Australia's Cokal rises on agreement to develop mine for zero capital outlay

Cokal

12/08/2024 04:44

** Shares of coal miner Cokal  CKA.AX  up 9.9% to A$0.089
    ** Stock on track for best day since Aug. 1, if current
gains hold
    ** Co says unit PT Bumi Barito Mineral (BBM) enters
agreement with mining contractor PT Cipta Bersama Indonesia
(CBI) to develop underground production at BBM Metallurgical
Coal Mine for zero capital outlay
    ** Says CBI will pay all mine development costs, and 100% of
ongoing operating costs through to delivery of coal product to
BBM ROM stockpile
    ** Says agreement is a significant windfall as there were no
plans to develop underground operations at the mine within the
foreseeable future, given capital constraints and requirement of
high-level of technical expertise
    ** Stock down 32.5% this year, as of last close

 (Reporting by Sherin Sunny in Bengaluru)
 ((Sherin.Sunny@thomsonreuters.com))