Gulf Manganese has secured a cornerstone investment of approximately AU$10.8 million from Jakarta-based businessman, Bapak Dato Dr Low Tuck Kwong, founder and President Director of integrated coal group PT Bayan Resources TBK.
Upon completion of the investment, which will occur following shareholder approval in Perth, Bapak TK Low will hold a 19.8 per cent equity holding and will be entitled to appoint one seat on Gulf’s Board of Directors, and one seat on the Board of Commissioners in the Indonesian Subsidiary Company, PT Gulf Mangan Grup.
Gulf will issue 714,597,448 ordinary GMC shares to Bapak TK Low at a placement price of AU$0.015 per share for a total investment of AU$10,718,962. Additionallu, Gulf will issue 714,597,448 listed options exercisable at AU$0.005 per option expiring 30 April 2019.
Gulf Managing Director and CEO Hamish Bohannan commented said that securing the support of Bapak Dato Dr Low Tuck Kwong was an excellent endorsement of the Gulf Manganese Project in Kupang, Indonesia.
“This underpins the investment made by Bapak Fofo Sariaatmadja of PT Jayatama Tekno Sejahtera into both Gulf and PT Gulf in March of this year, demonstrating the Company’s commitment to developing a world-class Indonesian Company as well as realising Gulf’s vision for the surrounding communities of Kupang and East Nusa Tenggara,” said Mr Bohannan.
Gulf sees this as another building block in its goal to build an integrated manganese mining, processing and smelting operation.
“With funding now in place, we are focused on three key objectives: the commissioning of our smelters safely, on time and on budget, acquiring a financial interest in producing manganese mines in East Nusa Tenggara and securing a Direct Shipping Ore (DSO) export licence.”