longer article from the australian - very nice

It would appear The Australian's business correspondent has found the time to do a proper piece on Mr Tinkler's intentions towards BWD.

http://www.theaustralian.com.au/business/mining-energy/nathan-tinkler-takes-a-stake-in-coal-junior-blackwood/story-e6frg9e6-1226349267388

BEGINS ...

Nathan Tinkler takes a stake in coal junior Blackwood by: Sarah-Jane Tasker From: The Australian May 08, 2012 12:00AM Increase Text SizeDecrease Text SizePrintEmail
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Coal billionaire Nathan Tinkler has bought a 33.85 per cent stake in Blackwood at a high premium. Picture: Liam Driver Source: The Australian
NATHAN Tinkler, fresh from selling his flagship vehicle to Whitehaven Coal, has thrown his support behind another coal junior with a $28.4 million placement to Blackwood Corporation.
The young billionaire will also take a seat on the board of the coal explorer, instead of nominating a representative, as he has done with his executive positions on the merged Whitehaven and Aston Resources entity.

Mr Tinkler had to negotiate himself on to Blackwood's share register and agree to pay a 50 per cent premium to earn a 33.85 per cent stake because Hong Kong trader Noble Group already had 53 per cent of the junior.

The placement to Mr Tinkler's private vehicle, Mulsanne Resources, will dilute Noble's interest to 33.85 per cent.

Blackwood chief executive Todd Harrington said the company had a "large playground" and a new management team doing the right things, and the Tinkler Group wanted a "piece of it".

..."Given we already had a controlling shareholder, they had to pay quite a premium to get part of it. It sends a big message that we were highly undervalued before," Mr Harrington said.

Mr Tinkler earned a 20 per cent stake in Whitehaven after selling the coalminer his company, Aston Resources, to create a $5bn-plus entity and the market is waiting to see when he will sell down his interest to fund new moves in the sector.

Mr Tinkler said yesterday Blackwood's shares were "grossly undervalued", which is why such a strong premium was paid.

He added that Blackwood had an attractive suite of assets, with large-tonnage deposits, and it looked as if it would be the first producer in the market in Queensland's Galilee Basin.

"We are looking forward to working again with Noble on the development of the assets as they are one of the largest coal traders in the world, with whom we have a solid relationship," he said.

The placement was priced at 30c a share, while shares in the company rose 6.98 per cent yesterday on the news, to close at 23c.

A thermal coal underground project in the Galilee Basin and a thermal coal open-cut project in Queensland's Surat Basin are Blackwood's main focus and the company will start work in the Bowen Basin in the next few months.

Blackwood chairman Barry Bolitho said the company would benefit from Mr Tinkler's contact network, his experience in the coal sector and the additional depth his involvement would bring to the Blackwood investor base.

ENDS ...

If that doesn't push us north of 30c tomorrow, nothing will.

Let's see if the SMH et al follow suit.

EB