Business

Cockatoo Coal's troubles may be linked to an $81m bank g'tee

UPDATE, 1pm: Cockatoo Coal's move into administration on Tuesday has coincided with a November 16 deadline linked to an $81 million bank guarantee.

On October 9 the company announced that it had received a notice from Australia and New Zealand Banking Group Limited (ANZ) stating that the bank would be terminating the company's $81 million bank guarantee facility (LC Facility) on January 15.

On termination, all amounts under the LC Facility will become repayable.

Currently $10 million of the facility is cash backed and $37 million is backed by letter of credits.

Under the terms of the notice, Cockatoo Coal had to provide ANZ with an update as to arrangements for repayment of the amounts outstanding on November 16 and December 15.

The company has previously said it was exploring options for the refinancing of the amounts outstanding under the LC Facility and would further update the market with any material developments.

On 20 October the company announced the sale of its Kingaroy tenement EPC 882 to Moreton Resources Group for $300,000.

It said the sale of this "non-core asset aligns with Cockatoo's strategy of focusing on the expansion of its flagship metallurgical coal mine at Baralaba".

The Morning Bulletin has invited Cockatoo Coal to respond to questions regardinh the $81m guarantee.

 

6am: ADMINISTRATORS have been appointed to Cockatoo Coal Limited, but the company says staff will continue in their current roles while its operations are reviewed.

Cockatoo is an Australian-based metallurgical coal producer with an operating coal mine in Baralaba.

The company also has interests in a number of exploration permits in the Bowen, Galilee and Surat basins.

PPB Advisory is currently undertaking a review of Cockatoo and is working with all stakeholders to assess the current position of the company and identify opportunities to restructure the business for the future.

PPB Advisory partner Grant Sparks said Cockatoo will continue to operate on a business-as-usual basis while they undertake a review of the company.

Topics:  administration, baralaba, cockatoo coal, mining




Veterans' kids able in line for scholarship

Scholarships are set to help Vet kids

$12,000 RSL Queensland Scholarships up for grabs

Bass, heat and buzz set for region this weekend

Melbourne's Taxi Ride will perform at the Allenstown Hotel's Beer and Cider Festival this weekend.

What's on around the region this weekend

FISHING TAILS: Top tides for estuary fishing

COD CATCH: Danny Jensen with a pair of quality cod caught during the TTFFC August competition.

A few red emperor and nannygai have been caught recently

Latest deals and offers

Blac Chyna sued after car injured 2 women

Blac Chyna is being sued after her friend crashed into another car

Bachelor Richie gives bacon-loving Noni the boot

Noni Janur features on this season of The Bachelor.

TOOWOOMBA swimwear designer still single but focusing on her career.

Chris Hemsworth surprises kids at hospital as Thor

Chris Hemsworth and Tom Hiddleston surprised children at hospital

Country crooner to play n Capricorn Coast

COUNTRY LEGEND: James Blundell will play at Emu Park's Pine Beach Hotel on Wednesday August 31.

Country's James Blundell to play at Pine Beach Hotel next week.

MOVIE REVIEW: War Dogs tells a fascinating true story

Miles Teller and Jonah Hill in a scene from the movie War Dogs.

DARKLY funny film examines the business side of the war on terror.

Marvel-ous: Thor actors visit sick kids at Lady Cilento

Stars of Thor: Ragnarok dropped in on patients at the hospital

ISLAND FOR SALE: Cheap Fraser Coast island drops price again

Suna Island in the Great Sandy Strait will be auctioned by Ray White Hervey Bay on Saturday morning.

This is the cheapest island you will find for sale in Australia

How a family home can fit on a 250sq m block

This is what you can build on 250m2.

Here's the floor plan of a home built on 250sq m

$100m plan for Curtis Island 'world class' luxury resort

$100 million resort: Top views at Turtle Street at Curtis Island.

"At the moment we think it meets all the town planning approvals.”

Coast building approvals at seven-year high: report

The the 2015/16 Development Indicators Annual Highlights Report documents local development activity that took place during the last financial year.

New report shows increasing development on the Sunshine Coast

Top honours for Mackay and Whitsunday builders

The Kerrisdale Gardens property from Paynter Dixon Queensland which won them Project of the Year.

Mackay and Whitsunday builders awarded top honours last night.

Investors eye Gladstone's $4m island with resort approval

UP FOR SALE: Turtle Island is on the market.

CHINESE and Sydney investors flag interest in Gladstone island.