"The very unloved coal space is attracting interest with some major trading and institutional investors/debt providers funding projects owned by the likes of Cockatoo Coal COK-AU, Cokal CKA-AU and Resource Generation RES-AU. BBY was involved in the equity raising for RES, which has dramatically de-risked the company from an investors point of view. While the other stocks are exposed to the international coking coal market, RES is a A$131M market capitalization with a thermal project in South Africa, which is poised to benefit from domestic coal price increases separate to any move in the international prices, and backed by a over 750Mt of reserves in some 35% of the likely coal bearing leases. The RES equity raising has installed a group of very strong shareholders that will have no trouble ensuring RES will be funded right through the project development."
That makes it all better!!!
RES Price at posting:
22.0¢ Sentiment: Hold Disclosure: Held
