Golden Energy and Resources unit acquires Indonesian coal business for US$37.2m

GOLDEN Energy and Resources, formerly known as United Fiber System, has acquired a coal exploration and processing business in Indonesia for US$37.2 million.

In an exchange filing on Thursday evening, the group said that its 67 per cent owned subsidiary PT Golden Energy Mines Tbk (GEMS) has acquired the entire share capital in PT Era Mitra Selaras (EMS).

This makes EMS a 99.9999 per cent owned subsidiary of GEMS Group, and 67 per cent owned by Golden Energy and Resources.

The consideration figure, to be fully satisfied in cash, took into account the proved and probable coal reserves of 68 million tonnes and the recent moratorium on new licences that the Indonesian government imposed for coal mining activities.

The acquisition is not expected to have a material impact on the company's net tangible assets and earnings per share for the current financial year, it said.