Contango Oil & Gas

Contango has reorganized the strategic partnership for the Muchesu coal project: Pacific Goal Investments (PGI) replaces Huo Investments as the majority shareholder at project level and takes over the planned 51% stake as well as the role of lender for the revolving credit facility of USD 20 million. The new ownership of Monaf Investments is: 51% PGI, 24% Contango, 6.5% Lilyone Investments and 18.5% local minority shareholders; Huo retains 20.42% of Contango. The existing royalty agreement remains unchanged (USD 2/4/8 per tonne depending on coal type) with a minimum payment of USD 2 million annually; for H1 2025 USD 1 million was paid and a further USD 1 million is planned. The Muchesu project, with alleged coal resources of more than 2 billion tonnes, has recently advanced expansion of the mining area, installation of a dense-media separation plant, infrastructure works and construction of coke batteries, financed through the credit facility. » Altro su de.investing.com