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Adani makes first payment for Linc's mining rights at Australia's Carmichael coal project
LINC Energy, a Singapore-listed Australian coal miner, said India's Adani Group has exercised its option to buy Linc's mining rights at the Carmichael coal project in Australia.
In a release on Friday, Linc said the Adani Group will make its first payment of A$90 million (S$100 million) for the rights by Oct 14, 2014. The second payment of A$65 million is expected within 12 months.
Earlier in August, Linc agreed to sell its rights to future royalties from the project to Adani for A$155 million as part of the group's effort to focus on the development of its core assets and business.
At 10:45am, Linc was trading around S$0.845 a share, down 11.5 Singapore cents, or 12 per cent. Only 955,000 shares were traded.
The fall in share price prompted a query from the market regulator, seeking an explanation for the "unusual price movements".