A definite YES from me!
My first investment in CKA was in 2010 where the project was then held by a private equity company named Jack Doolan Capital Pty Ltd. I currently hold several million shares and have brought on market from 0.033c to 0.195c and am not a seller.
The late Peter Lynch who was Cokal’s CEO was another original investor and true believer in this ex BHP project with a world quality premium resource.
The last twelve years have been extremely difficult for CKA, with the….
Tragic death of our CEO Peter Lynch;
No financial institution would invest in coal, especially one located in Central Kalimantan;
China Rail defaulted on their contract to provide $US20mil in funding;
Had it not been for CKA’s Chairman Dominic Martino who invested his own money to keep the company afloat, all shareholders would have lost their investment a long time ago.
In the past two years COVID worldwide travel restrictions, staff shortages, lockdowns, several meters of rain in the last dry season whilst trying to build one hundred kilometres of roads, culverts and bridges.
Many international coal brokers have been hesitant to broker coal from CKA until logistics are proven. Hence a 6% discount to Platts index and sell to ICT being a cash buyer is a no-brainer.
That is why the Aahanna team now with CKA are best placed to build and operate the remote logistics infrastructure needed to deliver coal to market. They have a significant track record at Bayan Resources and will bring significant betterment to CKA.
Most coal purchasers or funders will not take the risk of the logistics chain, but ICT know the teams expertise and track record. That is the only way CKA have got this funding. Without it we would be a stranded asset.
This team will take this company into a very profitable coal producer.
As to the speculation that ASIC have commenced an investigation into CKA, IMHO that rumour has been propagated by a disgruntled ex employee who wants this project to fail without him being involved, which is erroneousandpetty.
Positives moving forward;
HPU (the mining contractor) are ready for immediate mobilisation to site.
ICT to pay 90% for purchased coal before loaded on barge and then final 10% when loaded, which is immediate cash in Cokal’s bank and not the usual sixty day invoice period before payment;
TBAR tenement drill results and significant re JORC;
Premium coal tonnage to increase exponentially.
Mr ShareJagger (who has decades of coal expertise in Kalimantan) has previously posted that on his experienced calculations, just BBM’s in ground reserves should return a SP of $1.87 and I believe that is a very conservative appraisal.
Wishing all CKA holders a very prosperous year ahead!!
(20min delay)