White Energy Company Limited (ASX: WEC) today released the information on Singapore International Commercial Court ruling that has been in favor of white energy on remittance issue.
The matter relates to the proceeding brought by White Energy’s subsidiaries, Binderless Coal Briquetting Company Pty Limited (“BCBC”) and BCBC Singapore Pte Ltd (“BCBCS”) against PT Bayan Resources Tbk (“BR”) and Bayan International Pte Ltd concerning with the KSC joint venture.
The issue revolved around the question raised by Bayan Resources that ‘whether BCBCS could fund KSC by itself.’
Energy company WEC announced that in the judgment released yesterday, SICC ruled in favor of BCBC and BCBCS and held that BCBCS had the financial ability to fund KSC until the completion of commissioning and testing at the Tabang Plant or until June 2012. This judgment came after the Singapore Court of Appeal had dismissed the whole of BR’s appeal against the second tranche judgment of the SICC.
The Company further informed that a third tranche of the proceedings would be organized to deal with the outstanding issues relating to the causation and quantum of damages. For this purpose, a Case Management Conference is scheduled to be held after 25 January 2019, providing directions on the conduct of the third tranche.
White Energy's net loss before tax for the 12-months ended 30 June 2018 was $18.3 million, compared to previous corresponding year’s loss of $44.2 million. The Group’s adjusted normalized EBITDA loss for the year ended 30 June 2018 was $6.9 million, up from 2017’s $4.5million. The deterioration in normalized EBITDA from the comparative period in 2017 is reportedly driven by the reduction in Mountainside coal company (MCC) and other revenues, offset by cost reduction initiatives. As a result of the significant decline in USA's coal sales revenue from mining operations, the EBITDA loss of the company reached to $6.4 million, more than the loss in 2017 of $2.0 million.
White Energy is the exclusive global licensee of patented technology for a Binderless Coal Briquetting (BCB) which can upgrade low-rank coals, low cost, and coal fines into higher energy yielding and more valuable briquettes.
In today’s trading session, there has been no daily price movement in the stock of White Energy Company Limited. However, 288,420 shares changed hands on 10 January 2019. The stock last traded at $0.070.
Over the past 12-months, there has been a 52.05% improvement in the stock price of the company. But WEC has witnessed a negative performance change of 4.71% over the past three months.