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SENSEN NETWORKS LIMITED — Capital/Financing Update 2012
Nov 20, 2012
65829_rns_2012-11-20_e088e682-fabc-4c0f-95c9-f12a3e541ea5.pdf
Capital/Financing Update
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21 November 2012
ORPHEUS ENERGY SECURES FIRST COAL OFFTAKE CONTRACT
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Coal sales purchase agreement signed to supply coal to an Indonesian steel manufacturing group
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8,000 – 10,000 tonnes per month of ADK coal to be delivered to the buyer
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Benchmark pricing with quarterly reviews
Orpheus Energy Limited (ASX:OEG) is pleased to advise that it has signed a coal sales contract with an Indonesian steel manufacturing company, located in Banjarmasin, South Kalimantan.
Under the terms of this initial agreement, the offtaker will purchase thermal coal from Orpheus Energy’s ADK Kintap mine for one year, commencing December 2012, at the rate of 8,000 – 10,000 tonnes per month. The coal will be transported by truck to the steel operation, approximately 140km from ADK, for use in power generation at the facility.
The coal will be sold at benchmark pricing, with quarterly adjustments, and the coal specification requires the following characteristics: Calorific Value 5500-5300 Kcal/Kg (ADB), 33-35% Total Moisture (ADB), 2-4% Ash (ADB), and 0.5% Sulphur (ADB).
Executive Chairman Wayne Mitchell said: “We recently told shareholders that we were in negotiations regarding longer term contracts for our ADK coal and we are now happy to announce our first offtake agreement. The benchmark pricing outcome represents a vote of confidence in the company’s ability to deliver, and positions us to sell increasing quantities of coal as our mines’ capacity grows. This is an important milestone in our plans to establish Orpheus Energy as a significant supplier of coal to both export and Indonesian domestic markets” .
For further information, please contact:
David Smith Email: [email protected]; Phone +61 2 9922 3930
Released through:
Sam Sloane Six Degrees Investor Relations; +61 2 9230 0661 or +61 412 845 920
Cautionary Note:
This release may contain forward-looking statements that are based upon management’s expectations and beliefs in regards to future events. These statements are subjected to risk and uncertainties that might be out of control of Orpheus Energy Limited and may cause actual results to differ from the release. Orpheus Energy Limited takes no responsibility to make changes to these statements to reflect change of events or circumstances after the release.
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