trending Market Intelligence /marketintelligence/en/news-insights/trending/JyF97hc6dCyakOoXlURLyA2 content esgSubNav
In This List

Major Aspire Mining shareholder commits to A$100M for Mongolian coal project

Podcast

Next in Tech | Episode 49: Carbon reduction in cloud

Blog

Using ESG Analysis to Support a Sustainable Future

Research

US utility commissioners: Who they are and how they impact regulation

Blog

Q&A: Datacenters: Energy Hogs or Sustainability Helpers?


Major Aspire Mining shareholder commits to A$100M for Mongolian coal project

Aspire Mining Ltd. received a conditional letter of intent from major shareholder Tserenpuntsag Tserendamba to support the company's early development plan for the Ovoot coking coal project in Mongolia through a corporate guarantee of up to A$100 million in future project financing.

Tserendamba will make pro rata equity contributions to fund Ovoot into production while maintaining a 51% shareholding in Aspire.

This comes following the company's recent announcement of an A$33.5 million placement at 2.1 cents per share to Tserendamba, which will result in his stake in Aspire Mining increasing to 51% from 27.5% upon completion.

The company will use the funds to meet costs associated with early mine construction activities and general working capital.

It said Sept. 16 that the project financing is subject to the completion of this share placement as well as the finalization of an agreed definitive feasibility study for the project.

Aspire's pre-feasibility study for the project in February estimated a pretax net present value, at a 10% discount, of US$586 million and an internal rate of return of 43.7%.