TIDMANR

RNS Number : 4332W

Altona Energy PLC

27 April 2016

27 April 2016

Altona Energy Plc

("Altona" or the "Company")

Business Update

Altona (AIM: ANR) is pleased to announce the following business update in regards to its joint venture, Arckaringa Coal Chemical Joint Venture Co Pty Ltd ("the JV Company"):

The first shareholder and board meeting of the JV Company was held on 20 April 2016 where the following persons were appointed as directors of the JV Company:

   --     Qinfu Zhang, Executive Chairman of Altona; 
   --     Phil Sutherland, non-Executive Director of Altona; 
   --     Yueqin Yin, Chairman of Sino-Aus Energy Group (Hong Kong); 
   --     Guang Chen, Director of Sino-Aus Energy Group (Hong Kong); and 
   --     Jiahong Zhang, Director of Wintask Group.

Qinfu Zhang has been appointed Chairman of the JV Company, while Yueqin Yin is made Chief Executive. The JV Company will open an office in Xi'an, China where the day to day administrative and financial business will be conducted.

The board agreed a number of immediate tasks which will be carried out by the JV Company and its appointed advisors focusing on the preparation of a project plan and feasibility study designed to prove the viability of the project.

The board approved a number of objectives which are necessary to complete a Bankable Feasibility Study, including:

-- initiate a detailed exploration of the coal resources in the JV Company's primary mining area;

   --     conduct an analysis of the engineering geology and hydrology; 
   --     undertake a trial for underground coal gasification ("UCG"); and 
   --     initiate an environmental protection plan

Service Agreement with WSP Parsons Brinckerhoff (Australia)

The JV Company has signed a Service Agreement with mining engineering specialists, WSP Parsons Brinckerhoff (Australia) ("PB"), comprising an engagement plan and work schedule as follows:

PB will work with the JV Company to develop an overall Framework Agreement which defines the role and scope of services required to carry out the project;

-- PB will conduct a geology investigation / drilling / coring programme to assess the quantum and quality of the coal resource at varying depths

-- PB will undertake a Technology Review which will involve a global assessment of current UCG technologies with a particular focus on Australia, Canada and US technologies to determine the UCG technologies that are applicable to the project.

The board of Altona will update shareholders once a timeline for these objectives and programme have been agreed.

Qinfu Zhang, Executive Chairman of Altona, commented, "We are delighted that the JV Company has held its first meeting and agreed a plan of action to determine the best way to access our asset's vast resources. And, as the Chairman of Altona, it gives me great pleasure to advise our shareholders that the project is now underway and we hope to complete the bankable feasibility study for our Arckaringa site, as planned."

-ends-

For further information, please visit www.altonaenergy.com or contact:

 
Altona Energy plc 
 Qinfu Zhang, Executive Chairman             +44 (0)7769 
 Nick Lyth, Non-Executive Director               906 686 
Leander (Financial PR)                   +44 (0)7795 168 
 Christian Taylor- Wilkinson                         157 
Northland Capital Partners Ltd 
 (Nomad and Broker) 
 Matthew Johnson / Gerry Beaney 
 (Corporate Finance) 
 John Howes / Abigail Wayne (Corporate    +44 (0)203 861 
 Broking)                                           6625

About Altona

Altona is listed on the London Stock Exchange's AIM market. Its principal focus is on the evaluation and development of the Company's flagship Arckaringa Project to exploit the significant coal resources contained in three exploration licences covering 2,500 sq. kms in the northern portion of the Permian Arckaringa Basin in South Australia. The Project is designed to produce syngas products for the Australian market and export from a resource exceeding 7.8 billion tonnes of coal (1.3 billion tonnes JORC compliant).

This information is provided by RNS

The company news service from the London Stock Exchange

END

UPDAKADPFBKDCQB

(END) Dow Jones Newswires

April 27, 2016 02:00 ET (06:00 GMT)

Altona Energy (LSE:ANR)
Historical Stock Chart
From Aug 2024 to Sep 2024 Click Here for more Altona Energy Charts.
Altona Energy (LSE:ANR)
Historical Stock Chart
From Sep 2023 to Sep 2024 Click Here for more Altona Energy Charts.