Overseas & General (ASX:OGL): Rahmat Coal Meets Chinese Market Demand
Sydney, June 18, 2010 AEST (ABN Newswire) - Overseas & General Limited (
ASX:OGL) has entered into a Memorandum of Understanding (MOU) with Chinese entity Zhejiang Materials Industry Fuel Group as a preliminary step towards the determination of supply contract for OGL's Rahmat coal.
The Rahmat coal project, located in East Kalimantan in Indonesia, will commence mining operations in July 2010 at 50,000 tonnes per month. Rahmat coal meets the Chinese buyer's requirement as it has medium energy with low ash and sulphur, OGL says.
The MOU was a significant step in securing an off-take arrangement at a very early state in the Rahmat project's development and it indicated the coal quality from Rahmat meets the demand from the Chinese market. OGL Managing Director, David Mason is confident there will be a formal supply contract in the near future.
Contact
Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net
| ||
|
