Bathurst Resources Ltd (AXS: BTU) confirmed late yesterday that it had now acquired the Buller coal project.
The Perth-based company had achieved a formal settlement to acquire the hard coking coal project in the Buller coalfield near Westport from L&M Coal Holdings Ltd.
Bathurst has acquired the subsidiary company L&M Coal Ltd by paying $US35 million ($NZ44.5 M) required under the sale & purchase agreement.
L&M Coal Ltd has now been renamed Buller Coal Holdings Ltd and is a wholly owned subsidiary of Bathurst.
Bathurst’s managing director Hamish Bohannan said: “We are delighted to have now settled on the acquisition of the Buller project, which will be the cornerstone asset for Bathurst for many years to come.”
He thanked the private company L&M Coal, which is part of the private L&M Group which is major shareholder in the listed company L&M Energy Ltd (ASX & NZX: LME).
Bohannan said Bathurst was now working towards finalising offtake arrangements, achieving environmental consents for the project and securing approval of access arrangements.
Bathurst went into a trading halt on the ASX prior to making this announcement.