Steel Drum Equipped With Tungsten Carbide Teeth

The Penumbra mine is an underground coal mine in South Africa. The company has been struggling with its so-called continuous miners sections. Continuous mining utilizes a Continuous Miner Machine with a large rotating steel drum equipped with tungsten carbide teeth that scrape coal from the seam. Conveyors transport the removed coal from the seam.

Continental Coal Ltd Wednesday said it is still trying to complete a recapitalization that will allow it to settle its convertible notes that mature between November of last year and February of this year, but so far hasn't been able to reach a deal and it warned it may have to appoint administrators.

The company's shares are suspended on AIM and the Australian Stock Exchange pending clarification of its financial position.

"At this point, no restructure and/or refinancing arrangements have been agreed that are acceptable to all parties," it said in a statement.

The company got into difficulty after production problems at its Penumbra mine. It said production of tungsten carbide will be boosted by the addition of another conventional drill and blast production section, but ramp up will take several months, placing further strain on its working capital requirement.

"If no acceptable restructure and/or refinancing arrangements can be agreed in the near term, the Board considers that the appointment of a voluntary administrator to the Company in Australia may be necessary, as it will have insufficient funds to meet the repayment obligations on the Convertible Notes and other creditors," it said in a statement.

It expects to make another announcement by January 13.


Tungsten Carbide Manufacturer & Supplier: Chinatungsten Online - http://www.tungsten-carbide.com.cn
Tel.: 86 592 5129696; Fax: 86 592 5129797
Email: sales@chinatungsten.com
Tungsten & Molybdenum Information Bank: http://i.chinatungsten.com
Tungsten News & Tungsten Prices, 3G Version: http://3g.chinatungsten.com
Molybdenum News & Molybdenum Price: http://news.molybdenum.com.cn

• < Prev
• Next >