MissionIR's  Instablog

Send Message
We know our reputation is based on the integrity of our clients and go to great lengths to ensure the companies represented adhere to sound business practices. It is our unwavering commitment to connect the investment community with companies that have great potential and a strong dedication to... More
My company:
My blog:
MissionIR Blog
  • L&L Energy, Inc. (LLEN) Enters Agreement To Acquire Another Chinese Coal Mine 0 comments
    Jun 22, 2012 1:41 PM | about stocks: LLEN

    Seattle-based L&L Energy, a company with coal operations in China, is one of the few that Chinese authorities picked to be a consolidator of its coal industry, buying up smaller coal companies. The company today has more than 1,000 employees, growing from just one when it started operations 17 years ago.

    The company announced today that it has signed a memorandum of understanding to acquire a 50 percent controlling interest in the LuoZhou Mine in HeZhang County, Guizhou Province in China. It will pay a deposit of approximately $349,000 for LuoZhou. The remaining balance will be paid in installments under other considerations, including payment-in-kind of non-strategically held interests or perhaps even stock. Terms for the remaining balance have yet to be finalized.

    This acquisition will mark its third transaction with Union Energy, a local partner. Previous deals include the purchase of the Weishe Mine, currently in production, and the memorandum of understanding to acquire a controlling interest in the LaShu Mine. Both are also located in the county. LuoZhou is currently in trial production and will reach its approved rate of 150,000 per year by the fall of 2012 with targeted expansion to 450,000 tons. The mine's coal reserves are believed to be 27 million tons. Taken together, these three mines are expected to produce more than one million tons of low-sulfur, high BTU anthracite coal each year.

    Bottom line here is that L&L Energy is successfully implementing its consolidation strategy in HeZhang County with Union Energy. This consolidation is upgrading the company's overall mining portfolio by increasing reserves and production, driving profit and growth.

    For more information about the company and its coal operations in China, please visit its website at www.llenergyinc.com

    Please see disclaimer on the MissionIR website http://www.missionir.com/disclaimer.html

    Stocks: LLEN
Back To MissionIR's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


More »
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.