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WEC - White Energy Company

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

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

 
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.
 

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.
 
The Appeal by Bayan will be heard by the Singapore Appeals Court on 10 July 2019. It has just been announced.
 
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.
 
noirua said:
Last trade at 8c and due to sellers in market depth wanting very high prices trading is sparse.
Click to expand...
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.
 
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.
Click to expand...
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.
 
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.
 
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.
Click to expand...

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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