# WEC - White Energy Company



## Mofra (8 July 2007)

Howdy,

"White Energy Company Limited (WEC, formerly Amerod Resources Limited) aims to create a diversified resource group with unique mining technology capabilities. WECs existing asset base includes Coal Technology Assets and Mineral Exploration Assets."

Have only just heard about this small cap, Nutshell on another thread had mentioned them too, appears they have a worldwide patent for coal processing technology which could reduce emissions & improve efficiency during the energy production cycle. Appears they received a government grant a few weeks back to fast-track productions of a demonstration facility, they also have an understanding with BHP too, so some big players are starting to take notice. 

Unsure about the financial situation, as I read it they may be some way off of profitability. Has anyone been following this one or have any further sources of information? 

Cheers


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## Santoro (8 July 2007)

*Re: WEC - White Energy Company Ltd*

Mofra,

Don't know anything about them, looks interesting though, need to look into other emerging coal technologies perhaps, did find,

http://www.coalbriquettes.com/briquetting.html
http://www.csiro.au/science/ps3y.html

BHP look interested...


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## Mofra (9 July 2007)

Cheers Santoro, with both a government grant & a BHP announced to market, WEC at least warrants some follow up research.


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## daves2074 (23 July 2008)

Chart looks very promising here, and we all know, all that matters is sentiment. Large flag formed from strong move up, and another strong move up looks on the cards. I am in.


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## noirua (16 August 2008)

A very interesting company this in the new technology for cleaner coal and the 10 plants planned, 1mtpa each, looks like a promising start. Also has interests in coal production at Tabang in Indonesia and the Adaro mines. Director Mr Travers Duncan is also Chairman of Felix Resources that have massive sub-bitumous coal interests in South Australia.

An interview with MD, Mr John Atkinson: http://www.brr.com.au/event/36888/wec-highlights-of-2007-annual-general-meeting-mr-john-atkinson-md
http://www.whiteenergyco.com.au

Has a US quote that may add the similar lift that Linc Energy got with their quotation, at some stage. Looking to add a quote on the UK AIM market.


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## noirua (23 August 2008)

Looking set fair are WEC providing no prospect of earning doesn't bug you:  http://www.compareshares.com.au/wise67.php


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## lemontree (15 March 2010)

Hasn't been a post in this thread for quite some time now.

Check out the latest announcement from WEC

What are your thoughts on this annoucnement, possible share price boom perhaps?


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## noirua (22 April 2010)

lemontree said:


> Hasn't been a post in this thread for quite some time now.
> 
> Check out the latest announcement from WEC
> 
> What are your thoughts on this annoucnement, possible share price boom perhaps?




Spot on lemontree and I hope you filled your boots with stock.
Even though WEC reached $3.60 on Wednesday it wasn't  at a high point as this old information nearly 2 years back shows:  http://www.compareshares.com.au/wise67.php


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## Quillan (12 May 2010)

Hi Noirua, Nice to be back after my European winter hibernation. Have been busy counting Felix acorns!!
I have a feeling this site will now spring to life as our old friend Mr Flannery comes aboard.
I seems pretty certain that the reserves figure at Phillipson of 1.5mt will be easly surpassed, as it was said to be probably in excess of 4bn tonnes, when it was owned in Felix's previous incarnation as Meekatharra.
I received a shock from Bill Lyne of SACL, in which he suggested the coming Rights Isssue may not be open to overseas holders on the SAC Register.
My response below addressed to WEC was copied to SACL.This is for the benefit of any other overseas holders of SACL who might receive any similar misleading suggestions from SACL.

The Company Secretary,White Energy Ltd.
Dear David,
I wrote to SAC about timing details for this proposed offer. Having been a shareholder of Felix as far back as when it was Meekatharra, 20 years ago, It seems it would be most unfair if someone who supported FLX to the tune of xx,000 shares, was to be denied the opportunity of subscribing to the Rights Offer, as an overseas holder.
I am well aware there was a large number of overseas holders on the FLX Register, which is of course now the SAC Register.
I have received the proposed Offer details dated 19th April. This makes it clear that 100% of SAC shareholders were entitled to the Performance Shares to be converted into WEC Ordinary shares.
It then goes on to state that "SAC shareholders who elect to receive WEC Performance Shares, will also be entitled to subscribe for 0.2034 WEC Fully paid ordinary shares per SACL share at a price of $2.50 per WEC Share under the SACL Subscription Offer
This seems water-tight to me with no suggestion of exclusions of any group of shareholders which would hardly be democratic anyway.
I wonder therefore on what authority the Company Secretary of SAC replied to me suggesting overseas holders could be excluded. It would suggest that Bill Lyne hadn't understood the terms of the document he sent out.
Looking at the existing and new list of WEC shareholders when this offer is completed, makes any suggestion of excluding overseas registered shareholders from participating in future Right Issues a preposterous idea.
WEC is already an international coal company. What is Bill Lyne talking about?

Best wishes,
xxxx xxxxx aka Quillan..


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## noirua (12 May 2010)

Hi Quillan, Normally a rights issue is only open to Australian and New Zealand investors. [it is illegal to send information concerning a rights issue to a citizen of the United States]
I understand from a Chairman of another ASX company that costs involved are not worth including UK investors. In his companies rights issue they included an issue of shares to 'sophisticated investors' which included several UK investors, in a form of a placing. In theory, this could include smaller holders but again would be costly as many may not be broker sponsored and therefore the company would have to write to everyone individually.
He pointed out that CSR Limited did allocate shares in their rights issue but they had to be sold into the market and the proceeds sent to shareholders - so this appears to be the way out of the problem.

I'm told that WEC is not an International Company as they would have to be listed in another country (BHP Billiton for instance), ie The United States or UK etc., In that case shares could be issued, in a rights issue, to persons in the country the quotation takes part and to those people in other countries where that country's laws allow it, such as, the European Common Market.


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## Quillan (14 May 2010)

Hi Noirua, 
Perhaps I didn't make myself clear. 
My main point is that the SACL has many overseas holders on its Register.
The Offer appears to have gone out to everyone on that Register, and contains no provisos about where they are located.
I regard a Company as International, if it has an International Register.
There are many large holders on the SACL Register who are I am sure, registered overseas. Do you think they might intend to exclude them?
My Rights entitlement will cost me close on AUD30,000. Is it possible that they could think it is not worth the extra cost of a stamp to include me and others like me in the Offer?
I am CHESS Sponsored and deal only via an Austalian Broker and an Australian Bank account.
I believe the document sent out is an offer to me which is not conditional upon where I live. If it was, it must say so.
It talks of "if 100% of SACL shareholders accept" not "qualified shareholders".
The mathematics of an extra 15.7m shares in para _ of the Offer on Page 2, proves it is open to all on the SACL Registry if you multiply 0.07985 shares by the number of shares on the SACL Registry.[197m]
There would have to be a qualification if it was not open to all. If I don't qualify, why send me the document? These are rhetorical questions. Certainly the Laws of the European Union permit its subjects to subscribe to shares in any Company anywhere, but I think your suggestion was that maybe the Issuing Company might not think it worth the extra cost of the stamp?_


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## noirua (14 May 2010)

Hi Quillan, There are a lot of shareholders in SACL who are registered abroad but the number of shares they hold are very small.
I'm 100% certain that WEC will sell the shares allocated to those not living in Australia and send them a cheque for the proceeds - probably in Aussie dollars. [unless WEC shares go below $2.50]
Having an Aussie bank account or/and even a registered address in Australia does not make you eligible for the rights issue.

I can't see WEC getting an AIM quote at a time when anything Aussie and involved in mining isn't likely to sell well. Anyway, the UK market still uses old fashioned market makers and the wide spread between buy and sell reduces interest.

I read the letter from WEC and SACL and you are correct in what you say. They infer that you should be included in the rights issue. Unfortunately they're wrong.

As you are in contact with WEC: If they do not know how to write their letter to SACL shareholders then I'm sure I could write it for them.

Such is life I suppose. 

***

The offer for WEC stock looks good enough now the Henry Proposed Reforms have arrived.

Hope to hear from you on the ASF WEC thread from time to time.  All the very best noi


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## Quillan (21 May 2010)

Hi Noirua and other SACL shareholders. I notice in the 19th April pdf something has slipped in, in paras ii and iii which wasn't in the posted document of the same date.
It is in reference to the extra shares to be issued if drilling upgrades reserves above 500mt and up to 1.500 mt. I understand the meaning of the sliding scale, I think. It means if the reserves turn out to be 1,250 mt, we are entitled to the full tranche under ii and half the tranche under iii in new shares.

But then they come up with a White share price of $2.80 in ii and $3.10 in iii. No mention of this in the posted document.What does it mean? It makes no sense to me. At first I thought they were asking us to subscribe to these additional shares at these prices, which of course is not the case. They are bonus Issues based on the additional reserves beyond 500mt.

If it has any meaning or alters the terms of the posted document, they should have followed it up with an amendment. I realise the official Offer Document is the binding agreement, but it may not arrive for a month, and any Shareholder may not wish to consider the new terms if these $2.80 and $3.10 figures materially affect the offer.

Noirua, I must contest your assertion that the $2.50 Rights Issue, will only be open to Australian and NZ Residents. The pdf document states quite clearly it is open to all shareholders.

If you were correct, and as you suggest, they might be happy for people like me to subscribe but would then sell my shares, hopefully at a premium in the Market, then no doubt the Offer Document will make this clear. I can then immediately buy my sold entitlement back from the Market, hopefully at the same price, so what's the point?

It would be a pretty shabby way to treat investors who had put up their money.Suppose the share price slips back to $2.50 in the meantime?
That will remove all shareholders who only intended to subscribe for the premium established in the market. QED ---WEC will not get the money they had hoped for.

There are too many large overseas shareholders I would imagine to treat in this manner. Maybe even Peabody is building a stake, before they are entitled to subscribe to 15% of the equity?

I have written to the ASX on this point referring to the fact there is no mention of it in the Posted Document, and no provisos or "subject to" wordings in the Document.. It is stated quite clearly there and in the pdf, that all Shareholders are included in all the Offer Terms.


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## noirua (21 May 2010)

If you do not have a registered residential address in Australia or New Zealand you cannot be issued with shares in the forthcoming rights issue by WEC. 

Some people have a subsidiary company in Australia or have a pension fund "Arosa for instance" which they use to purchase shares and in rights issues. Then you can take part in the rights issue. 

Anyway, WECs stock price is falling and the UK footsie is sliding fast (fear is the most damaging thing for shares). So I think WEC shares may test the $2.50 level.


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## noirua (3 June 2010)

WEC stock has recovered well as investors bought back into the company over their confidence in the takeover bid for South Australian Coal (SACL). Their interests in Phillipson at 4 billion tonnes of sub-bituminous coal, to be upgraded by a unique process into briquettes, and sold into the thermal coal markets.

The Arckaringa region being mined by UKs Altona Resources AIM:ANR will be for an oil from coal process. So WEC and ANR will not be in competition - though the areas look good for South Australia going forward.

I hold WEC, SACL and ANR stock.


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## Quillan (5 June 2010)

Noirua. I have seen Australian thermal coal in the ground, undeveloped, valued at 30cents/tonne.
Although Phllipson is sub-bituminius coal, if WEC technology brings it up to practically thermal values, and being open cast, wouldn't this justify a similar valuation? It will still cost less to mine and treat than most/all thermal deposits.
Say 3 bn tonnes at 30cents, would value the deposit at more than the WEC Mkt Cap !!
Bought for $39m !!
The fact that it has an export facility at Darwin with no queues, linked by an underused Railway line, and is also suitable to feed the State Power Generator, ought to be part of the valuation.
I remember 5 years ago, the coal supplied was dirty and said to be well past its sell-by date as the mine went ever deeper.


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## noirua (7 June 2010)

Quillan said:


> Noirua. I have seen Australian thermal coal in the ground, undeveloped, valued at 30cents/tonne.
> Although Phllipson is sub-bituminius coal, if WEC technology brings it up to practically thermal values, and being open cast, wouldn't this justify a similar valuation? It will still cost less to mine and treat than most/all thermal deposits.
> Say 3 bn tonnes at 30cents, would value the deposit at more than the WEC Mkt Cap !!
> Bought for $39m !!
> ...




You've got me a bit here as I only know about the coal evaluation at the Ingomar trial pit area. About 150 thousand tonnes was excavated in 2001 and as far as I know is still piled up there. Flinders Power Partnership had options on this part of Phillipson up to May 2010 and there has been no comment so far on this.
Flinders are considering using the coal as Leigh Creek coal runs down: Flinders are also under pressure to stop running the longest trains in the world from Leigh Creek to Port Augusta.

WEC are more interested in coal from further north in multiple seams at 'Corner Gate Deposit'  to upgrade.
As to profits I think its too difficult to evaluate.

SACL are also exploring for gold in the Northern part of Phillipson, near Coober Pedy, not in the Woomera protection zone  in which 75% of Phillipson is.


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## noirua (8 June 2010)

ASX announcement concerning the takeover bid for South australian coal SAC:  http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01069997


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## noirua (8 June 2010)

The bid for SAC shares by WEC is worth $1,996 for 10,000 shares in SAC, paid in cash.

Alternative, 798 shares in WEC for 10,000 shares in SAC. Plus Performance shares issued of 864 2010 shares plus 864 2011 shares for every 10,000 shares in SAC.
Subscription Shares (SS): 2,034 SS WEC shares for 10,000 shares in SAC held. Subscription $5,085 to be paid to take up subscription.


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## noirua (11 June 2010)

At a stock price of $3.68 the offer for SAC (South Australian Coal - floated off to former Felix Resources shareholders and presently a private unquoted company with tenements in South Australia and $10 million in cash) shares stands at 19.96c cash.

Offer below varies on the market price of White Energy (WEC) presently at $3.68

Alternative 29.36c with WEC at $3.68 a share.
with 2010 performance shares = 61.14c a share
with 2010 and 2011 performance shares = 92.92c a share
with 2010 + 2011 performance shares and subscription shares = $1.16 a share
with subscription shares (if bought cost $2.50 a share) and no performance shares = 52c a share


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## Inquisitor (15 June 2010)

Hi Quillan,

Have you received any clarification on the subscription rights for non-Aussie/Kiwi shareholders of SACL? Will those receive subscription right or any compensation?


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## Quillan (15 June 2010)

Hi Inquisitor, and Noirua.
Firstly it is always a pleasure to find Noirua is mistaken. 
A pleasure because it is a rarity !! 
The fact he caused me a sleepless night or two will be forgiven.
I took this matter up with the ASX, who referred it to WEC.
ASX said WEC was  in compliance with issuing Rules.
I then took it up with WEC particularly because of the content
of the 19th April release.
Here is part of what I wrote to them

"The Document sent out by SACL, of 19th April made
it quite clear that the offer would be open to all
shareholders.
It was posted to my registered address in Malta..
It makes no mention of exceptions.
It mentions "if 100% of shareholders accept"--
That would have to include me, and all the other
overseas holders of SACL. It also says that the
entitlement of SACL Shareholders
"would value SACL at $39.3m".
My maths says that 0.1996 x 197million shares = $39.3m
That implies with no uncertainty that it includes
100% of Shareholders.
Please confirm this is the case."

I have this morning received a reply from WEC, in which they state that I will be entitled to participate in all the terms of the bid for SACL by WEC subject to confirmation from the Malta Authorities that there is no restriction on Malta Residents from participating in overseas investments.

I have written to the Malta Stock Exchange today asking for clearance, which is of course mandatory, since EU Law permits citizens to invest their money wherever they wish, and there are no currency movement restrictions in place in Malta. Of course there is always a possibility of restrictions in the future, after the Greek and othe PIIG countries' problems.

In my reply to WEC today I told them I would be passing on confirmation from the Malta Stock Exchange that there were no restrictions on foreign share ownership, and that this applied to all 27 EU countries in which there is free movement of capital Therefore is such clearance really necessary from each individual SACL shareholder living within the EU?
I  hope this is helpful


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## noirua (15 June 2010)

Hi Quillan et al, It does now seem certain that WEC are not having a rights issue that would include shareholders of South Australian Coal (SAC). This now seems to be a subscription of WEC shares made as part of the alternative offer.
The cash offer is only up to $10 million so it is incorrect to say that the offer is worth around $39 million; as that much cash is not available.
The alternative offer does say that it is up to individuals to check their position as to whether they may legally take part in the offer.
Most shareholders are in Australia, NZ and UK., so only USA investors could have problems with a subscription offer.

I haven't come across subscription shares before as part of a takeover bid. So any comments I made would have been in ignorance of this possibilty and only made on the basis of a rights issue as we discussed.

The offer requires 90% of shareholders to be in favour (SAC) after approval of WEC shareholders. This would have been 75% if WEC had decided to make a court order regarding the off-market bid.

I notice that Western Plains Resources (WPG) in their ASX announcement yesterday mentioned the Phillipson Deposit as still not having had mining rights approved yet. Their area in which they have rights is 'Penhryn', previously drilled by Auiron Energy (Felix Resources) that has no such problems. WPG also have mining rights over Hawks Nest and Peculiar Knob for iron Ore.

The other parts of the Meekatharra are owned for mining rights by the UKs Altona Energy AIM:ANR except East Wintinna where Linc Energy ASX:LNC have mining rights.

Flinders Power Partnership may still have rights over part of the Phillipson Areas at Ingomar.


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## Inquisitor (19 June 2010)

Thank you for your answer, Quillan.

I finally brought myself to read the bidder's and target's statement, in the latter of which I found the following confusing information on page 25, question 39:


> *39. What if I am a foreign SAC Shareholder?*
> If your address, as it appears in SAC’s register of members at close of
> business on 7 June 2010, is in a jurisdiction other than Australia, its external
> territories, or the Netherlands, you are an Ineligible Foreign SAC Shareholder.
> ...




It seems like it very much depends on the legal situation in each shareholder's country, whether you'll receive shares and subscription rights or compensation in cash.


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## noirua (25 June 2010)

PT Kaltim Supacoal (KSC) a jointly owned subsidiary of WEC with PT Bayan Resources of Indonesia. Report from PT Kaltim Supacoal on Tabang Plant update: http://www.whiteenergyco.com/investor/asx-announcements/tabang-update.phb


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## noirua (25 June 2010)

noirua said:


> PT Kaltim Supacoal (KSC) a jointly owned subsidiary of WEC with PT Bayan Resources of Indonesia. Report from PT Kaltim Supacoal on Tabang Plant update: http://www.whiteenergyco.com/investor/asx-announcements/tabang-update.php




Above link corrected for PT Kaltim Supacoal (KSC) update on the Tabang Plant. 
The Energy Paradigm:
http://www.whiteenergyco.com/our-coal-technology/the-energy-paradigm/index.php


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## Quillan (30 June 2010)

Hi Noirua and worried overseas holders of SACL shares.In Noirua's posts #12 and 13, he is adamant that the Rights offer or whatever it might be known as, will not be open to overseas holders of SACL.
The Malta Stock Exchange has cleared the right of any citizen to invest overseas, in accordance with the rights of all EU citizens
WEC should have known this and not made me and others have to go through the laborious task of getting local Civil Servants off their backsides to answer a simple question. I had to threaten referral to a higher authority, which produced the confirmation by return of post.
This I passed on to WEC, who have now sent me the Prospectus and the Form to accept the Offer, for return to Computershare.
As I have pointed out before, SACL and WEC have referred to "100% acceptances" which must include all SACL shareholders, together with their right to subscribe to the Rights Issue.There is no caveat or suggested exclusion of any group of shareholders, provided their jurisdiction permits such investments. As I read it WEC could exclude overseas holders, but has chosen not to.
WEC would not be asking for confirmation of my rights to accept the offer, which is a share swap. I assume therefore their purpose was to clear the right I have to participate in the Rights Issue.
I commented recently on the valuations of coal in the ground of other Australian explorers/developers. I have found figures ranging from 18 cents a tonne to over 30 cents, with implied reserves of up to 650mt.
Since Phillipson coal will be of similar thermal quality to bituminous coals I would have thought it should be in the same ball park.
At 25 cents it would value 1.5bn tonnes at A$375m, but the reserve could be
larger.Of course it is only worth this kind of valuation to a Company like WEC
which has the technology to create value from the coal, but it does suggest to me what a good deal it is for both Companies.


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## noirua (7 July 2010)

White Energy (WEC) have announced that they have received acceptances for 71.88% of the shares in South Australian Coal (SAC) as at 5/7/2010. The offer closes, unless extended, on 21.7/2010. Just 2% are for the cash offer and 98% for the share alternative.

The offer is off-market as SAC are a private company and all shareholders are 'Issuer Sponsored'.


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## noirua (10 July 2010)

Looking at a similar share, Altona Resources, a valuation for coal in the ground at Phillipson is in the region of 3c per tonne. Reserves are around 4 billion tonnes, putting an eventual value on SAC, looking forward, of $120 million. Taking into account risk from Woomera to coal prices at around 75% this values SAC at $30 million plus $10 million in cash = 22c a share, as of now.

The valuation by WEC looks fair enough, afterall, there has to be something in it for them as well.


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## noirua (30 July 2010)

WEC have declared their takeover bid for South Australian Coal  SAC as unconditional with over 97% of shareholders accepting the offer.

Those accepting cash will have it sent to them on 11th August 2010.

Those accepting shares will also have details sent to them on 11th August together with details  on acceptance of the Subscription Rights. Final day for acceptance is 20th October 2010.

Last day for issue of subscription rights is 27th October 2010.

All of the above is part of the takeover bid.


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## noirua (19 August 2010)

SAC South Australian Coal shareholders have now received their cash or shares in WEC (Issuer sponsored holding); included are performance shares for 2010 and 2011
Those who took up the shares offer are entitled to buy further shares in WEC, details were enclosed. The sum sent must be drawn on an Australian Bank, or a subsidiary branch of a foreign bank, based in Australia.
( the reason for this is, that foreign cheques take up to 60 days to clear in Australia, one of the slowest clearing systems )


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## YELNATS (5 September 2010)

noirua said:


> SAC South Australian Coal shareholders have now received their cash or shares in WEC (Issuer sponsored holding); included are performance shares for 2010 and 2011
> Those who took up the shares offer are entitled to buy further shares in WEC, details were enclosed. The sum sent must be drawn on an Australian Bank, or a subsidiary branch of a foreign bank, based in Australia.
> ( the reason for this is, that foreign cheques take up to 60 days to clear in Australia, one of the slowest clearing systems )




Hey noirua, I read your comments on coal businesses with interest.

I held shares in FLX/SAC and now as a result have a very small interest in WEC. I have also received an offer from WEC for Subscription Rights at $2.50 expiring 22/10/2010.

I will probably take up this offer, but is it possible to apply for more shares above my entitlement? 

Also my entitlement seems to be about 2.6 times the number of WEC shares I was issued. I checked WEC's announcements, but unless I missed something, I can't find any explanation of how the number of Subscription Rights was calculated.

Also, are the Subscription Rights tradeable before 22/10/2010?

Also, where do I find information on the performance shares for 2010 and 2011?

Many thanks for any further insights.


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## noirua (5 September 2010)

Hi YELNATS, Because the subscription rights in WEC will be 'issuer sponsored' they are not tradeable. If you fail to take up your rights they will NOT be sold and you get nothing.
Shares in SAC were for a private company and issuer sponsored. Foreign holders had a big problem (especially United States, Canada, UK, Germany and Republic of Ireland) with taking up the rights as well as performance shares. 
You can't apply for extra shares though you can apply for less. No extra shares as foreign holders could be exempted from the whole issue. 

Mr Hans Mende and AMCI are American and that may be the reason things are fashioned this way, and I believe former Felix Resources directors took up a form of placing to make a level playing field in this matter.

Basically, Felix Resources was 30% foreign owned and therefore SAC as well.

You receive 2034 shares in WEC for every 10,000 shares in SAC.


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## noirua (9 September 2010)

Are WEC the equivalent of the old Woodside Lakes Entrance Oils of the 1960's with all to play for. Coal not oil, and represented in Australia, China, Indonesia, South Africa and the USA. Loads to go for and well cashed up with placings, over $250 million. 
Of course the stock price is not cheap and recently many have clocked on to the share as it entered the ASX200.
Looks to be South Australia's big promise along with CNOOC and Altona Energy's Meekatharra diesel from coal region. [LNC and WPG also have interests in the region through East Wintinna and Penhryn]


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## noirua (20 September 2010)

WEC closed at an all-time high of $3.89 on the appointment of Felix Resources' former directors to the board of White Energy Limited.


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## McCoy Pauley (22 September 2010)

noirua said:


> WEC closed at an all-time high of $3.89 on the appointment of Felix Resources' former directors to the board of White Energy Limited.




I listened to a presentation from the outgoing MD of White Energy Co (name escapes me at present) at the Cutting Edge series of the Melbourne Mining Club last night.  He made much of the appointment to the board of White Energy of the ex-Felix Resources board members.


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## noirua (22 September 2010)

McCoy Pauley said:


> I listened to a presentation from the outgoing MD of White Energy Co (name escapes me at present) at the Cutting Edge series of the Melbourne Mining Club last night.  He made much of the appointment to the board of White Energy of the ex-Felix Resources board members.




Felix Resources came up from 38c a share to $23.30 at its peak, before being taken over by Yanzhou Coal. Directors Travis Duncan, Brian Flannery and Hans Mende are billionaires with Hans Mende's AMCI the largest thermal coal export company in the USA. All have strong links with China and Hans Mende in the States.


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## Inquisitor (23 September 2010)

Considering the fact Felix having had a mining capacity of ~20Mtpa when they were taken over for A$ 3.3 billion last year, I don't even dare thinking about what will happen when the super cycle in the global coal market gains some momentum and WEC starts rolling out dozens of BCB-modules around the world. Against the background of the large number of enquiries regarding potential further joint ventures Southern Cross' estimate (which is based soley on existing JVs) of a target capacity of 45Mtpa over the next five years leading to a share price of A$ 17.85 seems rather conservative. With a couple new JVs WEC could one day rank among the top five coal producers in the world and so may do their market capitalization.


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## TheAbyss (23 September 2010)

Interesting to see Citi has commenced coverage on this one. I know LYC had a great run after coverage started with them so perhaps WEC, RES and COK will enjoy a similar run. 

Add to that the FLX boys coming on deck and WEC may be the one out of these 3.

Thoughts?

http://www.theaustralian.com.au/bus...on-get-citi-tick/story-fn4xq4v1-1225928247480


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## TheAbyss (27 September 2010)

Up 10% in quick time since the coverage announcement and ex FLX directors coming on board.

ASX ticket today didnt disclose anything new so wait and see and reap the rewards hey.

http://asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01101824


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## Inquisitor (27 September 2010)

Actually the ASX announcement disclosed something new when it mentioned new analyst reports released by Southern Cross today and a further one by Madison Wiliams already on September 15th. Unfortunately neither is available in the Analyst Coverage section of the WEC website as it was the case for previous studies from these companies.


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## Inquisitor (28 September 2010)

*recent Citi analyst report*

The recent Citi analyst report covering WEC is available for download at https://www.citigroupgeo.com/pdf/SAU09787.pdf.


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## noirua (2 October 2010)

Mr Vincent O'Rourke is the latest former director of Felix Resources FLX to join the board of directors of White Energy; he is an owner of RMM who once had a 19.12% interest in FLX before selling out to Mr Hans Mende's AMCI. A mining rail expert vitally needed by the company.


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## Inquisitor (5 October 2010)

*Korean power monopolist KEPCO bullish for BCB-technology*

Just came across Southern Cross' latest update from September, 25th, in which they mention Korean state-owned power monopolist KEPCO having taken a share of 20% of Bayan (WEC's JV-partner in Indonesia) in July at a considerably high price obviously anticipating the expansion of the Tabang project:

_"In July Korean utility KEPCO bought 20% of WEC's Indonesian JV partner PT Bayan Resources for $515m and secured off-take of 2Mtpa from 2012 and 7Mtpa from 2015. The transaction multiple was c.US$2.60/t of resource, a huge price to pay for Bayan resources given that the average for Aussie coal transactions is A$2.70/t of resource, and many of those transactions include coking coal resources, whereas c.60% of Bayan's resources are of sub-bituminous coal. The maths suggests that KEPCO is counting on WECs upgrading technology to increase the value of Bayan's resources. It is true that KEPCO's power stations can run on low calorific value coal, and it could have agreed to pay a big price for Bayan's existing low quality resources. However WEC confirms that due diligence on the WEC process was significant prior to the transaction and a key motivator for the deal."_

The high interest in BCB-technology among existing and potential JV-partners is obviously more than just touting.


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## noirua (30 October 2010)

All done and dusted as SAC shareholders receive the new issue of shares purchased under the takeover by WEC. Outstanding now are the performance shares for 2010 and 2011. About $57 million raised to advance the Indonesian assets as explained in the last post by Inquisitor.


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## Inquisitor (7 November 2010)

*interim report on easing woomera accessibility*

Yesterday the government has published the interim report on the planned easing of accessibility to the Woomera Prohibited Area (WPA), which hosts the SACL mining tenements WEC acquired recently (EL4534, formerly EL3386).
The report proposes easing access to the WPA and streamlining application procedures. Further WPA shall be divided in three zones:
For the "core area" (south of 30 °S and east of Stuart Highway running at ~135 °E) no new permits shall be issued. Since this zone is situated 50km southeast of EL4534, WEC is not affected by this.
For the "zones of moderate Defence use" permits shall be issued on a time-sharing basis, so the applicants may access tenements during certain hours/days/weeks (details are unclear so far).
For the "zones of least Defence use" unlimited access should be granted "with Defence retaining the right to exclude access for a limited period each year following a fixed period of notice."
The Centre-Line Corridor (marked red in the map below), which runs over the southwestern part of EL4534 and covers ~60% of the coal-bearing surface will surely be declared a "zone of moderate Defence use":
p.24: _"The Defence need for exclusive access is less frequent in the centre-line corridor, [...]."_

Unfortunatley according to p.55 there's no hope this air corridor with a width of ~37km could be reduced:
_"The Review is inclined to agree with Defence that the Range Centre Line Corridor should be maintained."_

However based on the estimates published by Auiron Energy (renamed in Felix Resources later) in their Coal Mine Feasibility Study during the Annual Meeting in 2001 _("[They] succeeded in outlining 5 billion tonnes of sub-bituminous grade steaming coal with a low ash content around lake Philipson"_) and the estimates of the South Australian Chamber of Mines and Energy (SACOME) from August, 7th 2010 _("The size of the Lake Phillipson Coal Deposit in the WPA core area (or zone of exclusion in EL3386) is estimated to comprise about 3.6 billion tonnes."_ p.10 of thissubmission) in near future there should be some 1.4Bt of subbituminous coal in the effectively permanently accessible "zone of least Defence use" and some 3.6Bt in the "zone of moderate Defence", which will be accessible on a time-sharing basis.

Even if WEC installs BCB modules with a total capacity of 20 Mtpa (I assume there won't be transport capacity for more) the deposits in the "zone of least Defence use" should theoretically suffice for 50 years of production.

By the way the Wirrida Rail Siding loading station is situated some 3-4km within the zone of moderate Defence use, but I hope they will find a solution to be able of loading trains permanently.

All in all the interim report is very positive for the planned development of EL4534, so WEC might start construction of infrastructure already next year.


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## noirua (9 November 2010)

Hard to follow that excellent post on the Phillipson tenement. 

Will be interesting to see what approvals are given to WEC in January 2011 as they need to get permission to mine at the Rankin coal seam, up to 100 million tonnes (this figure has been disputed in the past), where the Ingomar trial pit is situated. This area is only really good for a start-off (at the edge of the centre-line corridor) but a lot of work was carried out there by SAC and Flinders Power Partnership. The latter may yet request to take-up rights to coal with access rights ending and putting the position into agreed 'force majeure'.


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## Inquisitor (10 November 2010)

You're right. After reading my post again I realized that I tried to get to many facts across with too few words. So again in two simple sentences:
According to the proposals of the interim report the northeastern half of the tenement, which WEC owns since the SACL-takeover, is very likely to be fully accessible soon, while the southwestern half will be subject to timely restrictions (but will be mineable anyway).
However the deposits located in the northeastern part will deliver enough coal to produce briquettes for a couple of decades.

Why do you consider the Rankin coal seam being only really good for a start-off? Is there too much overburden or any other issues that make coal recovery less attractive?


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## noirua (10 November 2010)

The Ingomar trial pit was first brought in to supply the Pig iron plant near Whyalla - this all fell apart in 2002 when the plant was cancelled - all a bit of a disaster at the time. The set-up there is good but the seams are single in nature and not multiple as in more favourable areas and a longway from the Phillipson siding. 
A lot of money was spent on the Ingomar trial pit and it is all but up and running, despite being mothballed in 2002. Quite a lot of coal is lying on the surface under covers and a large area is cleared ready for excavation.
There ia a briquette plant and wash plant though I'm not certain of the positions, built in 2001.
However, there are two other places earmarked somewhere near the Phillipson lake for power washing coal though I seem to remember the idea was abandonned.
Corner Gate is the best area to mine coal at Phillipson as it's in very many multiple seams, though not that much work was carried out up to 2001.


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## Inquisitor (10 November 2010)

Thanks.

This publication of the South Australian government on coal perspectives indicates in the illustration under the heading of "Lake Phillipson Deposit" (see below) that at least in the more western parts of the deposit there are some muli-layer seams.


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## Inquisitor (3 December 2010)

*Cascade deal stinks, dilutes technology leverage of BCB-technology*

While the management is doing "feasibility work" for the tiny 0.25Mtpa-module to be constructed in Kentucky since September 14th and keeps delaying its decision even until at least "early 2011", due diligence for the potential Cascade takeover worth A$486m will obviously be done pretty fast (in just three weeks) - especially against the background that those WEC managers not holding a share in Cascade (and so perhaps being neutral), did not have access to any information on Cascade until the announcement. Also given the fact that *the Cascade  deposit was acquired for just A$1m about a year ago*, this offer requires some very thorough review in my eyes.
Why are they in such a hurry to decide even on Christmas Eve allthough the obligatory EGM will not take place before March?
Travers, Brian and all the three Johns control Cascade by holding 60.1% - couldn't they obtain some more time so whoever will provide the fairness opinion for this deal could work thoroughly (especially now that we approach Christmas time implying staff shortage)? 
Is there any other interested party? If so how much are they ready to spend?

Kepco have bought an adjacent tenement at Mount Penny with indicated and inferred resources of 420Mt of low-ash thermal coal for only A$ 403m in July (http://www.theaustralian.com.au/bus...to-nsw-coalmines/story-e6frg8zx-1225888239982). Why should WEC pay even more for a smaller deposit? 

And why does the WEC announcement not mention the resource target of ~500Mt for Cascade, to which Southern Cross are refering in their recent analyst report?

Even if there existed some inferred 500Mt the EV/t of $1.00/t still seems very high given the uncertainty of the actual deposit volume and the ecological opposition against mining at Mount Penny, which may obstruct development of the proposed four further mines on the tenement and that price would still exceed the EV/t of actually operating mines like WHC.

Why doesn't the company just invest in their engineering force instead and get Tabang finally running at full capacity?
What are the synergies for WEC of owning and mining a high rank coal deposit? Disversification is not a valid argument in my eyes - if shareholders want to diversify they can individually buy a cheaper play. 
Why don't they just buy another low rank deposit?

The Cascade deal dilutes the technology leverage of BCB and beyond that it just stinks, which is not only my own opinon: http://www.theage.com.au/business/isoft-chief-goes-in-hard-with-the-apologies-20101130-18ffm.html (see paragraph "White's tough sell")

I'm really interested in the justification that will be given by the fairness opinion on why Cascade's deposit is worth more than actually operating mines like WHC. But as you might know, all fairness opinions are fair, but some fairness opinions.

The apparently excessive pricing of the Cascade offer, the big hurry and the lack of transparency of the whole deal shakes confidence in the management and the company as a whole.
Based on the current information I really hope the planned Cascade acquisition will be dismissed at the EGM in March.


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## Inquisitor (3 December 2010)

*Re: Cascade deal stinks, dilutes technology leverage of BCB-technology*

It should say "But as you might know, all fairness opinions are fair, but some fairness opinions are fairer than others."


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## noirua (6 December 2010)

*Re: Cascade deal stinks, dilutes technology leverage of BCB-technology*



Inquisitor said:


> It should say "But as you might know, all fairness opinions are fair, but some fairness opinions are fairer than others."




The famous five; Messrs Flannery, Duncan, Atkinson, Kinghorn and McGuigan should put these two tenements out to tender and see what a fair market price will bring.

$500 million looks a very high price indeed and what would be expected to be paid for two mines with all its infrastructure in position and full shipping rights for coal in place; also producing and shipping coal already.

If Cascade Coal is worth so much then why not float it on the ASX ?????????? Difficult to shift with $41 million debts and who is going to put their hands in their pockets for all the cash raising.

Good try famous 5 but please get real; no one else is going to buy these tenements for $500 million.


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## Inquisitor (8 December 2010)

Rumor says _The Felix 5_ have received an external offer for Cascade and caring as they are they gave a preferred option to WEC - at a discounted price I guess.
Probably we will never get to know who this ominous bidder is or even how much he bade. Was it the innocent Hans Mende?


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## noirua (11 December 2010)

Inquisitor said:


> Rumor says _The Felix 5_ have received an external offer for Cascade and caring as they are they gave a preferred option to WEC - at a discounted price I guess.
> Probably we will never get to know who this ominous bidder is or even how much he bade. Was it the innocent Hans Mende?




Interesting! Remembering that Felix Resources was sold for about $3.3 billion with all infrastucture in place, 4 producing mines set to ramp up to 18mtpa (11.5mtpa thermal coal, 3mtpa PCI coal and 3.5mtpa semi-soft coke) plus two additional tenements with 560 million tonnes of thermal coal and over 100 million tonnes of PCI coal. Mr Flannery thought this was an excellent price and thanked the Chinese.
I think a price for Cascade coal should be set at $250 million tops. Mr Flannery would still get about $30.5 million, so he wont starve. 

Be fair Mr Flannery and the other four, don't be greedy, accept $250 million!


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## Inquisitor (23 December 2010)

*Cascade CAPEX to amount to $400m for first mine*

On Monday MPCP, a Cascade subsidiary, published their application (see below) for the first mine on the Mount Penny tenement, WEC intends to acquire, in the Mudgee Guardian.





The application mentions "up to $400 million in capital expenditure to establish the project" - only for the first of four planned mines on the tenement. After debt repayment of $42m in favour of Cascade's creditors and transcation costs, WEC would be left with less than $60m of cash, from which they would have to fund those $400m for Cascade in addition to the development of the EL4536 tenement (SACL). Even in case of high debt financing a further capital increase would be inevitable, driving the already strong dillution by the acquisition of Cascade even more. At the bottom line acquisiton of Cascade ($486m) and development of the first mine ($400m) would cost almost $900m.

Assuming an optimistic OPEX-level of ~$60/t (FOB), coal price going up to $ 140/t and an initial production capacity of 3.5-4Mtpa from 2013, potential gross profit should range between $ 280m-320m p.a. Production commence and CAPEX for the other three potential mines at Mount Penny are unkown so far, however it seems ROC will amount to a fraction of what the BCB-business promises.

Hopefully Hans Mende will dismiss takeover plans for Cascade on Friday.


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## Inquisitor (23 December 2010)

In order to compare the price for Cascade with actually producing peer group companies you need to add those $400m, which MPCP state in their newspaper publication from Monday. Then the total effective price for making Cascade produce will amount to $5.10/t and that takes only into account the investments required for the first of four mines, which will produce 3.5-4Mtpa.






Cascade is way more expensive than operating mines like WHC or MCC, despite of all the incertainties including the lack of infrastructure, permissions, shipping rights etc.

Even if the other three mines were included in the $400m of required CAPEX, Cascade remains astronomically expensive.


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## rhip (23 January 2011)

Hi All, I have just eceived a cheque from computershare together with correspondance which says that all my shares and options have been sold as i am an ineligible foreign share holder. I live in the UK and opted to retain all my WEC performance shares etc. Can any one comment as to why I am now not entitled to be a share holder. This is the first correspondance I have received since I was originally told that I had been accepted at the initial take over of SAC. Thanks


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## noirua (2 February 2011)

rhip said:


> Hi All, I have just eceived a cheque from computershare together with correspondance which says that all my shares and options have been sold as i am an ineligible foreign share holder. I live in the UK and opted to retain all my WEC performance shares etc. Can any one comment as to why I am now not entitled to be a share holder. This is the first correspondance I have received since I was originally told that I had been accepted at the initial take over of SAC. Thanks




Hi rhip, I have contacted WEC on this particular matter as I have read about problems concerning foreign shareholders once holders of South Australian Coal Limited SAC. 
Here is the situation presented as you may come under a situation you have not mentioned:
SAC shareholders were all Issuer Sponsored shareholders because the company was a private company [not quoted on the ASX] and shares were held by everyone in their own name and resident address. (Some shares were held through family trusts and private pension funds where a different situation would apply, particularly if they were held in a foreign pension fund or trust and at the address of the company holding the shares.)

Some foreign holdings remained with a broker because SAC was floated by Felix Resources ASX:FLX in 2009 as a private company. Each share in FLX represented one share in SAC. 

All WEC shares issued - including performance shares 2010 and 2011 - where an election for shares was made rather than for cash, were in Issuer Sponsored form.
WEC share holdings were therefore sent 'Issuer Sponsored' to all holders of shares, where the holder had stated that they may be held in accordance with their particular domain. This was left to the applicant to check that this was legal in all respects.

Those issued shares were further entitled to apply for more shares in WEC UNDER THE TAKEOVER BID TERMS - NOT A RIGHTS ISSUE or PLACING, at $2.50 a share. These were all issued as 'Issuer Sponsored' holdings.


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## rhip (2 February 2011)

Hi Noirua,Thanks for the reply. I have held these since the auiron days and duly receieved my computrshare share certificated numbers for trading..... never sold any. Everything seemed fine following the take over of Felix through SAC and then WEC. With WEC I opted for the shares but did not take up the placings. All the shares have been held in a single name and as far as I know I was originally accepted as an issuer sponsored share holder.
My point now is have I got to accept my fate and cash the cheque or is there any other course open to me.
Once again thanks for your time. I have followed your posts for many years and would credit you for making me a considerable sum.


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## noirua (6 February 2011)

rhip said:


> Hi Noirua,Thanks for the reply. I have held these since the auiron days and duly receieved my computrshare share certificated numbers for trading..... never sold any. Everything seemed fine following the take over of Felix through SAC and then WEC. With WEC I opted for the shares but did not take up the placings. All the shares have been held in a single name and as far as I know I was originally accepted as an issuer sponsored share holder.
> My point now is have I got to accept my fate and cash the cheque or is there any other course open to me.
> Once again thanks for your time. I have followed your posts for many years and would credit you for making me a considerable sum.




As you are a foreign holder it's best to cash the cheque as it's not worth the hassle doing anything else. You can always buy them back as the stock price is well down on highs.
Unfortunately both in the UK and Aus many no longer want to risk not understanding the laws of another domain. Therefore they leave it to you to say all is OK and it's down to you if it all goes wrong. You could go on and on about it but it's not worth it.


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## rhip (9 February 2011)

Yes agree. Thanks once again and good luck for the future.


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## noirua (9 March 2011)

M & G funds have raised their stake in WEC from 12% to 13% despite the steady falling price.
WEC have a vote shortly on their bid for Cascade Coal costing around A$500 million.


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## noirua (27 March 2011)

WEC have put off the vote for purchasing Cascade Coal to May. Recent events have pushed confidence in the sector well down and the price of smaller coal enterprises are down 15% to 25%. That would put the Cascade Coal value nearer $375 million from $500 million and many are not likely to support the company on their purchase - JUST TOO RISKY AT $500 million 
My value for Cascade Coal is nearer $200 million plus previous expenditure on the exercise


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## noirua (31 March 2011)

WEC have rebounded a bit and now stand at $3.10. The fall from $4.20 looks to have been well overdone, and this caused, in part, by the lacklustre performance of the board of directors over Cascade Coal. Not our fault the Directors might say but they are very well paid and own large chunks, excluding independent directors, of White Energy stock.
The NSW Planning Minister still has to give the mining licence for Mount Penny the nod yet and this matter may run on a bit. I don't expect this to be cleared up properly before the Spring.


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## Quillan (13 May 2011)

Hi Noirua, Never heard you so quiet for so long !!
Poleaxed by the Cascade collapse ?
Even so, $2.24 is surely overdoing it?
Coal price is good. No apparent further problems in Indonesia.
Any ideas?


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## noirua (13 May 2011)

Quillan said:


> Hi Noirua, Never heard you so quiet for so long !!
> Poleaxed by the Cascade collapse ?
> Even so, $2.24 is surely overdoing it?
> Coal price is good. No apparent further problems in Indonesia.
> Any ideas?




Hi Quillan, Long time no read. 
Indonesia has been moving more slowly than expected. Although The Phillipson Tenement, S.A., has areas covered by the Woomera Rocket zone mostly cleared for mining, there doesn't seem to be that much enthusiasm around. The interests in America and China also do not seem to be progressing quickly.

The Cascade collapse has lost investors confidence in the Directors and they may come back and buy Cascade Coal later.

The mining sector has been bashed wordwide from minnow to giant. A company needs to have an income stream and no worries and concerns these days.

$2.24 is a low price and the stock is cheap, however, it may get cheaper unless the sector turns round suddenly - good fortune.


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## noirua (18 June 2011)

Cheaper are WEC at about $1.84 and 57% down on their high last year.
WEC bid $486m for Cascade Coal and now their market cap is little more than that.

Still, WEC seem now to be interested in Indonesia in particular. A u turn on buying Indonesian coal mines and MD Flannery and Co are now it seems set to exit Australia. 
It would not be surprising for them to consider an exit strategy from Phillipson South Australia, to a degree, by being more involved in the upgrading technology and less in financing other infrastructure.

Tabang, Indonesia, after the shutdown this September for a month should become profitable with sales of briquetted thermal coal, 1mtpa. Upgrading strongly supported by Indonesia's Government.


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## noirua (2 July 2011)

White Energy's new tactic to buy coal tenements in Indonesia could turn out very good for the company - Note Cat Limited excitement on purchases.


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## rhoskens (9 November 2011)

Huge drop today to 0.805.


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## YELNATS (9 November 2011)

rhoskens said:


> Huge drop today to 0.805.




Surprisingly bad news from Indonesia, but does it justify a near halving of the share price? Seems like a vast overeaction by the market.


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## suhm (9 November 2011)

well their major focus is to upgrade high moisture into low moisture coal and their joint venture partner who have already forked out money to buiild the plant to upgrade the coal have decided that they would make more money without using the plant.

I.e. The tech is not worth it.

Hence the value they have is cash and their coal tenements which again are high moisture content and would not bridge the valuation gap, possibly money to be made here though


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## rhoskens (10 November 2011)

Another drop (0.775), high volume (around 17 mi) most due a buy on 16:10 of 10 mi shares at 0.79


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## suhm (10 November 2011)

Speculation but reading between the lines from the conference call is that the idea was that Bayan would sell coal into the JV at the cost of production and then share in the profits from upgrading the coal. The coal was high moisture so unable to be exported such as victoria's brown coal.

Bayan now say that they can sell it FOB $US 60 and $USD 40 ex mine. The briqquetes would sell for$100USD but u only have 1 tonne vs 1.5 for the wet coal.

As Bayan can now sell this coal they want the JV to buy the coal at the commercial price rather than at the cost of production which would reduce the profitability of the JV.

At so for 1m tonne of briquettes they would get 100m revenue, and now the coal supply would cost either 60-90m USD so leaves 10-40m for opex. Cost of plant was about 80m, new plants would cost less for given processing capacity but for ROA of 20% it needs to make 16m a year.

Not sure what the opex for the plant would be.

Doesn't leave much room for profitablity.

Talk of moving the plant isn't exactly comforting given this is the demonstration plant to show this tech works and would be profitable.

Bayan is saying the tech works but had problems, WEC say this are rectifiable but are saying that they may need to move the plant because it might not be profitable.

Seems like this tech would only be useful if the coal from a deposit would not be saleable unless the quality is upgraded.


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## noirua (14 January 2012)

Yes, bad news indeed and WEC crashed to 35c at one stage against a high 2 years ago of $4.25. The shares have recovered a bit to around 47c with the sector generally.

The court case in Singapore and a possible Appeal to follow may drag on for some time. Indonesia are due to bring in a new law, now put out to 2014, to ban the sale of low grade coal but rumours say the Government is likely to water-down the original proposals or make exceptions.

WEC's position is considered complex as they own 51% of the Tabang Plant and are operators (Bayan own 49%). It is the responsibility of White Energy to get their technology up to speed and there is the main difference of opinion; Bayan will say it doesn't work effectively. 
WEC will take the position that Bayan breached their contract to supply coal to the plant at cost, and are walking away to sell coal at a higher price.

There is also the subject of a loan supplied to WEC of around $38 million and Bayan offering to sell their part of the plant for $38 million, the latter White Energy has declined as it leaves their plant with out coal.


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## teck21 (5 March 2012)

This company only came to my attention a few days ago. 

It's 40.5c today, I've picked up some, and I will be picking up some more over the coming few days.


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## skc (5 March 2012)

teck21 said:


> This company only came to my attention a few days ago.
> 
> It's 40.5c today, I've picked up some, and I will be picking up some more over the coming few days.




I trust your buy criteria is slightly more stringent than "came to my attention"... Care to elaborate?


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## teck21 (6 March 2012)

It's been beaten down really badly, and still has quite a bit going for it. 

Not a hell lot of down left for it right now, and doesn't take much for it to get up.

Whichever way the market turns, I would be happy to pick up more.

Apart from the fact that it can't make any money from its Tabang project right now, it's pretty much the same company it was when the share price was $1 or so.

Someone earlier commented that a previous price fall from $4.20 to $3-something was overdone. In hindsight certainly not so.

At some point though, it's gotta be for a company with that much cash in bank net of liabilities.


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## noirua (15 April 2012)

White Energy have presently obtained a court order to prevent PT Bayan (an Indonesian company) from selling or transferring any of their shares in Kangaroo Resources. These shares represent 56.05% of the company and worth A$240 million.

WEC are presently seeking damages from Bayan in the Singapore courts and Bayan are seeking damages from WEC.


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## noirua (4 October 2012)

The Tabang JV with Bayan has now gone into liquidation and any pay day will be in the courts of Singapore.

The WEC stock price is up 55% of late on three fronts, liquidation of Tabang; improved outlook of South African coal fines; and profits from sheep and wool sales at Ingomar Station.


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## dogeatdog (18 December 2012)

I've just taken a small "long position" in WEC at 21.5c. I'm curious if any of you longer term investors have anything interesting to add to the standard information available on the WEC website.
I like this type of tech company, and the sp seems to be placed at a price with a great deal of upside. Of course 
any third party negative due diligence is always welcome


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## dogeatdog (19 December 2012)

SP up to 24.5c with a high of 25c, with average daily volume.
Have all you former WEC investors given up on this one?


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## dogeatdog (27 December 2012)

White energy to acquire a coal mine in the US.  
www.proactiveinvestors.com.au/companies/news/37384/white-energy-company-to-acquire-us-open-cut-coal-mine--37384.h
Any thoughts on how this may effect the SP?


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## qldfrog (28 December 2012)

maybe no one is really that keen to put any money into a company whose management which might soon be officially labelled as corrupt:
http://www.smh.com.au/business/pity-the-white-energy-shareholders-20121211-2b6ft.html
or any link to the Obeid saga in NSW
I will let the justice decide who is clean/guilty but I have made my own mind and will not touch this or any rebranded follow up


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## dogeatdog (29 December 2012)

qldfrog said:


> maybe no one is really that keen to put any money into a company whose management which might soon be officially labelled as corrupt:
> http://www.smh.com.au/business/pity-the-white-energy-shareholders-20121211-2b6ft.html
> or any link to the Obeid saga in NSW
> I will let the justice decide who is clean/guilty but I have made my own mind and will not touch this or any rebranded follow up




Hey qldfrog... Thank you for the link. Nice to get some history on "White". 
And I thought corruption was rife in Indonesia, Thailand and Malaysia, to mention but a few.
I hope you avoided being tricked by the suspected villains.
Happy new year to you :alcohol:


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## noirua (16 April 2014)

Buying by directors Vincent O'Rourke and Terence Crawford, in the last few days, has helped WEC recover from an all-time low.


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## piggybank (8 May 2015)

Just over a year has gone (since the last posting) and things are looking on the up for the company. 

A summary of the major items of activity for White Energy Company Limited (“White Energy” or the “Company”) during the quarter ended 31 March 2015 is outlined below.the “Company”) during the quarter ended 31 March 2015 is outlined below. If you would like to read more, then click on the link below.

http://www.stocknessmonster.com/news-item?S=WEC&E=ASX&N=855538


*HIGHLIGHTS* 

• Completed commissioning of the new MCC coal wash plant in late February 2015, with over 20k tons of ROM coal washed through the plant to date

• Generated a further US$5.5m in coal sales revenue at MCC during the quarter, and US$13.7m since July 2014, including sales of low-ash stoker coals at premium pricing 

• Continued work on the detailed engineering and design study for the proposed construction of a 500,000 tonne per annum BCB plant with a major South African coal producer

• Continued to review opportunities to acquire coal concessions in the Kalimantan region of Indonesia, which include coal upgrading opportunities requiring application of the BCB technology.

• Continued to progress the R&D program at Cessnock Production Plant 

• Work continues on legal dispute with Bayan Resources relating to terminated KSC JV, with the case transferred to Singapore International Commercial Court, paving way for an expedited hearing timetable.





Please Do Your Own Research


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## noirua (27 January 2016)

Time for me to start buying more stock this morning at 11c a share. Could have stuck around hoping to get some a tad cheaper but the result from the Singapore court could come anytime and the odd half cent matters little in that event.
Market cap around A$33 million with claim up to A$1.1 billion, looks a fair punt. Gamble is on the courts decision and how long we have to wait for it - remember, there could be an appeal and if one party's representative or a judge becomes ill or dies, there would be further delays.


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## noirua (12 April 2016)

noirua said:


> Time for me to start buying more stock this morning at 11c a share. Could have stuck around hoping to get some a tad cheaper but the result from the Singapore court could come anytime and the odd half cent matters little in that event.
> Market cap around A$33 million with claim up to A$1.1 billion, looks a fair punt. Gamble is on the courts decision and how long we have to wait for it - remember, there could be an appeal and if one party's representative or a judge becomes ill or dies, there would be further delays.




At 11.5c and supported by buying of shares by the Chairman and MD. A gamble on the Singaporean courts and Appalachian coal prices - a gamble indeed that might just come off. Some hopes remaining of securing coal supplies from the Phillipson coalfields to SA power-stations and still profitable for sheep and wool sales.


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## noirua (19 April 2016)

Now bouncing off a 5c low and 260% up in a matter of weeks. Appalachian coal prices firmer, Aussie stronger, and thoughts about that A$1 billion claim in Singapore. Were looking cheap at 5c and maybe a long way to go yet for White Energy on the recovery front.


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## noirua (2 August 2017)

The Arbitration award, damages and costs should be known this month.  WEC appear cheap if the award gets above US$10 million plus damages and costs.  Company hopes for US$110 million plus damages and costs.


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## noirua (5 August 2017)

noirua said:


> The Arbitration award, damages and costs should be known this month.  WEC appear cheap if the award gets above US$10 million plus damages and costs.  Company hopes for US$110 million plus damages and costs.




The original claim by WEC against Bayan in Singapore amounted to A$1.1 billion. This figure has not been mentioned again since that claim was originally broadcast.  An amount of A$110 million is indicated by White Energy as to their expenditure on the Tabang project. There is also the costs since 2011 the company has endured. In addition they are claiming damages. If WEC receive full awards they will not get A$1.1 billion but nearer A$200 million. Bayan take the view that the award will be nominal and only address non-compliance to coal supplies to the test plant stages and costs.
http://www.lawsociety.org.sg/jusnewsg/newsletter/201707/article13.aspx


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## noirua (11 August 2017)

WEC is one of my worst investments ever.  Still, never give up on a stock as it can turn at mega-low levels - High $4.20 and Low 2.6c.  I'm now holding 18 times the amount of stock held during its great collapse.  Needing about 9.5c to get level again and with the Singapore Arbitration Third Tranche decision due fairly shortly that could happen.
Very high risk and at times difficult trade.  These shares now have potential on the sale of American coal interests, South African Coal Fines, Gold exploration and the Singapore Arbitration decision.  The company also has coal interests at Phillipson in Far North South Australia, the size of England.  Now a micro-cap with mid-cap assets.


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## noirua (11 August 2017)

WEC last traded at 6.9c several days ago.  Stuck at 5c bid - 6.8c offer.
http://www.whiteenergyco.com
http://www.otcmarkets.com/stock/WECFY/news?id=165695
http://www.lawsociety.org.sg/jusnewsg/newsletter/201707/article13.aspx


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## noirua (3 September 2017)

Well, there you goes. Bayan have appealed the second tranche decision in Singapore and White says on virtually all counts. Another blasted delay that started back in 2011. At least Bayan's shares in Kangaroo resources are frozen and presently worth $57 million.


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## Knobby22 (4 September 2017)

noirua said:


> Well, there you goes. Bayan have appealed the second tranche decision in Singapore and White says on virtually all counts. Another blasted delay that started back in 2011. At least Bayan's shares in Kangaroo resources are frozen and presently worth $57 million.



Hi Noirua, what do you mean ""and White says on virtually all counts.""


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## noirua (30 September 2017)

Knobby22 said:


> Hi Noirua, what do you mean ""and White says on virtually all counts.""




All the news on White Energy can be seen at this link - https://stocknessmonster.com/news-history?S=WEC&E=ASX&Year=2017

News on Bayan Appeal: https://stocknessmonster.com/news-item?S=WEC&E=ASX&N=1031680
Update at Pages 3 and 4 - in the Full Year Statutory Accounts: https://stocknessmonster.com/news-item?S=WEC&E=ASX&N=1039877
A notice of appeal against substantially the whole of the SICC’s findings against Bayan in the tranche two judgement was subsequently filed by Bayan on 24 August 2017. Bayan has two months from that date to file submissions for appeal with SICC and following that the Group has one month to file a reply. The appeal is fixed for hearing on a date between 5 February 2018 and 13 February 2018.

Assuming Bayan’s appeal is not successful, the third tranche of the trial will be to determine causation and damages that are required to be paid to the Group. The Group may be liable for costs should the Court held to determine causation ultimately decide to award costs against BCBCS and BCBC in future proceedings.


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## noirua (30 October 2017)

WEC still doing badly with the shares close to the floor at 3.3c. A shocking performance indeed from quite high profile directors - hopeless.


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## noirua (8 January 2018)

WEC are recovering from dastardly lows and up 100% at 5.2c a share. Awaiting news of Appalachian coal tenement sales and tranche 2 appeal in Singapore in February. IF all goes well the Appalachian coal sales will bring in over US$10 million and the Singapore tranche 3 award well over US$100 million.

The Mountainside Appalachian coal tenements have had over 160 wells drilled to firm up coal reserves with some blue gem coal.


QUARTERLY ACTIVITIES REPORT to 30th September 2017
Http://www.whiteenergyco.com/wp-content/uploads/2017/11/Quarterly-Activities-and-Cashflow-Report-App-5B.pdf


ANNUAL REPORT 2017
Http://www.whiteenergyco.com/wp-content/uploads/2017/10/Annual-Report-to-Shareholders.pdf


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## noirua (28 January 2018)

The Appeal at the Singapore Court of Arbitration is fixed for hearing on a date between 5 February 2018 and 13 February 2018. The White Energy Group had invested over US$110 million in the Tabang project in Indonesia up until 2012 when BR repudiated the joint venture. Substantial legal costs have also been incurred in relation to the proceedings to recover damages from Bayan.


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## noirua (28 January 2018)

Assuming Bayan’s appeal is not successful, the third tranche of the trial will be to determine causation and damages that are required to be paid to the Group.


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## noirua (1 February 2018)

noirua said:


> Assuming Bayan’s appeal is not successful, the third tranche of the trial will be to determine causation and damages that are required to be paid to the Group.



WEC hope to receive a minimum of US$110 million plus court costs and damages. The original claim was for US$750 million.
If WEC win in this appeal by Bayan then hopefully they'll get around US$200 million or A$250 million in tranche 3.


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## noirua (6 February 2018)

WEC are still lightly traded making it difficult to buy or sell large amounts of stock.  The share price can rise or fall quite abruptly.

A notice of appeal against substantially the whole of the SICC’s findings against Bayan in the tranche two judgement was subsequently filed by Bayan on 24 August 2017. The appeal is fixed for hearing on a date between 5 February 2018 and 13 February 2018.


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## noirua (15 February 2018)

noirua said:


> WEC are still lightly traded making it difficult to buy or sell large amounts of stock.  The share price can rise or fall quite abruptly.
> 
> A notice of appeal against substantially the whole of the SICC’s findings against Bayan in the tranche two judgement was subsequently filed by Bayan on 24 August 2017. The appeal is fixed for hearing on a date between 5 February 2018 and 13 February 2018.




The Appeal Hearing was reported to have started on Wednesday 7th February at Singapore's Arbitration Court. WEC's shares are expected to go into Trading Halt before a decision is made.


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## noirua (5 March 2018)

noirua said:


> The Appeal Hearing was reported to have started on Wednesday 7th February at Singapore's Arbitration Court. WEC's shares are expected to go into Trading Halt before a decision is made.



This must be one of the worlds most frustrating stocks. In Aussie courts all over Australia from 2011 to 2015 and then in the Arbitration court in Singapore - 6 years and 4 months have passed.  Still, we are only at an Appeal to the Tranche 2 court decision and there is still Tranche 3 that could be followed by a further Appeal. That will probably be 2019 and then I doubt it will all be over.

The White Energy shares trade between 6c and 7.5c. If all goes well and WEC get A$200 to A$250 million, which they should get as a minimum, then WEC shares should rocket.  At a complete guess up to 600%, however, the market thinks not. Is the market right?


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## noirua (1 April 2018)

Life wanders on but White Energy looks bedraggled, lifeless and without much hope. One for those who loves boring and can sit and wait. You might be rewarded.


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## noirua (8 April 2018)

This could be an all cash down the plughole stock or 2018's biggest high flyer. If the Arbitration in Singapore goes well and they manage to get $300m from Bayan and they sell their interests in Mountainside and coal tailings in South Africa for top dollar.  Then the shares wont be around 5c each they will rocket towards $1.00.


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## noirua (14 April 2018)

noirua said:


> This could be an all cash down the plughole stock or 2018's biggest high flyer. If the Arbitration in Singapore goes well and they manage to get $300m from Bayan and they sell their interests in Mountainside and coal tailings in South Africa for top dollar.  Then the shares wont be around 5c each they will rocket towards $1.00.




Are you on board this potential rocket. Anyway, if you have cash to bet it looks a good old horse - needs new legs.


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## noirua (6 May 2018)

If the outcome of the appeal in the Tranche 2 court case versus Bayan is successfully completed in favour of White Energy. Then the recent rise in Kangaroo Resources shares KRL will be very favourable for the company. Bayan have their 54% holding in KRL frozen by courts in Australia and approved by the Arbitration court in Singapore.
KRL's market cap is now $137.3 million making the Bayan stake worth over A$74 million.


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## noirua (7 May 2018)

WEC's shares went up 26% in very light trading. Shows how fast the shares could move with trading moving from very light to light.
KRL's shares went into voluntary Trading Halt whilst they conjure up a reply as to why their shares jumped by 100% in a few days. Bayan's 56% holding is frozen by Aussie Courts whilst the outcome of the Arbitration Court is announced between Bayan's subsidiary and White Energy's subsidiary.
WEC shares look a well balanced gamble.


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## noirua (29 May 2018)

noirua said:


> WEC's shares went up 26% in very light trading. Shows how fast the shares could move with trading moving from very light to light.
> KRL's shares went into voluntary Trading Halt whilst they conjure up a reply as to why their shares jumped by 100% in a few days. Bayan's 56% holding is frozen by Aussie Courts whilst the outcome of the Arbitration Court is announced between Bayan's subsidiary and White Energy's subsidiary.
> WEC shares look a well balanced gamble.




KRL shares are currently trading about 180% higher than before the PT Bayan interest was first rumoured. 56.05% of the company's shares owned by PT Bayan are now worth A$105 million.


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## noirua (10 June 2018)

WEC shares continue to fall in very light trading and no sign of substantial holders buying despite a former director gradually unloading. I've hung my hat on this one and paid an average 3.67c a share. High is $4.20 and low at 2.6c. One for those who like a merry punt.
I find Aussies not too keen on taking a chance on mega-high-risk shares. Americans seem to ignore the micro-cap disasters though UK investors and even Germans will chance, not their arms, but a finger or toe nail.


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## noirua (24 June 2018)

The bet here for the positive in life is that White Energy will receive about US$110 million and about US$24 million in interest and costs. That would make about A$180 million against a market cap of A$14.5 million at 4.4c a share.

The bet negative is that PT Bayan wont pay up or the Singapore Arbitration court will not award as much as thought or PT Bayan will win some concessions at the Tranche 2 appeal - decision to be announced later.

Is it worth a few dollars as a punt or not?


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## noirua (1 July 2018)

WEC - White Energy Company
From the above posted on the Kangaroo Resources KRL thread.

It is possible that PT Bayan TBK have plans to bid for White Energy through Kangaroo Resources. Bayan are presently in talks with KRL concerning acquiring the outstanding 43.95% shares in Kangaroo.

If KRL bid successfully for White Energy WEC, then any award by the Singapore Commercial Court due to WEC would in fact be paid to a company 100% owned by them.
Therefore a bid for WEC shares, presently 3.3c, could be as high as 20c about 6 times the present share price and worth A$65.5m (US$50m approx).

PT Bayan would gain 100% rights worldwide in WEC's BCB technology, assets at Mountainside in the United States, coal fines interests in South Africa, and the coal interests in North South Australia at Phillipson (the size of England). All these as a bonus.


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## noirua (1 July 2018)

KRL - Kangaroo Resources
Ran out of time editing: The above is the link to the last message and not WEC - White Energy Company


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## noirua (8 July 2018)

noirua said:


> The Ingomar trial pit was first brought in to supply the Pig iron plant near Whyalla - this all fell apart in 2002 when the plant was cancelled - all a bit of a disaster at the time. The set-up there is good but the seams are single in nature and not multiple as in more favourable areas and a longway from the Phillipson siding.
> A lot of money was spent on the Ingomar trial pit and it is all but up and running, despite being mothballed in 2002. Quite a lot of coal is lying on the surface under covers and a large area is cleared ready for excavation.
> There ia a briquette plant and wash plant though I'm not certain of the positions, built in 2001.
> However, there are two other places earmarked somewhere near the Phillipson lake for power washing coal though I seem to remember the idea was abandonned.
> Corner Gate is the best area to mine coal at Phillipson as it's in very many multiple seams, though not that much work was carried out up to 2001.



The coal is low grade known as steaming coal and good for Southern Power Stations in SA but unfortunately no longer required. Gasification is the future hope for the 4 billion tonnes of coal at Phillipson.


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## noirua (11 July 2018)

If a person is willing to lose everything on the hope or expectation that WEC will be awarded a very large sum, maybe over US$200 million, in their Arbitration court case in Singapore versus PT Bayan Tbk and that they will be successful in getting most of the cash from Bayan. Then this is a gamble stock worth taking a punt on.
At 5c a shares the market cap is A$16.7 million

White Energy are presently accepting bids for their 51% owned coal assets at Mountainside in the states.


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## noirua (13 July 2018)

Last trade a few days ago at 5c a share with bidders up to 5.3c and lowest offer at 5.9c - close on Friday. If all moves into place then 25c to 30c is on the cards.  If all turns bad a placing will be made and you will probably lose more than half your investment.  Odds look fine to me - mostly on the likely outcome of PT Bayan TBK's appeal against the decision in favour of WEC at Tranche 2 in the court case in Singapore.


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## noirua (15 July 2018)

noirua said:


> Last trade a few days ago at 5c a share with bidders up to 5.3c and lowest offer at 5.9c - close on Friday. If all moves into place then 25c to 30c is on the cards.  If all turns bad a placing will be made and you will probably lose more than half your investment.  Odds look fine to me - mostly on the likely outcome of PT Bayan TBK's appeal against the decision in favour of WEC at Tranche 2 in the court case in Singapore.




Buying WEC shares needs patience as few shares seem available unless you want to pay nearly 6c a share. About 18% over the last trade price at 5c. The reason for the 66% rise appears to be due to the MD buying all the shares that were gradually being drip fed into the market by a former director.


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## noirua (29 July 2018)

WEC appear always to release a quarterly report that just beats the deadline. So expecting it on Tuesday 31st July.
Cash is getting quite tight now though asset sales and coal sales should see the quarterly cash used at under £200k. The much delayed Mountainside Coal asset sales in the states is quite vital now although White Energy may be angling to hold on to this coal reserve as prices firm for blue gem coal in the Appalachian region.
WEC hope to be awarded their US$110 million expenditure on Tabang plus interest since 2011 and legal costs plus damages against Pt Bayan TBK by the Singapore courts. The original claim in 2015 was US$750 million. Hopefully they will get a total award around the US$150 to US$300 million mark.


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## noirua (31 July 2018)

ASF share competition: https://www.aussiestockforums.com/t...g-competition-entry-thread.34114/#post-989958

-----
Quarterly Results and Fund Raising:
https://www.asx.com.au/asx/share-price-research/company/WEC

Cash used reduced to $80k in the past quarter.  Coal sales down a bit due to production suspended during April. Sale of Mountainside looks to be reaching a conclusion. WEC have a 51% interest.

BSB pelleting technology opportunities still sought in South Africa and a coal testing agreement in China looks promising.

Decision of Court case tranche2 Appeal by PT Bayan TBK in Singapore is awaited.


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## noirua (27 August 2018)

There is so much uncertainty as to whether Bayan's bid for KRL will be blocked by FIRB or not.
Are KRL shares worth the 15c bid price? What are WEC shares worth? If they are eventually awarded a large sum and get it then the shares should rocket. There are the several other alternatives down to not getting very much. Which way will the Appeal go in Singapore and will Bayan win on the various parts of the Appeal that covers nearly all the decision by Singapore's Arbitration court at Tranche 2.


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## noirua (30 August 2018)

After the success yesterday in the Singapore Appeals Court WEC shares have taken off...


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## noirua (1 September 2018)

WEC shares closed at 9.6 cents up 220% from their quite recent 3c price and 270% up from the years low of just 2.6c. 
A decision from the Singaporean court SICC is expected reasonably shortly on causation.


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## noirua (15 September 2018)

Are WEC a complete gamble on getting compensation and costs from PT Bayan TBK or do they also have other hidden attractions?

A key further interest is the BCB coal upgrading technology and MD Brian Flannery's connection with the third largest coal miner in China which also has links in Australia, Yanzhou Coal Company Limited.
Flannery worked for Yanzhou for 12 months during 2010 an 2011 after their takeover of Felix Resources.

Yanzhou is China's key upfront company for upgrading coal principally in China and also imported from Indonesia and Australia.  Of course Bayan a Singapore registered company has all its coal mines in Indonesia exporting to China. The BCB process for upgrading coal was based at Tabang the place of Bayan's Tabang coal mine and ideal coal for the BCB process.

So Yanzhou COULD be in talks with WEC or intending to do so. Would they bid for BCB use in China, Indonesia and Australia. If they did this becomes a game changer.


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## noirua (16 September 2018)

Trading at 8.7c but rarely trading these days as few know whether to buy or sell.  Could jump fivefold or tenfold if a giant payout ever arrives in their bank account - that's the catch 22.  Should I sell my house and then get ready to buy 5 to 10 properties with the proceeds.  Yes, Yes, Yes, but only if you have 5 properties already. Yep! - 'tis a gamble guys.


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## noirua (1 October 2018)

WEC are back in Western Australian court to try to extend the freeze on Bayan's 56.05% of KRL to cover 100% of the company's shares. The battle is now on three legal fronts and no sign of anyone giving way.


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## noirua (9 October 2018)

A one for one cash raising at 7c is an interesting move at this stage. Might be OK but that makes any award worth less per share. Less to go for now.


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## noirua (15 October 2018)

...and so the WEC share price doth tumble below the 7c cash raising price.  The raising of $22.9 million is a questionable ask as to whether that much is needed. Directors Brian Flannery and Travers Duncan are taking up their entitlement: The money raised is to cover legal costs and repayments of loans plus interest, loans made by themselves. Thus, if they are among the few taking up the offer they will in fact be paying in money to pay off themselves.


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## noirua (12 January 2019)

Well WEC raised over $10 million and former director Hans Mende bought a 6.5% holding in the company from those shares not bought by Australian and NZ holders. So Chairman Travers Duncan ad MD Brian Flannery get the money they lent the company back plus 10% interest - well done them.


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## noirua (12 January 2019)

WEC are holding off it would seem on its sale of Mountainside Coal Limited in the Appalachian Region in America. If Donald Trump builds a wall of steel rather than concrete and bricks that should increase the demand for blue gem coal and prices with it.


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## noirua (12 January 2019)

SICC RULES IN FAVOUR OF WHITE ENERGY ON REMITTED ISSUE - 10 January 2019
https://stocknessmonster.com/announcements/wec.asx-2A1127577/

The Singapore International Commercial Court (“SICC”) yesterday released its judgment in relation to the issue of whether BCBCS had the ability to fund KSC by itself. As previously advised to shareholders, the Singapore Court of Appeal (“CA”) had dismissed substantially the whole of BR’s appeal against the second tranche judgment of the SICC, save only that it had remitted the question of whether BCBCS had the ability to fund KSC by itself to the SICC for determination.

In light of this finding, a third tranche of the proceedings will be held to deal with the outstanding issues in relation to causation and the quantum of damages. A Case Management Conference will be held after 25 January 2019 to provide directions on the conduct of the third tranche. The Company will advise shareholders of the details regarding the conduct of the third tranche as available.


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## noirua (29 January 2019)

noirua said:


> SICC RULES IN FAVOUR OF WHITE ENERGY ON REMITTED ISSUE - 10 January 2019
> https://stocknessmonster.com/announcements/wec.asx-2A1127577/
> 
> The Singapore International Commercial Court (“SICC”) yesterday released its judgment in relation to the issue of whether BCBCS had the ability to fund KSC by itself. As previously advised to shareholders, the Singapore Court of Appeal (“CA”) had dismissed substantially the whole of BR’s appeal against the second tranche judgment of the SICC, save only that it had remitted the question of whether BCBCS had the ability to fund KSC by itself to the SICC for determination.
> ...




It seems that PT Bayan have appealed yet again. So the Tranche 3 decision is on hold pending the outcome. If you think WEC will eventually win the day on all counts and PT Bayan will eventually pay up then it's a matter of how much is awarded. You look through all the past posts back to 2009 and make your decision or you take a punt or pass on by.


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## noirua (11 March 2019)

The Appeal by Bayan will be heard by the Singapore Appeals Court on 10 July 2019. It has just been announced.


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## noirua (17 March 2019)

Last trade at 8c and due to sellers in market depth wanting very high prices trading is sparse. An improvement on no trades at all a few weeks back. This dispute since November 2011 with PT Bayan TBK drags on and on. Now at a second Appeal on Tranche 2 in Singapore and Tranche 3 still to come. There are two cases where they took 10.5 years and one in China that is not finalised after 13 years.


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## Smurf1976 (17 March 2019)

noirua said:


> Last trade at 8c and due to sellers in market depth wanting very high prices trading is sparse.



It certainly is.

Must be some confidence on the part of those holding I assume if they're not willing to sell at anywhere near the present price. The only real volume available seems to be at 13c which is a pretty big jump.


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## noirua (19 March 2019)

Smurf1976 said:


> It certainly is.
> 
> Must be some confidence on the part of those holding I assume if they're not willing to sell at anywhere near the present price. The only real volume available seems to be at 13c which is a pretty big jump.



If there was certainty that a full award would be made to WEC then that would probably be about US$200million A$280 million.  On top of that would be whether they get it all from Bayan.  Top share price with all the garden rosy in 2020 is in the  50c to 70c range. However, the Singapore court has yet to decide an award so everything remains in the melting pot, save that WEC won at Tranche 2 now subject to appeal. Then comes Tranche 3 the award.

A solid enough gamble at 8c but that is only my opinion.


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## noirua (21 June 2019)

WEC rose sharply to close at 11.5c in light trading. Now up 340% from last years low point. July 10 is the Arbitration Appeal date set in Singapore.


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## noirua (29 June 2019)

noirua said:


> WEC rose sharply to close at 11.5c in light trading. Now up 340% from last years low point. July 10 is the Arbitration Appeal date set in Singapore.




The Arbitration Appeal is being made by PT Bayan TBK in Singapore against a decision that was mainly in favour of WEC's subsidiary company, BCBCS -  https://stocknessmonster.com/announcements/wec.asx-2A1127577/ 
The dispute started in November 2011 and has been through many Australian courts ending up in 2015 in the Singapore International Commercial Court SICC. Should Bayan be unsuccessful in their Appeal bid the case move to Tranche 3, "The Award".


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## noirua (14 July 2019)

Bayan Energy have lost their appeal against the decision in favour of White Energy Limited and matters move on to the Tranche 3, The Appeal.
Https://www.asx.com.au/asxpdf/20190710/pdf/446j9lpv6ly648.pdf


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## noirua (31 July 2019)

The latest Quarterly update shows that Mountainside is close to restarting production of blue gem coal and has applied to extend the present license. Half of WEC's interest in South Africa is about to be sold.  News on the award versus Bayan in the Singaporean court will be announced but the process is very slow.


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## noirua (25 September 2019)

Tranche 3, The Award, is in fact a trial in Singapore and will not take place until September 2020. Markets are disappointed and investors are slowly bailing out.


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## noirua (18 November 2019)

A long wait to the final Tranche 3 award against Bayan Resources. Cash may well run low unless they sell their Mountainside interest very shortly.


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## noirua (22 November 2019)

AGM - Chair and Managing Director Address
22 November 2019
Https://stocknessmonster.com/announcements/wec.asx-2A1188238/


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## noirua (14 September 2020)

The SICC has set the trial dates for the third tranche for 21 September 2020 to 30 September 2020.


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## noirua (28 December 2020)

White Energy Company Limited (ASX:WEC) Stock Price & Quote Analysis  - Simply Wall St
					

Research White Energy Company Limited (WEC) stock with daily updated analysis.




					simplywall.st


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## noirua (16 January 2021)

White Energy awaits the decision of the Singapore Arbitration court on the amount of any award, interest, and costs in their dispute with PT Bayan TBK of Indonesia. The final oaths were sworn on 9 January 2021.


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## noirua (14 February 2021)

noirua said:


> White Energy awaits the decision of the Singapore Arbitration court on the amount of any award, interest, and costs in their dispute with PT Bayan TBK of Indonesia. The final oaths were sworn on 9 January 2021.



Still, the wait goes on that first started in December 2011. A decision, for Tranche 3 part two,  should arrive in February though this Arbitration court may be extremely wary after a mistake at Tranche 2 delayed matters for not far short of a year. So maybe March/April is more likely.


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## noirua (27 February 2021)

noirua said:


> Still, the wait goes on that first started in December 2011. A decision, for Tranche 3 part two,  should arrive in February though this Arbitration court may be extremely wary after a mistake at Tranche 2 delayed matters for not far short of a year. So maybe March/April is more likely.



This month should see an announcement on the Tranche 3 award.  WEC hopes for well over US$100 million awarded to them and the market cap is around A$100 million at 13c a share. The company is upbeat about its new technology being used in China for pelleting coal and the same technology in South Africa.  Their coal business, Mountainside Coal in America, is set to be finally sold.  Far North South Australian coal interests are set to be advanced slowly.


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## noirua (29 March 2021)

BCBC Singapore Pte Ltd and another v PT Bayan Resources TBK and another
Supreme Court Singapore - Twitter: Https://twitter.com/SupremeCourtSG?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Eauthor
Supreme Court Judgements: Https://www.supremecourt.gov.sg/news/supreme-court-judgments​
The longest International Arbitration case was wrapped up in 2013 after 15 years. http://internationalbusinesslawadvi...nal-arbitration-case-resolved-after-15-years/


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## noirua (3 April 2021)

Still, the wait goes on for the final award by SICC that was hopefully expected in February. The dispute started in November 2011 and after trailing around Australia's courts for over 4 years ended up in Arbitration in May 2015 in Singapore.  Surely April will bring a final decision though even that could be subject to an appeal and so it goes on.
Anyway, those of us who have waited over 9 years so far are used to grinning and bearing it.


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## noirua (29 April 2021)

So we wait for the Singaporean Arbitration Court to release details of the award to be made in Tranche 3 of the dispute versus a subsidiary of PT Bayan TBK. It is now 9 years and 4 months since the dispute started.









						White Energy sells stake in Mountainside Coal Company
					

SYDNEY: White Energy Company Limited has sold their 51% equity in Mountainside Coal Company, based in Kentucky, USA. The sale to Kentucky based miner,...




					newsnreleases.com
				











						White Energy buys Kentucky coal mining company
					

WEC has announced the successful purchase of Mountainside Coal Company for US$ 20 million.




					www.worldcoal.com
				



The above shows a loss of over US$15 million in nearly seven years. WEC had also spent a great deal of money over the years on the US Mountainside project in question. The venture was brought to a halt when they struck rock. Why WEC was not able to know this information before the purchase has not been revealed.


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## noirua (2 May 2021)

> Information showing the ability of PT. Bayan Resources Tbk to pay the award at Tranche 3 by SICC to be made to White Energy Limited ( BCBC Singapore is a fully owned subsidiary of White Energy ) in the case BCBC Singapore Pte Ltd and another v PT Bayan Resources TBK and another
> First Quarter 2021 - PT. Bayan Resources Tbk.
> Update Presentation
> https://www.bayan.com.sg/cfind/source/files/investor/investor-update/investor update 1q - 2021.pdf


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## noirua (29 May 2021)

The White Energy Group had invested over US$110 million in the Tabang project in Indonesia up until 2012 when BR repudiated the joint venture. Substantial legal costs have also been incurred in relation to the proceedings to recover damages from Bayan.
***** White Energy is waiting for a decision on the award at Tranche 3 by Singapore: International Arbitration Commission. Oral and written responses have now been made on 9 January 2021. A decision regarding an award is awaited.
-----
The delay in deciding the SICC Tranche 3 award is likely to be due to differences in opinion of the three SICC Arbitration panel IMHO.

The differences may be mainly over the award concerning the value of Tabang as of May 2015 when the Arbitration reached Singapore SICC and the value at November/ December 2011 when the dispute started.
How much WEC spent may be considered mainly irrelevant and it will be 51% of either valuation - WEC had a 51% interest in the Tabang project.  The award could be US$45 million about the offer price Bayan made to WEC to buy their interest in 2011/ 2012.
Any interest might be about 3.5% compound from either December 2011 or May 2015. The total could be about US$55 million on a 2015 basis or US$63 million on a 2011 basis.

Costs of WEC are likely to be paid by Bayan as these are directed by the court and must be paid before Bayan could lodge any further appeals. Likely to be in the order of US$1.5 million. Other legal costs are likely to be around US$5 million and would be awarded but separate.

Compensation is likely to be fairly minimal as far as the, estimated/ guessed at, ramp-up in production is concerned and maybe as low as US$10 million including interest. WEC estimated production would be doubled in the two years following  December 2011.

So my guess is the award including interest and costs will be US$55 million or US$63 million + US$6.5 million + US$10 million = US$71.5 million or US$80 million A$145 million. This is a personal estimate and may well be completely wrong.
----

Latest Singapore Court Decisions: Https://www.singaporelawwatch.sg/Judgments/High-Court/PgrID/401/PageID/1/pager/366?page=112


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## noirua (11 June 2021)

Bayan appear to be in a good position to pay any award by SICC:





TABANG / NORTH PAKAR INCREASES JORC RESERVES BY 72%
11 June 2021


			https://www.bayan.com.sg/cfind/source/files/press-release/press%20release_final.pdf


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## noirua (29 June 2021)

Nothing much to add really. WEC is waiting for an award by SICC in Singapore that is crucial.  What will the award be? Will PT. Bayan Tbk. pay the award? Will legal proceedings continue?  Very long-running and it will be 10 years in November next since proceedings first began.
This is probably the longest in Australian history for an ASX company. No doubt many original investors back in 2011 have since died.


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## noirua (21 July 2021)

Quite frustrating this long wait for a decision over the Tabang, Indonesia affair.  Originally SICC wanted to show how good they are but so far they've proven to be far less capable and they could learn from the Arbitration Commission in Guangzhou, China.  So expectations of an award in March have led us to July and thoughts that we won't hear anything until September.


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## noirua (1 August 2021)

noirua said:


> Quite frustrating this long wait for a decision over the Tabang, Indonesia affair.  Originally SICC wanted to show how good they are but so far they've proven to be far less capable and they could learn from the Arbitration Commission in Guangzhou, China.  So expectations of an award in March have led us to July and thoughts that we won't hear anything until September.



At least WEC has confirmed the freezing order remains in force for Kangaroo Resources and Bayan has said recent coal sales have not affected the company as far as the freezing order is concerned.


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## noirua (5 August 2021)

I suppose the market cap at A$100 million at 13c is a factor of concern here with the prospects of profits in the medium term downbeat. Only cash return is likely from the award by SICC in the short term - sometime this year almost certainly. The prospects of further appeals look certain unless WEC does a deal with Bayan. The other negative factor is ongoing running costs and legal costs that hopefully end shortly. 

The medium-term profit outlook is coal fines in South Africa and new coal technology into China.  Long-term is gasification of coal reserves at the Phillipson tenement in far north South Australia. That is it really as the Directors decisions over the last 10 years have been lacklustre with the share price tumbling from $4.20 to a low a few years ago of 3c and now at 13c. 

Further comments could be made but mostly negative.


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## noirua (8 August 2021)

White Energy Company Limited (ASX:WEC) Stock Price & Quote Analysis  - Simply Wall St
					

Research White Energy Company Limited (WEC) stock with daily updated analysis.




					simplywall.st


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## noirua (21 August 2021)

Well, many expected a result of the award by SIPP in Singapore by the end of March and now we march towards the end of August. The dispute started in November 2011 and went to the SIPP in May 2015 as the first case dealt with by them.  The dispute has run 9 years and 9 months and is the longest for an Australian company in history.

The dispute is versus PT. Bayan Tbk. of Indonesia a coal exporter mainly to China.

At 11c per share the market cap is A$85.2 million. The watered down claim by WEC is US$153m A$215 million. In the past claims awarded are about half plus costs. Interest is usually only added from the start of the case being presented to SIPP and usually in US$s at about 3.5%: This is guesswork of course.

Australia-based White Energy Co. Ltd. is seeking about US$153 million from Indonesia's PT Bayan Resources Tbk. in a dispute over the KSC coal joint venture in Indonesia.
In July 2017, the Singapore International Commercial Court sided with White Energy units BCBC Singapore Pte. Ltd. and Binderless Coal Briquetting Co. Pty. Ltd. in the case, after ruling that Bayan Resources had violated its coal supply obligation and further repudiated the joint venture by wrongfully issuing a termination notice.
Bayan Resources filed an appeal in August 2017, but it was dismissed.
White Energy said that its claim for damages comprises about US$99 million in wasted expenditure related to Bayan Resources' breach and about US$54 million in projected revenue losses from the cancellation of a plan to boost the venture's capacity to at least 3 million tonnes per annum, plus interest and costs.


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## divs4ever (21 August 2021)

yes it has been a long sad saga 

 i hold WEC , ( probably deeply under water , but only guessing  i gave up looking at the SP years ago )

 good luck in the comp. though


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## noirua (22 August 2021)

divs4ever said:


> yes it has been a long sad saga
> 
> i hold WEC , ( probably deeply under water , but only guessing  i gave up looking at the SP years ago )
> 
> good luck in the comp. though



The award here could end up disappointing or Bayan may appeal for years to come and all the other interests held by WEC may falter badly.
On the other hand the award may be about half plus costs and Bayan may pay up in cash or in kind and the South African coal fines could work out well together with the Chinese coal pelleting plans.
The former Chairman Travers Duncan and present MD Brian Flannery are worrying factors. The former is very elderly and MD an old coal mining exporter may have just had enough of all this.   Both I think care about themselves first and other trail way back.  As to the present Chairman Graham Cubbins, chair since March 2021, I'm unsure.
I have my own views though we have to consider this to be a gamble to nothing.  The share price could fall back to 3c or move on for years ahead and eventually hit 50c - could it reach $4.20 again though? - miracles have happened but White Energy is no Sirius Resources. However, prepare for a cash raising if Bayan fail to pay up or even worse.


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## divs4ever (22 August 2021)

to be honest i am surprised WEC  hadn't failed already 

 so ,  it is the reverse for me 

 a possible crystallized loss  ,  or a miracle recovery ( maybe even  profit )

 HOWEVER there might be a chance over a take-over  , i think NHC has a rival 'clean coal technology so probably they won't be interested 

 S32 has some cash/credit in the piggy-bank  and WHC  might be a possible predator 

 sorry but am unlikely to put any more cash in this  ,


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## noirua (8 October 2021)

Once upon a time three of the WEC directors were hailed as the most successful in the business selling coal from Queensland and NSW. Felix Resources was hailed as a bank by MD Brian Flannery as so much cash piled in they did not know what to do with it. At the low point in 2003 the shares had a market cap. of just $10 million and at the peak in 2008 a market cap. of $4.3 billion.

At the takeover point in 2009 shareholders received cash and shares in South Australian Coal Limited SAS. In 2010 SAS became part of WEC and SAS shareholders including MD Brian Flannery and Chairman Travers Duncan ( now retired as Chairman due to age) took positions on the board. WEC shares reach $4.20 valuing SAS shares at 50c each - 'the glory days were here'?

Unfortunately near everything went pear shaped and Brian Flannery lost his magic touch to see the shares hit a low point in 2019 of 2.6c intraday.  2008 was one of the best performances with Felix Resources ever seen in Australia but by 2019 with White Energy one of the worse.

Without going further into the demise and low coal prices we must now see if there is likely to be a return to the good-old-days.

Well maybe surprisingly there is.  The new Binderless Coal Briquetting technology BCC - well it was new in 2009 when great things were expected at Tabang in Indonesia with partner PT Bayan TBK.  This all fell apart leaving a legal battle covering 9 years and eleven months and good news, maybe, when an award is made by SICC in Singapore. Maybe because it is not known whether Bayan will pay up or continue with an appeal if allowed.
The briquetting technology is at an early stage of development in China where a small plant is built but held up by the coronavirus situation.  A major build is planned so just maybe success at last.
Over 1 billion tonnes of coal fines in South Africa where the new coal technology is planned but no plant built as yet, so maybe.
Gas from the far north Phillipson tenement where there is 4.3 billion tonnes of coal.  A new plant maybe built in the future.


			https://www.whiteenergyco.com/wp-content/uploads/2014/11/white_energy_company_profile_attachment_1.pdf
		


A Chinese major might become interested in BCC technology such as Shenua Energy WEC may hope: https://en.wikipedia.org/wiki/China_Shenhua_Energy

More likely is Yanzhou Coal Limited as MD Brian Flannery worked as a director with Vincent O'Rourke for one year at their Australian subsidiary in 2010. https://www.miningmonthly.com/markets/international-coal-news/1294411/retirement-flannery https://www.smh.com.au/business/35bn-bid-for-felix-resources-20090810-eflj.html








						Rich Lister Brian Flannery thinks small with new investment
					

Best known for coal mines and power stations, the Flannery family office has doubled down on an orthopaedic surgery tool just 1.5 millimetres long.




					www.afr.com


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## noirua (31 October 2021)

WEC expected the final award from Singapore's SICC by March 2021. Soon we will be in November and that will make 10 years since the dispute between White Energy and PT Bayan TBK started.

Away from the dispute WEC might get their pelleting technology of low grade coal underway in China and South Africa.  If that works out well then WEC are cheap, if not... Of course WEC has land the size of England in far north South Australia where coal is suitable for gasification - will it workout? - no idea.

The share is a big gamble at 13.5c and is it worth a punt - well hmmm no idea. Have I invested in WEC? - well yes.
Should I have invested? - no idea.  Was I stupid to buy WEC? - yes probably.  Will I make a fortune? - time as usual will tell.


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## noirua (27 November 2021)

WEC is now at $0.14 though the share rarely trades and 14c was the last trade at $900.  This last announcement sums up as it is by MD Brian Flannery who has waved the flag in the dispute with PT Bayan TBK for exactly 10 years now. England once had a 100 years war with France and the WEC v Bayan is getting to seem like that.


			Stockness Monster!
		


As a guide the shares have traded between 2.6c and $4.20 since 2010.


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## noirua (3 December 2021)

PT BAYAN Tbk latest Quarterly Report showing they have sufficient funds to pay any award by SICC - will they pay?


			https://www.bayan.com.sg/cfind/source/files/investor/investor-update/investor%20update%203q%20-%202021.pdf


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## noirua (3 December 2021)

Net Profits at PT BAYAN Tbk reach US$680.1 million in the first 9 months.
Page 2 - 
https://www.bayan.com.sg/cfind/source/files/investor/investor-update/investor update 3q - 2021.pdf


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## divs4ever (4 December 2021)

have i completely lost my money in this yet  ??

 i suspect i have 

 thank goodness i have 'dirty coal'  stocks ( like S32 , NHC , and WHC   to keep the income coming in )

 i suspect  the ongoing problem will be the lost momentum  for WEC 

 i suppose the positive part is at least they haven't had a consolidation   in the last 10 years i have held then  ( i bought in @ 52.5 cents )


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## noirua (4 December 2021)

divs4ever said:


> have i completely lost my money in this yet  ??
> 
> i suspect i have
> 
> ...



Never mind I bought some shares in a Rights Issue at $2.50 about 10 years back.

Your money might well be returned in the years to come with the new pelleting technology in China and South Africa.

Put in your bottom drawer but do not lock it as the shares might make it to A$1.00 in the years to come.

There is an idea, no more than that, that PT Bayan Tbk may still be up for a deal at this very late stage to save face. Suggested to me that Bayan may make an offer covering any SICC award or even before it is made. That would be a sum to take a large stake in White Energy together with 100% rights to the BCB Technology in Indonesia and testing at Cessnock. The sum shown to be paid for the SICC award would be low but the offer for new shares in WEC and BCB Technology seen as rather generous.


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## divs4ever (4 December 2021)

well good luck 

 but i am not betting i will be alive in another 10 years 

 but you never know it still might come good ( but probably without extra  cash for me )


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## noirua (5 January 2022)

WEC shares are still holding up at 15.5c in fairly light trading. The high point was about 18c in recent years before dropping back to 6c. Just hopefully Bayan can see that China will need pelleting technology to be used in Indonesia to reduce their pollution. China had 1,092 coal fired power stations at the end of 2020 though the target is near 1,300 by 2026.


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## noirua (18 January 2022)

noirua said:


> White Energy awaits the decision of the Singapore Arbitration court on the amount of any award, interest, and costs in their dispute with PT Bayan TBK of Indonesia. The final oaths were sworn on 9 January 2021.



It is now one year since Singapore's SICC sat to decide the award to be made to White Energy in their case against TB Bayan Tbk.  It is also 10 years and two months since the dispute began and  6 years and 8 months since the Singapore Arbitration started.

Singapore set itself up to be the quickest and most efficient. Chances are they will win the wooden spoon as the slowest and least efficient.


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## noirua (27 January 2022)

It still looks to be a wait and see situation as Singapore's SICC decide the award to WEC against PT Bayan Tbk of Indonesia. Dispute started November 2011 and then went to Arbitration at SICC in May 2015.  The last stage 'The Award' has been with SICC for 13 months. Said to be Australia's longest running legal dispute between two companies.


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## noirua (7 February 2022)

Trading Halt.
The trading halt is requested pending an announcement by the Company to the market regarding the legal proceedings in the Singapore International Commercial Court (“SICC”) initiated by subsidiaries of White Energy, BCBC Singapore Pte Ltd ("BCBCS") and Binderless Coal Briquetting Company Pty Limited, against PT Bayan Resources Tbk and Bayan International Pte Ltd (collectively, “Bayan") in connection with the KSC joint venture (the Purpose).

Decision will be at: https://www.elitigation.sg/gd/sic


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## qldfrog (7 February 2022)

good or bad, assume many got bored with the wait and reallocted after a sell


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## noirua (7 February 2022)

IN THE SINGAPORE INTERNATIONAL COMMERCIAL COURT

OF THE REPUBLIC OF SINGAPORE
[2022] SGHC(I) 2
Suit No 1 of 2015
Between

(1)BCBC Singapore Pte Ltd(2)Binderless Coal Briquetting Company Pty Limited
… Plaintiffs
And

(1)PT Bayan Resources TBK(2)Bayan International Pte Ltd
… Defendants
JUDGMENT



			[2022] SGHC(I) 2


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## frugal.rock (8 February 2022)

So I see WEC lost... I now wonder how much court costs from the other party will be?

Looks like it's off to wooden spoonsville area in the monthly competition when it starts trading again ⚓

Ouchy for holders...


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## qldfrog (8 February 2022)

frugal.rock said:


> So I see WEC lost... I now wonder how much court costs from the other party will be?
> 
> Looks like it's off to wooden spoonsville area in the monthly competition when it starts trading again ⚓
> 
> Ouchy for holders...



Was good to be impatient...


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## frugal.rock (9 February 2022)

There's a solid lesson here to be learnt...
Not sure if WEC has anything going for it now?


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## basilio (9 February 2022)

Anyone brave/courageous  enough to believe WEC is oversold and buy in for a  quick partial rebound ?

Not me for certain but any other thoughts ?


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## Austwide (9 February 2022)

As Frugal questioned, has it got anything going for it.

Last Q fin shows 1.5 Q's of funding and bugger all income.

Down to 0.025 now.

Thinking it will need a rabbit out of the hat.


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## Dona Ferentes (9 February 2022)

@noirua is going to fall out of bed, when he wakes up.


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## frugal.rock (9 February 2022)

Austwide said:


> Last Q fin shows 1.5 Q's of funding and bugger all income.



Is that enough to cover the other side's costs ?


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## divs4ever (9 February 2022)

basilio said:


> Anyone brave/courageous  enough to believe WEC is oversold and buy in for a  quick partial rebound ?
> 
> Not me for certain but any other thoughts ?



 gave up on WEC years back    , has had too many ( legal ) battles  and not enough wins for me  ( i bought in November 2011  @ 52.5 cents )

 just another 'green' technology  train-wreck 

 a damn shame ASIC  clamped down on reverse take-overs


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## divs4ever (9 February 2022)

Austwide said:


> As Frugal questioned, has it got anything going for it.
> 
> Last Q fin shows 1.5 Q's of funding and bugger all income.
> 
> ...



 lighting the coal dust in the boardroom might work better


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## Sean K (9 February 2022)

Crikey!


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## noirua (27 February 2022)

Now what: I purchased shares from zero to $2.50 in White Energy WEC. The zero shares were awarded in 2010 when WEC bought out the private company South Australian Coal SACL previously itself hived off from Felix Resources.  I still hold 16,212 WEC shares 'Issuer Sponsored' - once worth $68k and now worth $2,590. As I bought and sold WEC many times over the years it's difficult to work out the total paper loss but probably $250k. A bit frightening. Don't feel sorry for me as I live off the profits from St Barbara Mines in 1994 - the amount you would not believe.  Felix Resources rose 67 times from 2003 to its peak in 2008 so again I remain silent on profits. Good luck everyone!


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## noirua (27 February 2022)

WEC now has problems in South Africa with its coal fines project 51% owned. They have long term liabilities on that of not far south of $50 million.  If they are stuck then it could all be dropped probably meaning losing everything.  However, information provided is rather sparse so it's easy to be wrong on that.








						White Energy Company Limited (ASX:WEC) Stock Price & Quote Analysis  - Simply Wall St
					

Research White Energy Company Limited (WEC) stock with daily updated analysis.




					simplywall.st
				



Directors Travis Duncan and Brian Flannery own 20.5% and 19.7% of WEC's shares so would probably be reluctant to chuck in the towel. M&G has 13.23% and H-J Mende 4.22%.


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## noirua (1 March 2022)

I have put WEC forward for the March competition.  No other reason why you should all buy the share with open arms.


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## noirua (10 March 2022)

WEC have notified they are to appeal against the second part of the third tranche decision by SICC in the case against TB Bayan Tbk. The market was unimpressed: Probably because the result of this decision will probably arrive in late 2022 or early 2023 and Bayan might then appeal against that decision taking us into 2024.

Indonesia doesn't accept decisions by SICC and wont implement them - so I understand.  That means taking the case further to International courts if Bayan wont pay up. If the case is similar to Oxus Gold Limited v Uzbekistan it could rage on to 2029 or even further. Oxus Gold finally lost in seeking to revive the case in 2019 and went bust. The lawyers who paid for the appeal applied to Americas tribunal and lost the case in 2021. They are now appealing and expect a decision in 2023 - the case will have then continued for 14 years. WEC v Bayan is now 10 years. 








						The Republic of Uzbekistan won in the dispute with Oxus Gold plc | Sarkaritel.com
					

Sarkaritel.com,  The Republic of Uzbekistan won in the dispute with Oxus Gold plc, Oxus Gold plc, Republic of Uzbekistan




					www.sarkaritel.com


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## noirua (29 April 2022)

The share price of White Energy appears to be slipping further due to the company's need to raise more funds - probably in a placing.  Some also feel that PT Bayan tbk will not pay up even if WEC receive a judgement in the appeal in their favour. It is difficult to see where a floor lies for the share price IMHO.


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## divs4ever (29 April 2022)

noirua said:


> The share price of White Energy appears to be slipping further due to the company's need to raise more funds - probably in a placing.  Some also feel that PT Bayan tbk will not pay up even if WEC receive a judgement in the appeal in their favour. It is difficult to see where a floor lies for the share price IMHO.



has been a dumpster fire for me

 hopefully others have done better


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## noirua (31 October 2022)

noirua said:


> The share price of White Energy appears to be slipping further due to the company's need to raise more funds - probably in a placing.  Some also feel that PT Bayan tbk will not pay up even if WEC receive a judgement in the appeal in their favour. It is difficult to see where a floor lies for the share price IMHO.



The shares had a 1 for 30 consolidation and await the result of the Appeal against the original decision by SICC. 
White Energy Company Limited filed its Annual Report on Sep 28, 2022, for the period ending Jun 30, 2022. In this report, its auditor, Pannell Kerr Forster - PKF, gave an unqualified opinion expressing doubt that the company can continue as a going concern.


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## divs4ever (31 October 2022)

noirua said:


> The shares had a 1 for 30 consolidation and await the result of the Appeal against the original decision by SICC.
> White Energy Company Limited filed its Annual Report on Sep 28, 2022, for the period ending Jun 30, 2022. In this report, its auditor, Pannell Kerr Forster - PKF, gave an unqualified opinion expressing doubt that the company can continue as a going concern.



 and yet you tip it  ( hoping for a miraculous survival ???  .. AGAIN )

 ( i hold WEC  , very deeply underwater )

one has to wonder how this company finds so many unreliable partners 
 have we a super salesman with a marginal product  ( if it was that good someone like NHC or WHC  or S32 would have taken them over  as a bolt-on )


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## noirua (31 October 2022)

divs4ever said:


> and yet you tip it  ( hoping for a miraculous survival ???  .. AGAIN )
> 
> ( i hold WEC  , very deeply underwater )
> 
> ...



Four of the directors were also on the board of Felix Resources Limited FLX. https://www.whiteenergyco.com/asx-announcement/exfelix_resources_directors_fo_1/
FLX reached $23.20 in 2008 and were taken over for $16.95 plus shares in South Australian Coal in 2009 plus cash dividends of $1.00 a share. The shares were at a low of 35c in 2003 - the market cap was $10 million in 2003 and $2.6 billion in 2009. There was a cash raising in 2005 at $2.90 a share.








						China's Yanzhou Coal to buy Felix for $2.9 billion
					

China's Yanzhou Coal Mining Co <1171.HK> agreed to buy Australian coal miner Felix Resources Ltd <FLX.AX> for $2.9 billion, both firms said on Thursday, further underscoring China's growing appetite for resources assets.




					www.reuters.com
				







__





						Felix Resources (ASX:FLX) To Demerge South Australian Coal and List It on ASX
					

Felix Resources Ltd. (ASX:FLX) said Wednesday it plans to demerge South Australian Coal Ltd (SAC), which owns the Lake Phillipson deposit with a thermal coal resource of about 515 million metric tons, from Felix through an in specie distribution of shares in SAC.




					www.abnnewswire.net


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## divs4ever (31 October 2022)

i bought  my holding in November 2011  and what seems wise in hindsight , avoided adding  more shares later 

 to get close to breaking even on WEC   i would need a share price of  $16.22 

 and quite obviously i will be reluctant to partake in any future capital raising  

 and it is just another reason i remain  extremely cynical  of companies touting  'green'/'clean' technologies ( there are several other companies that have been train-wrecks  as well as this one .)

 cheers


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