Join our daily newsletter At The Bell to receive exclusive market insights
- Bowen Coking Coal (BCB) has flagged its intention to raise some fresh capital after entering a trading halt
- The coking coal explorer last raised funds in November as well as secured a debt facility to help restart and operate the Bluff Mine in Queensland
- The company is also currently acquiring two projects within the northern Bowen Basin as part of its strategy to transition to a coal producer
- It isn’t clear how much will be raised nor how Bowen will spend the money, but details are expected by this Thursday, February 17
- BCB last traded at 23 cents on Monday, February 14
Bowen Coking Coal (BCB) has flagged its intention to raise some fresh capital.
The materials stock entered a trading halt today regarding the capital raise but hasn’t disclosed any details such as how much it will raise nor how it plans to spend the money.
The trading halt is expected to remain in place until no later than Thursday, February 17, by which time information about the capital raise would likely have been released.
Bowen Coking Coal raised capital less than three months ago when it completed an oversubscribed placement in November which raised $11 million.
Around the same time as the placement, BCB secured a $15 million debt facility which, along with the $11 million placement, was being put towards restarting and operating the Bluff Mine in Queensland after being under care and maintenance for around 12 months.
At the time, the coking coal explorer said the funding marked an ‘important milestone in [its] transition from coal explorer to producer’.
Other than the Bluff mine, Bowen Coking Coal owns the Isaac River, Broadmeadow East, Cooroorah, Hillalong (90 per cent) and Comet Ridge coking coal projects in Queensland’s Bowen Basin.
It’s also in the process of acquiring the Burton Mine and Lenton Project in the northern Bowen Basin through a share sale and purchase deal with New Hope Corporation (NHC).
The acquisition is expected to be completed by the end of the current March quarter.
It isn’t clear which, if any, of these projects the upcoming capital raise will support, but details are expected by this Thursday.
BCB last traded at 23 cents on Monday, February 14.
