[miningmx.com] – AUSTRALIAN-listed coal producer, Continental Coal, is to undergo a solvency review as part of its efforts to recapitalise the company after lower output than expected as its Penumbra mine in Mpumalanga province threw the company’s future into doubt.
“This assignment will include a review of the overall funding and restructuring strategy as well as a balance sheet and working capital review,” the company said in an announcement to the Australian Stock Exchange. The review will be conducted by Deloitte in Perth, western Australia.
“Deloitte will be presenting their findings to the board of directors early next week and advise the board on appropriate steps to be taken given their assessment of the
financial position of the company,” Continental Coal said in its statement. The company’s shares are currently suspended.
