised a bot hasn't kicked in and bought 1 share at $8

[apac]

I'm surprised a bot hasn't kicked in and bought 1 share at $8

and some reporter will report that shares went up almost 100% during day trading

[apac]

and some reporter will report that shares went up almost 100% during day trading

apoloiges wrong thread, that's meant for ACY

[apac]

Bots don't operate on very illiquid stocks (no algorithms to work with really!). What you are refferring to would be window dressing at the end of day. Doubt it will happen though, most people see right through it and would be a waste of money. Needs to be a large enough trade to not be an OL condition as well (ie small trade under NZX rules which does not constitute the SP rising/falling).

hey u r back. Welcome back

[blockhead]

Looking strong in Oz this morning, 12% lift so far

[silverblizzard888]

Just wondering, when I sell BRL shares on the NZX, since BRL is listed on the ASX, does that mean my shares on the NZX can be bought through the ASX?

[blackcap]

Just wondering, when I sell BRL shares on the NZX, since BRL is listed on the ASX, does that mean my shares on the NZX can be bought through the ASX?

Im not quite sure what you mean there but shall try to explain. BRL is dual listed so you can buy the shares in either australia or new zealand. The shares you buy in Australia you have to sell in Australia, the shares you buy in NZ you have to sell in NZ.
Hope that helps.

[macduffy]

I'm well out of touch with today's practice but there used to be a facility to "shunt", ie transfer, dual-listed shares from one register to another. From memory, this had to be done before, and separate to, selling said shares on the recipient register but as with so many details these days, I may have this wrong!

Worth inquiring further though if you are contemplating the possible need.

[blackcap]

I'm well out of touch with today's practice but there used to be a facility to "shunt", ie transfer, dual-listed shares from one register to another. From memory, this had to be done before, and separate to, selling said shares on the recipient register but as with so many details these days, I may have this wrong!

Worth inquiring further though if you are contemplating the possible need.

Yes you can "shunt" the shares. A few forms and paperwork and smile nicely at the admin lady (or gent but there are not many) having to do this work for you and you can get it through. Used to do it myself a few times to "arbitrage" between price differentials. But in the case of BRL, if the shares stay at 27 in Aus, they will just open at 31 cents in NZ and no arbitrage opportunity exists.

[blockhead]

Up 28% at open, that's better than Meridian will be I suspect. Ozzies on Hotcopper a picking a further rise on ASX today

[clip]

Should have gone in last week after all heh. Still hoping for an appeal to be lodged which should drop SP a bit, but then be beat down in court (IMO). Disc: watching but not yet holding

[Theracay]

To be honest, the share price had been beaten down so badly despite continued victories in court and failed appeals.
Now that the SP is actually on the move upwards and operations are beginning, I'm not sure if a last ditch appeal would mean much for the SP.

[silverblizzard888]

To be honest, the share price had been beaten down so badly despite continued victories in court and failed appeals.
Now that the SP is actually on the move upwards, I'm not sure if a last ditch appeal would mean much for the SP.

Its not likely an appeal would do anything, which even if there was an appeal, after going through so much principles of law its not likely be over turned and as the CEO said last week even if theres an appeal it no longer stops them from starting operations.

[blackcap]

Sold half my stake at 32 cents NZ today. Im suprised at the run on the court announcement that was for all intents and purposes "expected". Not sure the coking coal price at the moment even makes this mine a viable option. But am holding the rest to see what eventuates. Am going to the AGM on thursday and hope to ask a few questions and find out more about the company.

[blockhead]

Well, that was a short lived trip into the stratosphere, from 34c back to 26,

When will I ever learn ???.....never sold a one when I could have snared a 34% gain in a few days

[blackcap]

I'm surprised no one has commented on the quarterly out this morning. Terrible result. Still losing money hand over fist this company. Their operating cashflow is still deeply negative. They cannot sell their coal for more than it costs them to get it out of the ground. I think it will be a while before we see 30 cents again. I would rather they defer Denniston till the price of coal has improved. No point in mining $100 worth of coal if its going to cost you $120 to get it out of the ground.

[macduffy]

Most of BTR's current production is sub-bituminous (thermal) coal from the Takitimu mine which is used in local dairy and food-processing plants. It's not premium stuff so doesn't attract the prices that the high quality coking coal from the Buller area can be expected to. The future of this company revolves around Buller so they need to press on with this development as quickly as possible - IMO.

[Crispy]

I'm surprised no one has commented on the quarterly out this morning. Terrible result. Still losing money hand over fist this company. Their operating cashflow is still deeply negative. They cannot sell their coal for more than it costs them to get it out of the ground. I think it will be a while before we see 30 cents again. I would rather they defer Denniston till the price of coal has improved. No point in mining $100 worth of coal if its going to cost you $120 to get it out of the ground.

The escarpment project will produce coking coal which currently sells for around $150/t,
http://www.macrobusiness.com.au/2013/09/has-coking-coal-bottomed/
so there is still enough margin in the project with allot of upside potential if you view this as the bottom for coking coal.

However I agree that the negative cash flow from the current domestic thermal coal operations is disappointing. Reading the quarterly report they see these as becoming cash flow positive as volumes increase. I my opinion, there is allot of support for the share price at these levels of 24cents and we are at the beginning of an uptrend which will take us well past 30cents.

[benjitara]

If you were in for the long haul with this company then now wouldn't be the worst time to take a position. Both macro and internal elements look poor at the moment both that's the time you need to be getting in (with more risk obviously) I agree with comments regarding coking coal to thermal. it's very hard to see Bathurst making any solid gains out of thermal deposits but as I've stated before the escarpment project is worth pursuing. It's all very long term and I still believe we're 12-18 months away from seeing this company provide reason for positive SP movements. Capital on hand is the major issue, along with production targets being missed as was the main concerns of the independent reports on the businesses viability

[blackcap]

Cheers for the replies Snapiti and Benjitara. No offence taken either. I am well aware of the coal price problem and agree Benjitara that now is probably the best time as any to get a stake.
As it happens have just come back from the AGM held in Wellington today. Very constructive and managed to glean that there will probably be another Capital raising of some sorts in the near future although most would have worked this out anyway. Spoke with 2 of the directors and they are both of the opinion that the NZ operations will be cash flow positive this year (or at least break even) and that the escarpment project is definitely earnings positive. THere will be synergy benefits. Looking at the quarterly out today I see $5m of admin costs... on revenue of $9m. So any extra revenue will not add to this cost. Also legal fees and time will now be a lot less (hopefully)
The coal that they will be selling for export is worth more than the coal that they are currently providing domestically.
The infrastructure is in place for them to go ahead and they are hoping to get up and running early 2014 once 25 permits have been signed off etc.
Will be interesting to see where they go from here. But any rise in the global coal price will significantly enhance their profits. Or a fall in the Kiwi will be just as effective.
Disc, still unsure but not as negative as I was prior. Hold a small holding, (my brother advised me to buy some and I thought why not) and will look to top up if price dips on rights issue or other capital raising. Anything under 15-20 cents you could almost treat as an option with limited downside....

[blockhead]

Let the work begin !!

https://www.directbroking.co.nz/DirectTrade/dynamic/announcement.aspx?id=3483620

[Radler]

Good news - F&B aren't going to appeal and BRL have "agreed not do anything in its control to cause open cast mining" in the Denniston Plateau area

[Newman]

Good news - F&B aren't going to appeal and BRL have "agreed not do anything in its control to cause open cast mining" in the Denniston Plateau area

Where would the large capital for mining come from?

[blackcap]

They are going to do a capital raising as the directors told me at the AGM. Probably a rights issue I think.....

[clip]

^That would be for current holders only, is that correct?

[blackcap]

^That would be for current holders only, is that correct?

That would be correct but they would announce it and others could then probably participate as well. Normally (not always) the share price goes down on such an announcement because these raisings are done at a discount.. :)

[macduffy]

I would pick that they will do a placement to institutions - and then either a rights issue or an SPP for current holders. Amounts and/or rights ratios will depend on how much they need and the investment appetite. That's what they pay the big bikkies to financial advisers to gauge correctly!

[Cuzzie]

Cheers for the replies Snapiti and Benjitara. No offence taken either. I am well aware of the coal price problem and agree Benjitara that now is probably the best time as any to get a stake.
As it happens have just come back from the AGM held in Wellington today. Very constructive and managed to glean that there will probably be another Capital raising of some sorts in the near future although most would have worked this out anyway. Spoke with 2 of the directors and they are both of the opinion that the NZ operations will be cash flow positive this year (or at least break even) and that the escarpment project is definitely earnings positive. THere will be synergy benefits. Looking at the quarterly out today I see $5m of admin costs... on revenue of $9m. So any extra revenue will not add to this cost. Also legal fees and time will now be a lot less (hopefully)
The coal that they will be selling for export is worth more than the coal that they are currently providing domestically.
The infrastructure is in place for them to go ahead and they are hoping to get up and running early 2014 once 25 permits have been signed off etc.
Will be interesting to see where they go from here. But any rise in the global coal price will significantly enhance their profits. Or a fall in the Kiwi will be just as effective.
Disc, still unsure but not as negative as I was prior. Hold a small holding, (my brother advised me to buy some and I thought why not) and will look to top up if price dips on rights issue or other capital raising. Anything under 15-20 cents you could almost treat as an option with limited downside....
Over 50% in admin costs? That could be a game stopper right there - for most but not all. If the price is right, they will get support. Worth keeping an eye on IMHO.

[blackcap]

Over 50% in admin costs? That could be a game stopper right there - for most but not all. If the price is right, they will get support. Worth keeping an eye on IMHO.

Yeah but do keep in mind that a lot of those will have been legal fees which should be behind them now....

[Cuzzie]

Yeah but do keep in mind that a lot of those will have been legal fees which should be behind them now.... That's it in one blackcap, understanding those fees. I like their management too.

[clip]

MINE: BRL: Green Light for Escarpment Project

BRL
19/11/2013 10:01
MINE

REL: 1001 HRS Bathurst Resources (New Zealand) Limited

MINE: BRL: Green Light for Escarpment Project

Green Light for the Escarpment Mine Project

Bathurst Resources (New Zealand) Limited (NZX/ASX: BRL) ("Bathurst") is
pleased to advise that the period for possible appeals on the final
Environment Court decision to grant resource consent for the Escarpment Mine
Project has now lapsed and no appeal has been lodged.

Last week Bathurst announced it had reached an agreement with one appellant,
Royal Forest and Bird Protection Society of New Zealand Incorporated ("Forest
and Bird"), under which Forest and Bird agreed not to appeal the Environment
Court's final consent decision for the Escarpment Mine Project. The remaining
parties to the proceedings had until yesterday to lodge appeals.

With the appeal period having lapsed, there can be no further legal
challenges to the resource consent process. Bathurst is now fully committed
to commencing mining as soon as possible.

The next stage of work before actual mining can commence is already well
underway. This is the submission of 25 management plans to the Department of
Conservation ("DOC"), Iwi and the local councils. It is anticipated the last
of these plans will be signed off by mid-January 2014. Following the
certification of all plans, an Authority to Enter and Operate will be issued
by DOC so that mining earthworks can commence. The access road to the mine
has already been upgraded; the works being completed in October.

Bathurst anticipates the first production from the Escarpment Mine Project to
occur in the first quarter, 2014 as part of the construction process. Steady
state mining of high quality metallurgical coal will be underway by June.

The Escarpment Mine Project is a high quality metallurgical coal project. The
project is expected to be producing at a rate of 500,000 tonnes per annum by
2015 and 1.5Mtpa by 2016.
End CA:00243992 For:BRL Type:MINE Time:2013-11-19 10:01:07


----------------------------------------------------------------

Nothing too unexpected here but good to see they are making good progress with escarpment with mine access already done and production expected to start in Q1 2014

[blockhead]

Ann this morning suggests no need for extra capital, increase in reserves and cash positive early next year.

SP should react I suspect

[blackcap]

Ann this morning suggests no need for extra capital, increase in reserves and cash positive early next year.

SP should react I suspect

I dont think so. They need $16 million to get underway, another $10m soon after. Do not know if they have $16m at present. They go through cash like its going out of fashion... check the quarterly cashflows...

[blockhead]

I would have thought so myself Blacky but this is what the presentation says,

''With resource consents granted, Bathurst is currently assessing funding requirements (if any) to optimise development of the escarpment''

Why is the ''if any'' in brackets there if there is a possibility they want more capital ?

[blackcap]

I would have thought so myself Blacky but this is what the presentation says,

''With resource consents granted, Bathurst is currently assessing funding requirements (if any) to optimise development of the escarpment''

Why is the ''if any'' in brackets there if there is a possibility they want more capital ?

Its got me buggered blockhead. Their quarterly on 31 October showed that they had $18m cash on hand as at 30 Sept but a lot of that came from financing. Operating cashflow used up $9million for the quarter. Now lets assume they do a bit better and "waste" $6million per quarter. That would mean $12m in the bank at end Dec. But Jan and Feb will use cash too so cannot see how they will have the $16m required. I think the (if any) is just making their presentation look a bit more credible. I did talk to 2 directors at the AGM who did signal a capital raising of some sorts. Any other suggestions are welcome but to me the presentation and fact do not really add up.

[macduffy]

What cashflow can they expect from their (producing) Southland mines? Hardly enough after costs to make much difference, I would have thought?

[blockhead]

I have sent an email to the Company to seek clarification.

[blackcap]

I have sent an email to the Company to seek clarification.

It is appreciated. Would you be willing to share their reply (or paraphrase it) for us?

[blockhead]

Certainly will, I have a fair loading of these so am definitely interested

[blackcap]

Seems Mr Market is doubting their statement as well. Down to 25 cents at close today. Will be interesting to see how they respond. Long term I think they will do allright out of the escarpment. (provided price of coal stays above $150t)

[blockhead]

I received a reply from the Company suggesting no CR required, they have alternate sources available.

Not sure if I can quote their reply so hence the vagueness.

[macduffy]

Thanks, blockhead.

I only have a (very) small holding left but here's hoping it doesn't mean a further dilutive placement to "institutions".

:mellow:

[blackcap]

Thanks blockhead, just bought a small holding at 21 a week or so ago. Will be interesting to see what their "alternative" sources are. but if they can do it without a capital raising that bodes well..

[clip]

looks like around 700k / $150k shares purchased this week, perhaps someone knows something we don't ? anyone care to speculate?
big movements on the asx side as well, 4m volume moved yesterday pushing from 19c to 22c

[silverblizzard888]

Well if you look at their presentation from end of November it does say "Operating / management plans to be certified by relevant authorities" "Completion targeted for January 2014 " so my thoughts would be investors getting into before the announcement happens. Its mid January and this is the last milestone that needs consenting, everything else is just earthworks and then coal production. So its a good time to get in before all green lights are to go for what I hope to be a nice rocket. :)

[benjitara]

I bought additional shares last week as I believe this stock to be undervalued. I think you'll find they ramp up scale of their overall operations in time and have a good partnership with synlait that will see their thermal coal operations continue for a number of years. Now they just need to ensure they have avenue to market for their coking coal as this is where the money is. overall pretty pleased to get in at the current price especially when you consider that, while everyone is mentioning the poor coal prices at the moment these guys are potentially sitting on big margins that most other sectors could only dream of!

[blockhead]

Plenty of support in NZ and Oz for anything at or below current share price

[silverblizzard888]

Could be nearing an announcement any time soon now. With previous docs saying it would take 8-12 weeks and we can count down from the first known time they spoke about it in 19th November, 8 weeks from that day was 14th Jan, which the 11th February is 12 weeks. Count down of about 2 more weeks before the last green light?

[blackcap]

Quarterly out yesterday. Underwhelming to say the least. Continues to make huge opeartional losses and will look to decrease or delay proposed production as coking coal prices have hit new lows.

[benjitara]

Quarterly out yesterday. Underwhelming to say the least. Continues to make huge opeartional losses and will look to decrease or delay proposed production as coking coal prices have hit new lows.

Yes, unfortunately another capital raising isn't too far away one would think. It's testing my patience but I'm in this for the long haul. The only positive I got out of the report is their seemingly expanding domestic thermal operations, only problem with that is it's not profitable !

[blackcap]

There was a debate awhile ago on here on whether thete would be another cap raising or not. Am I correct in believing the Directors, during the last AGM, were coy about this?
No, actually I spoke with one of them who openly said to me that there probably would be a capital raising and when pressed as to what form this would be he did indicate that a rights issue was a possibility.

[blackcap]

Weren't they hum-hawing about it in public though then only admitted it when pressed though?
Not in public at all. Did not come up in the meeting. This was after the meeting with the drinks and nibbles sessions. So it was a one on one with said Director. (which means you will have to take my word for it :P )

[blockhead]

''We are currently considering funding options for the full development of Escarpment. These include offtake finance and bank finance facilities.

We are also negotiating vendor finance for the aerial conveyor.''

Info Blocky received from BRL back in Dec

[blackcap]

Cheers Blockhead, your info is more recent than mine and I would thing that this would be preferable to a rights issue. But we shall see what they do. What is apparent is that something is going to have to happen. Personally I would prefer a delay to production as long as the price of coal is this limp. No point in producing if your costs exceed your revenue. And at this stage it looks like that would be the case unfortunately.

[Casa del Energia]

The Westport News yesterday (4th Feb) quoted the mayor (of Buller) saying that he is essentially not too worried that Bathurst is indicating that it might delay its ramp up of production at the Escarpment mine.
I can’t actually find any reference directly from the company – but who can be surprised with met coal at USD123 per ton.

[Casa del Energia]

Quoting article in WP News 5th Feb:
......Bathurst general manager corporate relations
Sam Aarons said today that simply meant the
company would be monitoring world coal prices
and would mine to market demand, as was
standard industry practice.
“We don’t anticipate delays in our scheduled
production ramp up but at the same time we have
to be conscious of getting the best returns,” she
said.
Bathurst Resources has said it plans to start
work on the Denniston mine this month.
Ms Aarons today said initial work would involve
clearing areas for site infrastructure and a run
of mine pad, which was where the coal was
stockpiled, as it was fi rst produced.
A dam would be constructed and a construction
water treatment plant leading up to the fi nal life of
mine water treatment plant. Overburden removal
would then commence.
Bathurst expected to be producing coal within a
month of commencing activities.
........

[silverblizzard888]

More sign of progression and preparations set once mining gets started.

"Bathurst Resources buys nursery for revegetation"

http://www.odt.co.nz/news/business/290461/bathurst-resources-buys-nursery-revegetation

[Casa del Energia]

More sign of progression and preparations set once mining gets started.

"Bathurst Resources buys nursery for revegetation"

http://www.odt.co.nz/news/business/290461/bathurst-resources-buys-nursery-revegetation

That's great info, cheers. It is interesting though: This news is good and bad. Good, Bathurst is not going away any time soon. Bad - looks like the end of the cranberry experiment in buller. Then again, it doesn't matter - from what I hear, the cranberry farm was basically a dead duck anyway.
I wonder how this affects MBC. MBC is a medium sized environment management contractor that did a lot of land remediation work for Solid Energy, I would have thought they'd have a part to play in the Denniston work.

[BlackPeter]

Bathurst in the press:

http://www.stuff.co.nz/business/industries/9732526/Miners-feel-cool-coal-price?cid=edm:stuff:dailyheadlines

coal prices on long term low ... but Bathurst has (vs Solid Energy) a realistic option of delaying production. Question is - when will coal price go up again?

Discl: firmly sitting on the fence (don't hold, but consider buying)

[peat]

http://sciblogs.co.nz/griffins-gadgets/2014/01/22/bathurst-trashes-the-environment-literally/

It looks like the mining company was doing a spring clean and all the postcards that were presumably presented to them by the Green Party, ended up on the footpath beneath their office.
I’m sure a good number of the people who wrote in will draw a parallel between Bathurst’s careless littering and its plans to undertake (http://www.nbr.co.nz/article/greenies-run-out-gas-appealing-denniston-plateau-coal-mine-bd-148504) open cast mining on Denniston Plateau.

[bottlerboy]

http://sciblogs.co.nz/griffins-gadgets/2014/01/22/bathurst-trashes-the-environment-literally/

It looks like the mining company was doing a spring clean and all the postcards that were presumably presented to them by the Green Party, ended up on the footpath beneath their office.
I’m sure a good number of the people who wrote in will draw a parallel between Bathurst’s careless littering and its plans to undertake (http://www.nbr.co.nz/article/greenies-run-out-gas-appealing-denniston-plateau-coal-mine-bd-148504) open cast mining on Denniston Plateau.

Well they are too shiny to use for toilet paper

[Casa del Energia]

Not good news - they're laying off 29 staff and delaying ramp up. Met coal price too low.

"Bathurst Resources Knuckles Down to Preserve Value"

https://www.nzx.com/companies/BRL/announcements/247448

Drat.

[blockhead]

Wow that's some action and certainly hasn't impressed Mr Market, had hoped to make a few bob in a relatively short time with BRL but I think I have just become a long term shareholder.

Will be showing a great interest in coal prices from here on.

[Casa del Energia]

Wow that's some action and certainly hasn't impressed Mr Market, had hoped to make a few bob in a relatively short time with BRL but I think I have just become a long term shareholder.

Will be showing a great interest in coal prices from here on.

Sympathies that you’ve missed out on that rapid capital gain – it’s always a nice feeling when it does happen. At a sp of 12c, it’s a definite long term hold now – but take comfort that since coal has always been a long cycle commodity that never dies – it will be back again. As long as the board does not lose its nerve, there will eventually be good profits to be made.

Therefore, let’s have a Rose tinted glasses moment: I don’t know if it is wishful thinking – but I take some heart from the steel production figures increasing (Dec 13 figures) in the EU, India, Indonesia, Vietnam and other places. (a few surprises in there – e.g. Italia of all places appears to be coming out of the production slump). The big pachyderm in the room is the astounding amounts of steel that China still produces – which could still be absorbed if they continue massive infrastructure build (but not at all certain). But at least if China slows in pace, there could be slack taken up by a resurgent EU and ‘new’ Asian tigers.

[Casa del Energia]

Make that 10c a share. Thankyou F&B for holding things up so that so many of my relatives and neighbours can't find/keep work now. Thank you so much.

[BlackPeter]

Sympathies that you’ve missed out on that rapid capital gain – it’s always a nice feeling when it does happen. At a sp of 12c, it’s a definite long term hold now – but take comfort that since coal has always been a long cycle commodity that never dies – it will be back again. As long as the board does not lose its nerve, there will eventually be good profits to be made.

Therefore, let’s have a Rose tinted glasses moment: I don’t know if it is wishful thinking – but I take some heart from the steel production figures increasing (Dec 13 figures) in the EU, India, Indonesia, Vietnam and other places. (a few surprises in there – e.g. Italia of all places appears to be coming out of the production slump). The big pachyderm in the room is the astounding amounts of steel that China still produces – which could still be absorbed if they continue massive infrastructure build (but not at all certain). But at least if China slows in pace, there could be slack taken up by a resurgent EU and ‘new’ Asian tigers.

SP down to 10 cts! Agree with Case del Energia that coal price is cyclical and will get up again - larger risk for BRL is probably of more political nature (NZ resource management act and Australian management not understanding our Greenies). However at that SP does it feel the risk is fully costed - might be time to buy some more! Discl: Hold a quite small parcel in my "high risk" portfolio;

[blockhead]

Am tempted to double up (average down) but looking at a $16k plus loss on my 150,000 holding I might just be adding good coal (@ $120 pt) to a losing fire.

[Casa del Energia]

Am tempted to double up (average down) but looking at a $16k plus loss on my 150,000 holding I might just be adding good coal (@ $120 pt) to a losing fire.

For reasons I never fully grasped – price averaging only appears to work if it was always part of ‘your’ original plan. Maybe the real reason is that not sticking to investment strategies often leads to tears. Also – BRL is definitely in the high risk/speculation territory. Having said that – I’m getting somewhat tempted myself to enter at these prices but that would be only a speculation (side bet if you like) and wouldn’t have anything to do with my ‘real’ portfolio plan. Of course – I have no idea what your overall position is across the market and price averaging on BRL might make perfect sense for you.
(But then – I’m also a bit worried about what BRLs bankers might do – I still wake up in cold sweats over the Nuplex-westpac fiasco when their sp trunked.)

Having said that – I totally missed out on Xero because it didn’t ‘fit my strategy’ and I’m still getting the occasional ribbing for that. Mrs casa has never let me forget.

Then again – I did buy air NZ .. the day before 9/11.

So much for stragegy.

[silverblizzard888]

Not the best news, absolutely NO indeed. Share price has taken a tumble from the recent announcement to hold off and well you could say we all felt a little blinded by our eagerness to fly on a rocket fueled by coal, when in reality we are seeing coal prices dip. So the question would be do you still have faith in the company after this to still deliver on your hopes?

To take the positives, I think it would have been extremely hard for the board to halt the start of production until the recovery of coal prices, which takes character and guts from the board to say nows just not the right time, even though it disappoints a lot of people, if they did go ahead it might of been worse overall on the long term shareholder value. (Of course there are short term holders that would never agree because they are there afteral for the up and sell.)

Even though there is a notice that they have decided to halt their plans, it really hasn't halted by much because well they are still awaiting approval for their paper work which we would have had to wait in the first place. This also gives them time to build up their facilities as I quote from them "for now, the aim will be on securing the site, setting up facilities, including water management dams and stockpile areas, and mining enough coal to complete market qualification for coking coal supply to steel producers, mainly in Japan and India."

So what now you say? Given nothing has changed except the fact that management has said the change of the timing of the plans, that they do still intend to mine the area and are merely saying instead of the March date that they were promoting as the start of production, it will be a later date. There really hasn't been much change in value, except the share price of course (which makes whoever gets in now to get pretty good value.) Look at the facts they have valuable consent, they have plans and foundations to be set. Its all just waiting on coal prices to swing back up, which given trends they go up and down and of course this is where the risk lie. Apart from the time, nothing has really changed, of course timing can matter a ton when we speak about time = money. I'm just saying value is still there, which of course anyone entering should always evaluate the risk involved and do some research on it themselves. BRL is knucking down in the meantime with cost cutting, which is indirectly a good sign (though some will not agree for a company that is meant to be expanding.)

I've always bet on a upswing from Australia (who dominates minerals and only swings up where the economy starts demanding and pushing prices back up) by the end of the year, so in my opinion we might be waiting till the end of the year before we see a swing in the share price for BRL. Patience is a virtue!

My 2cents anyway (disclaimer - this is a matter of only my opinion and research and should only be read out of interest.)

[croesus]

I hear the Green Party are putting on some Tax Payer Drinks tonite, Kevin Hackwell Guest Speaker...

Their rooms Parliament 7 pm.

Will be press release tomorrow, re Bathurst. Free entry for Forest and Bird and Green Party members,

[blockhead]

I think your post is about right Silver Blizz, coal, like many products is cyclical, although I would love to have had a soaring share price and Mrs Blocky being greatly impressed by my share portfolio I will now be not un nerved by having to sit it out until coal prices come back to good levels again. Unfortunately Mrs Blocky will from time to time remind me of CUE, NZO and PRC, not really luminaries in my collection !

[blackcap]

I really cannot understand the fall in share price. We all know that coking coal is at cyclical lows and so the decision by Bathurst (that they announced today) to defer production should be seen as a positive for the share price because they will be saving money in the long run. There is no point in going producing if you are making losses to produce. So I believe Bathurst have done the right thing here by conserving money and starting production when the coal price permits.

[croesus]

But who says the lows are cyclical... what if they stay at this level for a couple of years.... Bathurst will tip over !

[blackcap]

That is true Croesus, but either way, deferring production is in my way of thinking a positive thing. You cannot control the revenue side, but can control the expenses side. The revenue side was already known by Mr Market (or I assumed it was) and now the company is saying they are going to reduce the expenses side. Seems like a positive announcement to me.

[macduffy]

Hi blackcap. Perhaps that's an optimistic, glass-half-full way of looking at the announcement. The other side would be that the market had reason to believe that coal prices, although low, were still sufficient to allow the Escarpment mine to proceed on schedule, much delayed as it was. Not really surprising that there is disappointment.

[croesus]

No bounce.. plenty to buy at 10c

[blackcap]

Hi blackcap. Perhaps that's an optimistic, glass-half-full way of looking at the announcement. The other side would be that the market had reason to believe that coal prices, although low, were still sufficient to allow the Escarpment mine to proceed on schedule, much delayed as it was. Not really surprising that there is disappointment.

Hi macduffy, maybe it is maybe it isnt. But my post was slightly cynical in that I am inferring that the market is not efficient. Or maybe people did not do their homework and know what the price of coking coal was and received a shock when they saw the announcement? Who knows but it does to me beg a few questions.

[macduffy]

Hi macduffy, maybe it is maybe it isnt. But my post was slightly cynical in that I am inferring that the market is not efficient. Or maybe people did not do their homework and know what the price of coking coal was and received a shock when they saw the announcement? Who knows but it does to me beg a few questions.

The way I read it there was a fair bit of money in the stock looking for the bounce when the first sod was turned at the mine. The equivalent of the oiler's spudding effect! Now that it's not imminent, that money's lost patience. The market harbours multiple motivations for investing/speculating.

:mellow:

[croesus]

Have purchased at 7.6.

But I am an avowed contrarian

[Bobcat.]

Have purchased at 7.6.

But I am an avowed contrarian

I've also just come in on this stock. Anticipating a bounce either today or tomorrow, and so have a second bid a bit further below current market price. Either way, I'm sitting comfortable with this stock. It's now oversold IMO.

BC

[croesus]

Looking for a bounce, Way oversold in my eyes.

I hear the Green Taliban are in paroxysms of delight

[Bobcat.]

I'm anticipating a higher low today (somewhere around 8c?) and then a lift tomorrow through a higher high, with a target of 10cps either tomorrow or early next week for a partial sale.

You Croesus?

[Bobcat.]

If I'm wrong, I have a cheeky bid sitting close to 7c to pick up another parcel. If that's hit, I'm even more confident of a decent bounce-back...and quick profit (God-willing).

BC

[croesus]

Bobcat... depends on the AU open in 15 minutes, but I would sell at 9.9c or so...

I smidgen of good news will see 14c my pick !

[biker]

Risk/Reward looking OK on BRL. Bought today between 7.2 and 7.7c. May not have caught the bottom but seldom do. However, somewhere around 7-8c could have some reasonable upside over time ( and it may take a bit of that) and decimals of a cent wont have much meaning if it heads in the direction of previous levels eventually.
Current cash should last a while if they cut the burn rate as they are setting out to do.

Disc. Now hold so I'm biased

[BlackPeter]

Just looked into the depth - and for the first time over the last days there seem to be more bidders (>1,5 M shares sought) than sellers (roughly 900k shares for sell). Tipping point?

Discl: hold some and bought some more for my "high risk" portfolio.

[Bobcat.]

Trading at 7.3c in Aussie but 8c in NZ.

mid rate 0.932 makes 7.3c AUD = 7.8c NZD.

Therefore, unless you expect the NZD/AUD to climb fast, buy on the asx (where there's normally more liquidity).

[croesus]

Looks like 8c .. will get walloped in 15 minutes...buyers building

[Bobcat.]

We saw a higher low yesterday on both the nzx and asx. Looking today for a higher high to confirm the bounce...i.e. >7.8 on asx.

Discl: now holding.

[BlackPeter]

Surprise! Call me naive, but the last thing I expected from a company who's share price just broke down is to report a half year profit:
https://www.nzx.com/companies/BRL/announcements/247753

Net profit before income tax 8,103
Income tax benefit 217
Profit for the half year after tax 8,320

Admittedly -they only made a profit because of (unrealised) foreign exchange gains, but still - maybe the SP reacted a bit strong on the delayed production start last week. Looking forward to friendlier times ...

discl: holding

[Bobcat.]

Yes, the asx responded well, rising to 7.6c - up 5.6%. Should be a good day tomorrow.

[croesus]

Looking for 12c NZ
Yes, the asx responded well, rising to 7.6c - up 5.6%. Should be a good day tomorrow.

[croesus]

Have orders in to buy... not confident.. I will get any... picking a 9 c start price

[croesus]

Have orders in to buy... not confident.. I will get any... picking a 9 c start price

[Bobcat.]

I suspect that the nzx may overreact and be brought back a bit when the asx opens.

Trading to it.

BC

[croesus]

Agree Bobcat.

Sold all I purchased recently for under 8c, this morning at an average of approx. 9 c ........... currently have none, but have buy orders in place. On both markets.

Cheers

[Bobcat.]

I'm still holding on the nzx (my offer didn't quite get hit) and with a bid on the asx (playing it both ways).

[Bobcat.]

Agree Bobcat.

Sold all I purchased recently for under 8c, this morning at an average of approx. 9 c ........... currently have none, but have buy orders in place. On both markets.

Cheers

Did you pick up more in the low 8s nzd or high 7s AUD? If you did, Croesus, then let me be the first to say well done.

I'm still holding my original parcel bought last week and will only sell on a spike...probably later this month.

BC

[croesus]

I was very lucky, got some NZ ones at the low 7.6c... and more under 8c... all gone .. left a little on the table, and missed the retrace as was out..

Still waiting to re enter

[croesus]

Hope so, being buying the Aussie Flavoured BRL at 8.6c.

[benjitara]

At least on fundamentals the company is trading at a massive discount to assets. Problem is are their current thermal coal operations enough to offset further capital erosion? Looks to me like its a tough road ahead.

[blackcap]

I think we can wait with this company for a while now in that it probably will go nowhere till the price of coking coal improves. Because if it does not (and I do not think it wont) then I think this company will find it hard to carry on as a going concern. But if and when the price of coking coal does improve or signals that it is about to then we may see an appreciation of the SP.

[macduffy]

At least on fundamentals the company is trading at a massive discount to assets. Problem is are their current thermal coal operations enough to offset further capital erosion? Looks to me like its a tough road ahead.

I'm not sure how one values BRL's assets when so much consists of mining licences and properties - coal deposits - which have such an uncertain future value! I made good profits in the early (BTU) days but now regard the few shares left very much in the same way as a speculative oily. One for the future, perhaps.

[Bobcat.]

Well again, my offer sat just above today's high and wasn't hit. I'm a bit surprised the sp fell away like it did this afternoon -- was expecting at least three days of a bounce-back. We might find that instead the low 9s (asx) and low 10s (nzx) now form a resistance to any short-term gains.

[clip]

they closed at 8c on the ASX, good discount to the NZX currently. I'm not sure if we've seen the bottom yet though!

[whatsup]

OCR probably getting hiked tomorrow as well. 95 cents definitely on the table.

Done up .25 %

[Casa del Energia]

I notice that in thier Mines and Money presentation (placed onto NZX on 24th march), p 9 says
'Cascade – New Three Year contract with cement plant'.
I think it was about a year ago Holcim said they were closing the cement plant in two years. Does that mean Holcim have changed thier minds again? Or do they just walk away from the supply in a year or two.

[biker]

Capital raising it is. Should know the damage tomorrow morning.

[blackcap]

Capital raising it is. Should know the damage tomorrow morning.

This was pretty inevitable though wasn't it. Until the price of coking coal gets above $150 a tonne, this company has no prospects whatsoever.

[Bobcat.]

Are you privy to the details of the announcement, biker? All I'm seeing is a trading halt. You could well be right of course. I wonder just how much cash and debt they do have. I'll go digging into their latest financial report for a look. Back soon..

edit: Current assets of $21m of which half are cash and short-term deposits, against current liabilities of $18m (with total liabilities of $290m). Doesn't look desparate for extra working capital or debt repayment.

BC

[youngatheart]

I always find this a useful indicator of monthly coking coal prices: http://www.indexmundi.com/commodities/?commodity=coal-australian&months=60

Monthly price release is usually around the 20th of the month.
Unless anyone else has a better one?

[biker]

14 April 2014
Listed Company Relations
New Zealand Exchange Limited Level 2, NZX Centre
11 Cable Street
Wellington, New Zealand
TRADING HALT - Bathurst Resources Limited (BRL)
Company Announcements Platform Australian Securities Exchange 10th Floor, 20 Bond Street
Sydney
NSW 2000
T +6444996830
F +6449745218
E wellington@bathurstresources.co.nz
Level12,1WillestonStreet Wellington6011,NewZealand PO Box 5963 Lambton Quay Wellington 6145, New Zealand
Bathurst Resources Limited (BRL) has requested that a trading halt is granted in respect of its securities pending a material announcement relating to capital raising by the Company. A further announcement is expected to be made by 9:30am (NZ Time) on 15 April 2014.

[blackcap]

I always find this a useful indicator of monthly coking coal prices: http://www.indexmundi.com/commodities/?commodity=coal-australian&months=60

Monthly price release is usually around the 20th of the month.
Unless anyone else has a better one?

Thanks for that. No i do not have a better one. Its hard to find the price of coking coal. I do note the link you provide is for thermal coal but its better than nothing.

[Bobcat.]

nzx web site contains confirmation of some sort of capital raising.

Yes, I see it now, thnx. I like the way that this company's managed. Through no fault of their own, the market price for their products has takien a dive. It will be interesting to see their reasons and of course the terms.

[biker]

Bathurst Resources Limited (BRL) – application for trading halt 1. The Board of BRL has asked us to write to you on BRL’s behalf requesting an urgent trading halt to commence immediately, before the commencement of trading this morning. BRL is requesting this trading halt so that it may undertake a competitive bookbuild as part of a placement (currently expected to be 10-12% of its capital at a discount of 15- 20%) (Placement), the processes for which were commenced overnight but which will not be completed by 10am this morning. It is expected that this process will be completed by 9am on 15 April 2014, at which time BRL will make an announcement regarding the allocation of shares under the Placement. The release of that announcement is expected to bring the trading halt to an end. This morning, BRL has requested and been granted a trading halt by NZX Regulation. In providing its submission to NZX, BRL noted that it considered that a trading halt was necessary and appropriate in this circumstance because: (a) in respect of certain potential placees, BRL is liaising with an overseas intermediary that is not a market participant and, while BRL has a confidentiality commitment with that party, BRL does not have a full understanding of the nature of the obligations that such intermediary has imposed on the third parties that it is in discussions with. (We note that such placees will execute an agreement that provides various commitments to BRL but BRL does not have full control over the order in which the discussions and document execution take place); and the Placement is conditional on achieving a minimum bookbuild and although that level is expected to be achieved there is no assurance at this time that this will be the case;. the fact that shares may be issued at a material discount to the current market price is material information, but BRL is not currently in the position to announce the price at which the placement will occur.

[croesus]

Thanks to the Green Taliban.

Await the news with interest.

[hling88]

trading halt capital raising for sure.
or have the chinese come to steal an assett at the bottom of the cycle.

It seems happening now.

[Bobcat.]

It sounds like around 100m shares at 7c (NZD).

That's a good price for a large slice of this company. Any guesses as to the lucky buyer?

[croesus]

Would like to think it was NZ based... but its probably Chinese.

[blockhead]

Or Indian perhaps