MARKETS

Prairie positioning for Polish play

EUROPEAN coal focused Prairie Mining has made the decision to pursue listings for its securities ...

Michael Cairnduff

The company said its listing on the Australian Securities Exchange would remain unchanged.

Lublin is a large-scale premium coal project located directly adjacent to the highly profitable and established Bogdanka mine in south-eastern Poland, and has the potential to be a very low cost producer of hard coal delivered into Europe.

Prairie Mining told the market last week it intended to apply for admission of its ordinary shares to the “standard listing segment of the official list of the UK Financial Conduct Authority and to the LSE for trading on its main market”

The move is scheduled to occur during the third quarter of 2015 and if successful will see Prairie Mining’s shares – or depository interests representing shares – be transferable between the ASX, LSE and WSE.

The company does not plan to raise any additional capital through the subsequent listing process.

Prairie Mining CEO Ben Stoikovich said the decision to list on the LSE and WSE represented a major strategic move forward for Prairie Mining in the development and financing of the Lublin project.

“It will align the company’s future investor base with our project and our UK and Polish executive team,” Stoikovich said.

“We intend to further build support among institutional investors, banks, off-takers and strategic partners in these key markets, while completing our feasibility and mine permitting programs.

Prior to announcing its decision to pursue multiple listings, Prairie Mining secured the exclusive right to apply for and consequently be granted a Mining Concession for Lublin, following approval by Poland’s Minister of Environment of the company’s previously submitted geological documentation.

The company has three years to lodge its Mining Concession application and is advancing technical and environmental feasibility programs for Lublin, with the intent of making the application sometime in 2016.

“Miroslaw Taras – who led our neighbour Bogdanka through its successful IPO in 2009 and oversaw the development of the company into the most profitable hard coal mine in Europe – is an integral part of our executive management team and is now working on a full-time basis to progress the Lublin project.”

Stoikovich said the government approval of the company’s geological documentation represented a major permitting milestone, and paved the way for further development of a “multi-generational, low operating cost coal project, which would provide Europe with a strategic, local and secure source of supply for the steel and energy industries”.

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