great news eer- up to 5.5bln tonnes of coal!, page-8

the deal is fantastic for eer for the following reasons..

1. eer shareholders are receiving up to 2.64 times their existing resource in new coal which will give eer almost 6bln tonnes of coal...why is this important? well this now becomes a coal tenement of significance(globally) and any particular investor or indian/chinese company that needs supply can do the numbers on guaranteeing a coal supply stream and 20m, 50m, even 100m tonnes per annum for a long long time and that should justify infrastructure spend. (remember eer''s coal is open cut and not far from surface)

2. sure we have given shares away but at 20c eer without additional tenements would be capped at approximately 33m so for 40m we are getting up to an additional 4.5bln tonnes and keep in mind the market was valuing us at less than 10c ($16m) before this deal was announced too

3. we now will end up with a company that has a resource of global significance and a growth story too with additional coal reserves to come.

4.Noble have backed this company and giving eer a loan to see them through this tough time for explorers they wouldn't be doing that unless they believed in the quality of these assets

this is a great buy getting an opportunity to own along with noble a significant coal resource where 3 billion of our closest neighbours are short energy and need it in abundance.