MC Mining Limited has announced the signing of a co-operation agreement with Haohua Energy International (HEI), a wholly owned subsidiary of Shanghai-listed Beijing Haohua Energy Resource Co. Limited, the largest exporter of anthracite coal from China.
The original co-operation agreement between the parties was signed in 2013. However, the introduction of new shareholders during the last six years resulted in HEI not maintaining the required 19.9% shareholding in MC Mining and the agreement subsequently lapsed. The revised 2019 co-operation agreement aligns HEI's threshold with other substantial shareholders eligible to have a board seat and the company will need to maintain an interest of at least 5.4% to have the right to nominate a potential director to the MC Mining board. Shangren Ding is HEI's current representative and will remain on the board as their nominee.
MC Mining believes it is important to maintain the relationship with HEI in order to benefit from their substantial knowledge, and the co-operation agreement facilitates a long-term mutually beneficial strategic partnership. The agreement includes details on the commercial, technical, financial and operational issues pursuant to which MC Mining will be able to draw on HEI's technical expertise. Furthermore, HEI will assist and use its best endeavours to arrange further funding in the development of the MC Mining's substantial metallurgical coal assets.
Read the article online at: https://www.worldcoal.com/coal/28062019/mc-mining-signs-co-operation-agreement-with-haohua-energy-international/