Borneo Resource Investments says it is close to completing an agreement which will see a Chinese-based group invest a total of US$3 million in the company through the purchase of common shares. This is expected to occur before the end of the second quarter.

The investment is being made in conjunction with the company’s recently announced proposal to seek a secondary listing on the GEM Board of the Hong Kong Stock Exchange.

The proposed investment was subject to completion of an onsite due diligence of the company’s gold mining operations in Indonesia, which was scheduled for the first week of April. The first tranche of the investment was anticipated to close by April 10.

In announcing this transaction, Borneo’s chairman and CEO Nils Ollquist commented: “This proposed investment comes at a time when Chinese companies are stepping up their investment activities in precious metal producers, particularly gold producers, in Asia.

“As a result of the intensive development of our ore processing capabilities at our Ratatotok properties over the past few months, we have attracted interest because our capacity has increased significantly. Additionally, the potential investor is pursuing this investment to initiate a proposed secondary listing of our shares in Hong Kong.

“Proceeds of the investment will enable us to provide funds to acquire and develop additional properties in the area, expand our capital investment program and repay existing short-term convertible notes.”

Borneo Resource Investments is a mining company that mines gold and develops gold mines as well as coal mining properties in the Republic of Indonesia.

Borneo's current assets include three gold properties.

Resource Center Whitepapers, Videos, Case Studies

Conferences & Events

No events