Update on negotiations with PowerChina

RNS Number : 3447L

GCM Resources PLC

21 December 2018

 

21 December 2018

GCM Resources plc

("GCM" or the "Company")

(AIM:GCM) 

Update on negotiations with PowerChina

Further to the announcement on 27 November 2018, GCM Resources plc ("GCM" or the "Company"), an AIM quoted mining and energy company, is pleased to advise that the Company is currently in negotiations with Power Construction China Corporation of China Ltd ("PowerChina") to conclude a Joint Development Agreement to develop the Company's proposed coal mine as well as mine-mouth power plants generating up to 4,000MW. However, it is unlikely to be finalised by the initial target date of 31 December 2018. Both parties continue to work together in respect of the negotiations and a further announcement will be made upon completion.

This announcement contains inside information as defined in Article 7 of the EU Market Abuse Regulation No 596/2014 and has been announced in accordance with the Company's obligations under Article 17 of that Regulation.

For further information:

GCM Resources plc James Hobson Finance Director  [phone]	Northland Capital Partners Ltd Nominated Adviser and Broker Matthew Johnson, Jamie Spotswood [phone]
GCM Resources plc
Tel: [phone]
[e-mail]; www.gcmplc.com

About GCM Resources

GCM Resources plc (LON:GCM), the AIM listed mining and energy company, has identified a high quality coal resource of 572 million tonnes (JORC 2004 compliant) at the Phulbari Coal and Power Project (the Project) in north-west Bangladesh.

Utilising the latest highly energy efficient power generating technology the Phulbari coal mine is capable of supporting power plants of up to 6,000MW. GCM is awaiting approval from the Government of Bangladesh to develop the Project. The Company has a strategy of combining the Company's mine proposal with up to 6,000MW of power generation, together with credible, internationally recognised strategic partners. GCM aims to deliver a practical power solution to provide the cheapest electricity in the country, in a manner amenable to the Government of Bangladesh.

 

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