Ann: Half Year Accounts, page-14

I think a JV cross holding wont be enough for them. It doesn't guarantee permanent supply from Epanko, even with a 10 year contract. I read their financial results and looked into their cross-holdings and i learned they buy coal, chemicals etc. from companies/mines they hold direct positions in, they also own, mostly outright, the value adding component.

So i have no doubt they'll fund the JV, but it's the mine, or maybe KNL i expect them to take a position in.

Would you fund a $100m JV with a minnow without taking some type of guarantee, either through a company position or mine equity stake? I mean what's an extra $10, or $20m for a position in KNL when you've just stumped up $100m?

Just a thought. I obviously don't know. But i don't think they'll only want a position in the JV. I don't think it'll be enough for them.