Global Coal Management Plc (formerly Asia Energy PLC)



Overview

GCM Resources plc (GCM) is a London-based resource exploration and development company. Its principal asset is its undeveloped coal deposit in the Phulbari region of Bangladesh, the development of which is awaiting approval from the Government of Bangladesh. It also has investments in other companies with mining interests. The company's shares are quoted on the Alternative Investment Market (AIM). (Ticker code: GCM).

The Phulbari Coal Project is a substantial, world class coal resource that will support a long life, low cost mining operation. It is the only such deposit in Bangladesh that has been subjected to a full Feasibility Study and Environmental and Social Impact Assessment prepared to international standards. In partnership with the Bangladesh Government, civil society and the community, GCM is committed to developing the Phulbari Coal Project to the highest social and environmental standards. By doing this, GCM seeks to maximise the benefits of the Project for both the Company’s shareholders and the people of Bangladesh.

The Company (GCM) under its former name, Asia Energy PLC, was incorporated in England and Wales as a public limited company on 26 September 2003. Asia Energy PLC was admitted to the Alternative Investment Market (AIM) of the London Stock Exchange on 19 April 2004. Through seed capital raising and the subsequent placement of shares, some £14 million was raised.

In November 2005, following submission to the Government of Bangladesh of the Phulbari Coal Project's Feasibility Study and Scheme of Development, the Company placed an additional 7 million shares and raised a further £33 million.

GCM actively reviews investment opportunities in order to broaden its global investment portfolio.

Coal Project facts

■ Energy security and diversity – The Project has a unique role to play in addressing the country’s electricity shortfall as its development will provide the basis for a step change in the country’s electricity generating capacity.
■Regional development – The Project will provide 17,000 jobs (direct and indirect). In addition the development of new industries using the industrial mineral co-products from the mine will create thousands of more jobs. The living conditions of all affected people will be improved and their livelihoods will be restored and in many cases improved. As a result of year round irrigation, improved water quality, improved inputs and improved farming practices it will be possible to produce three crops per year with higher yields than at present.
■Huge economic impact – Phulbari will contribute 1% to Bangladesh’s GDP each year and pay US$7.0 billion in taxes, royalties and service charges to the Government over the life of the Project. The replacement of high sulphur imported coals and other hydrocarbons will have a positive effect on balance of payments and air quality.

In partnership with the Bangladesh Government, civil society and the community, GCM is committed to developing the Phulbari Coal Project to the highest national and international social and environmental standards. By doing this, GCM seeks to maximise the benefits of the Project for both the company’s shareholders and the people of Bangladesh.

Background

Bangladesh is one of the most densely populated countries in the world with some 162 million people living in an area two thirds the size of the United Kingdom or about the size of New York State. Less than one third of its population live in cities while the majority live in rural areas relying on a predominantly subsistence lifestyle. GDP per capita is around US$1,700 (ppp) per annum compared with a world average of US$10,500. Less than half the population have access to electricity. Bangladesh is a country of enormous potential. It has the eighth largest work force in the world and is included in the “Next Eleven” countries that, after the BRICs (Brazil, Russia, India, and China), were identified by Goldman Sachs as having the potential to become the world’s largest economies in the 21st century. It has enjoyed more than 6% economic growth in real terms over the last five years as well as substantial improvements in measures of human development. For example, between 1980 and 2006 life expectancy has improved from 48 years to 63 years and literacy rates have improved from 29% to 53%.

Bangladesh is one of the most climate vulnerable countries in the world with a significant proportion of the population living in remote or ecologically fragile areas such as river islands or cyclone prone coastal areas. Two thirds of the country is less than five metres above sea level making it vulnerable to the predicted effects of climate change.

Although Bangladesh is vulnerable to the effects of climate change, it is not itself a significant emitter of carbon dioxide. Per capita carbon dioxide emissions (0.3t/capita) are substantially below other countries in the region (Pakistan 0.9t/capita, India 1.4t/capita, China 4.9t/capita) which themselves are substantially less than emissions from developed countries (UK 8.9t/capita, USA 18.9t/capita). Even with the addition of the 4,000MW of electricity capacity which Phulbari coal could support, Bangladesh would still be one of the lowest emitters of carbon dioxide in the world, substantially less per capita than its neighbouring countries.


http://www.gcmplc.com/

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http://www.energybangla.com/article_det.asp?aId=600

Afternoon Smiler, looks like same story as yesterday with this one.

Just had a laugh, tried to post on ADVFN boards and my post was 'modified' to exclude the name of the board. Wonder if that happens here as well?

:-)

Edit - Looks like we live in a more open and tolerant society here.

Darradev,I see your GBP WAS UP 4% at closing ! a lot of profit taking on fogl today ! I am still holding, AS for GCM time will tell ! still hopefull :) edit, I do post on the Dark side as you can see, but I know what you mean !!!

Bangladesh Energy: Poor Policy, Wrong Strategy

published 23/7/2007

Khondkar Abdus Saleque

Bangladesh, now one of the poorest countries of the world is really not poor in respect of natural endowment of resources. It has very fertile land which grows almost everything with minimum of efforts. It has great hard working and painstaking farmers, happy go merry general masses that believe in plain living and are more than happy if they get two square meals. Bangladesh has great garment girls who with bare minimum wages helping to earn huge foreign exchange in Ready made Garments industries. It has very hard working labor force which is earning huge wages in foreign land and remitting these to Bangladesh. Yet the country remains poor because of rotten and corrupt politics, poor governance and inappropriate policy and vision for exploiting substantial primary energy. Bangladesh has high quality Natural Gas and Coal. But for years we have failed to settle on a proper strategy to explore and exploit both. Consequently the country is in the midst of a very serious energy crisis.


http://www.energybangla.com/article_det.asp?aId=597

Global Coal Management PLC
25 July 2007

Global Coal Management Plc


Investment in CCEC Ltd


Following announcement RNS 7234W released on 16 May 2007, Global Coal Management
plc announces that after a successful due diligence program it has acquired
12,500 shares or 5.95% of the issued capital in CCEC Ltd at a cost of
USD4,166,625.



25 July 2007

Thanks Smiler, thought for a minute it was the 'biggy'. All positive stuff though.

No, THAT'S NEXT !!! :) ( i hope)

No, just sticking to OEX, have you seen the news ! :-)

NO, will have a look !

slow day in the office !!! up 2% on No trades ?

OK !! nobody buy (or sell) for 50 more days please and we'll be 100% up, :-)

Its a funny game this Darradev, just look at fogl and a few what have had good news in the past week ?

Aye. Up, down, up down, down, down.

Need to work out this 'shorting' lark, at least you (possibly) can make money on the down, down, bit. :-)

one of them days !!!! gcm has always been a risky punt but the rewards could be big !!, but even the oil Co have had a rough day ??

rumour has it that gcm will get the licenceing permits..and they'll be announcing the news this week

Fingers crossed !! if that rumour is true then should see some action in the SP This week !!

Good start !

Dhaka needs to open up economy
WB country director tells Ficci meet
Star Business Report

Improving investment climate is not enough for Bangladesh to survive in the changed era of post-MFA, rather it needs to open up its economy, World Bank Country Director Xian Zhu observed.
"Bangladesh is now the most protectionist economy in South Asia, so opening up of economy would benefit it" he told the Ficci (Foreign Investors' Chamber of Commerce and Industry) luncheon meeting yesterday.

The WB official said in today's highly competitive post-MFA world, there is no option but to strengthen export competitiveness through phase-wise and transparent liberalisation of trade regime.

Prolonged high protection breeds inefficiency, inhibits competition, and stifles productivity growth, Zhu said, making a remark that such protection brings no good for export competitiveness or for economic growth over a long term.

Held at a city hotel, the Ficci meet was chaired by Rafi Omar, the chamber's acting president, and attended, among others, by Hua Du, country director of Asian Development Bank (ADB), and representatives of the foreign investors in Bangladesh.

Referring to a recent World Bank report, Zhu said to join the ranks of middle-income countries by 2016 or soon thereafter, Bangladesh requires raising GDP growth to an ambitious 7.5 percent or more.

And to achieve such a growth, the country should increase its investment rate by more than five percentage points to 30percent of GDP, against the current 25percent and also employ its resources (labour and capital) more productively, and the bulk has to come from private sector, including FDI (Foreign Direct Investment), he suggested.

The WB official also pointed to the need for improving Bangladesh's attractiveness to FDI.

Zhu said FDI has recently picked up in extractive industries like coal and gas, telecommunications and energy production raising FDI's share in GDP to about 1 percent, but not yet in manufacturing, where the potential for productivity gains is significant.

Citing another survey result of the World Bank he said that firms with any level of foreign ownership are 10 percent more productive on an average than firms that are wholly domestically owned.

Some have argued that Bangladesh should first respond to the demand of its own domestic market before thinking about opening up and relying on exports. The benefits of having a large domestic market are clear, but that should not detract from the tremendous opportunities that access to global market offers, he said.

To win the fight against poverty and reduce the number of poor people, Bangladesh must grow stronger and faster, Zhu said.

"The world is moving quickly; so are countries in the region and Bangladesh needs to move faster just to stay in the same place and to catch up. Concrete, coherent and immediate actions to improve the investment climate are urgently needed," he went on.

Up over 6% today, may be news soon ??

Tata to wait for coal policy to invest in BD


Tuesday July 31 2007 10:24:52 PM BDT


Kayes M Sohel

Indias Tata group will wait until finalisation of the governments coal policy about its 3-billion-dollar investment plan in Bangladesh. ( The BD today )

"The Board of Investment (BoI) has told us that the coal policy will be finalised by the end of this month and we are waiting for the coal policy," Manzer Hossain, country representative of Tata, told The Bangladesh Today on Wednesday.

Asked whether Tata will shelve its investment proposal or not against the backdrop of delay in the finaliztion of the coal policy, he said, "we will take decision after discussion with the BoI.

About Tatas investment prospect in Vietnam, Manzer said, "We are carrying out a feasibility study for investments in the southeast Asian country."

Tata is keen to invest in Bangladesh as the country has immense potential. "We are keen to invest in Bangladesh as it is an investment friendly country and we are awaiting the governments nod," Manzer said.

Sources said the BoI could not take further steps relating to the Tata investment proposal for lack of necessary guidelines and clear instructions from higher authorities.

The Indian business conglomerates investment proposal has been pending with the BoI over the last three years.

The previous government had promised to make a decision on the Tata plan by June, 2006. However, it then put the investment proposal on hold, saying the new government would decide on the matter after the next parliamentary elections.

Through its investment proposal, Tata has sought to install a steel manufacturing plant, a fertiliser factory, an open pit coalmine , a coal-fired power plant at the mine mouth and a captive power plant for its industrial units.

It also offered a 10 per cent of equity of each of its projects to the Bangladesh government.

Tata signed the expression of interest (EoI) with its initial investment plan for $ 2.0 billion with the BoI in October 2004. It later revised its investment proposal to $3.0 billion in April 2006.