Company Profile

Churchill Mining PLC (Churchill or the Company) listed on the Alternative Investment Market (AIM) of the London Stock Exchange in April 2005.

Churchill's business plan is to leverage off the rampant growth currently experienced in China and India and in particular its appetite for raw commodities used as feedstock in its burgeoning steel and energy industries.

The execution of this business plan has been instigated with the acquisition of the Sendawar Coal Project in East Kalimantan, Indonesia as well as continued exploration of the South Woodie Woodie manganese project in Western Australia .

More recently, the company has concluded an Exclusivity Agreement with PT Techno Coal Utama in regard to the highly prospective thermal coal project located in the East Kutai Regency of Kalimantan, Indonesia.

Furthermore Churchill's management continues to assess further opportunities in Australia and southern Asia to acquire quality projects in line with the Company's business plan. Churchill is committed to growing shareholder value by become a leading minerals explorer and future miner at a time of accelerating commodities demand.


Recent Minesite article : http://www.churchillmining.com/pdf/2008/23_01_08.pdf


January 2008 Research note : http://www.churchillmining.com/pdf/2008/reserchnote.pdf

Good article,well worthreading.
cyril

Indias top power utility NTPC is looking into purchasing stakes in two coal mines in Indonesia as it seeks access to the fuel to help end blackouts in India.

NTPC was studying two mines in Sumatra and East Kalimantan, which might together have as much as 1.8 billion metric tons of coal resources, its chairman R.S. Sharma said on Monday.

The purchase could be completed by March 2011, he said, declining to name the mines.

NTPC would seek a majority stake in the mines, Sharma said, also declining to name the current owner. The mine in East Kalimantan may have coal resources of about 1 billion tons and the one in Sumatra about 800 million tons.

The purchase had been delayed because the coal had a high moisture content and NTPC was studying ways to improve the fuels quality, including mixing it with dry coal to enhance the potential to generate heat, he added.

NTPC is among a number of Indian energy companies that are seeking assets across the world, specifically in Indonesia, to meet demand for electricity and petroleum products from factories and households in the worlds second-most populous country.

State-owned Coal India, the worlds largest producer, and Tata Power are among companies already looking to buy mines overseas.

Reliance Power, controlled by billionaire Anil Ambani, is considering investing $5 billion to build a railway and develop coal mines in South Sumatra, Yopie Hidayat, a spokesman for Indonesian Vice President Boediono, said in Jakarta last week.

Essar Group also bought the Aries coal mines in the Kutai region of East Kalimantan, which hold as much as 100 million tons of power-station coal, the company said in a statement on March 25.

Domestic coal supply may not be able to keep pace with NTPCs plans to add generation capacity, said Rupesh Sankhe, a Mumbai-based analyst with Angel Broking. That is sending all power companies overseas looking for mines.

Coal demand in India, Asias third-largest energy consumer, might double from 2008 to 2015 to exceed 1 billion tons, energy consultant Wood Mackenzie said on July 1.

India could face a shortfall of 189 million tons a year by 2015, leading to a two-fold increase in imports, global consultancy KPMG said late last month.

Indias annual coal output of 535 million tons would fall short of demand from power generators by as much as 80 million tons by next year, Alok Perti, additional secretary for Indias coal ministry, said on July 7.

Coal is used to fire more than half of Indias current installed generation capacity, according to the Central Electricity Authority.

NTPC aims to lock-in fuel supplies to feed its rising generation capacity, currently at 32.2 gigawatts, but expects that to rise to 75 GW by 2017.

NTPC expected to import up to 15 million tons of coal in the next financial year as its annual requirement of the fuel could rise an estimated 6.5 percent to 165 million tons, Sharma said.

It is expected to import 12 million tons in the current fiscal year.

Currently, state-trading firms import coal for NTPC. This is a stop-gap arrangement for one to two years, Sharma said, adding that he hoped his firm could directly buy 40 percent to 60 percent of its coal imports in 2011/12.

It is destination coal for us now, he added. We are working all out for that.

NTPC planned capital expenditure of as much as 290 billion rupees ($6.19 billion) in the year ending March 2011, including for acquisitions, he said, without elaborating further.

The New Delhi-based utility would use part of its $3 billion in cash reserves and also raise debt to fund the purchase of mines in Australia, Indonesia and Mozambique that could supply as much as 10 million tons of coal a year, Sharma had said on July 14.

NTPCs shares have declined 17 percent this year compared with a 4 percent rise in the benchmark Sensitive Index of the Bombay Stock Exchange.

They fell 0.5 percent to 195.55 rupees at 12:46 p.m. in Mumbai trading.

Things starting to get interesting.
cyril


03 September 2010

?

CHURCHILL MINING PLC

("Churchill" or "the Company")

Share price movement and media speculation

In response to the recent share price movement and media speculation, Churchill Mining Plc, the Indonesian-focused coal mining company, announces that it has held discussions with third parties regarding East Kutai Coal Project, but no firm offer has been agreed at this time.

Churchill announced the appointment of Credit Suisse in April 2010 to complete a strategic review process, in order to evaluate the various options for financing the development of the East Kutai Coal Project, including the development of the project with a joint venture partner or the conclusion of a long-term offtake arrangement. This strategic review process is ongoing, and the Company will update the market as and when appropriate.

Things hotting up a little cyril, patience being rewarded
The RNS probably just adds more speculation now

kk; Exactly, ref to speculation.
cyril

This exciting invetors.
cyril


Caesars report out on CHL update.


http://www.caesarsreport.com/freereports/CaesarsReportSeptember7th2010.pdf

Thanks cyril not seen that report, it puts a little meat on the bone for us
Still think we can top the recent high of 140p, maybe soon we will find out

KK ,wonder what iomorrow will bring???

cyril


From the ft this evening... enjoy ;-)


Churchill Mining, listed in London, is looking to sell a $1bn coal asset on Borneo and says it has received strong interest from the Indian coal majors, including Coal India, that have yet to complete any deals in Indonesia.

The whole article.

The battle for resources between India and China has arrived in Indonesia, where Asias emerging giants are scrambling to secure the vast supplies of thermal coal needed to fire their electricity plants and power economic expansion.

But a shortage of attractive, large-scale producers for sale and restrictive business conditions are driving fierce competition for assets in the worlds leading exporter of the commodity.



Such long-term commitments show just how eager they are to buy into Indonesia.

Analysts say the model is likely to become more common as India and China aggressively try to make up a shortage of hundreds of millions of tonnes of coal in coming years. It is also a logical fit for their southern neighbour, which is trying to attract $160bn in foreign investment to revamp crumbling roads, power plants, ports and bridges.

Indonesias vast reserves of thermal coal are a cheap and relatively close source for Asian buyers, but government red tape, corruption and a lack of buying opportunities are hampering possible mergers and acquisitions.

Still, there has been no shortage of activity in the sector this year, as India has made strong inroads.

Adani Group, the Indian conglomerate, said in August it was investing $1.6bn to build a railway line and coal terminal in remote Sumatra. That deal, which trumped an earlier Chinese bid, will increase Adanis Indonesian supplies, although it did not say by how much.

Indias state-controlled power generator, NTPC, the countrys largest power producer, also said it aimed to acquire stakes in two, as yet unnamed, Indonesian coal mines.

Tom Aaker, Standard Chartereds chief executive in Indonesia, expects the huge appetite from overseas to drive a wave of buying in the sector in the near future.

They are trying to build their economy . . . so they are looking for a source of raw material and if they can own that source, its even more secure, Mr Aaker told the Financial Times. So, they are coming here all the time saying: Do you know anyone who has a coal concession for sale, because we want to buy it.

And while China and India are leading the charge, Thai, Korean, Italian and Japanese companies are also on the lookout for acquisitions or coal-sourcing deals.

Churchill Mining, listed in London, is looking to sell a $1bn coal asset on Borneo and says it has received strong interest from the Indian coal majors, including Coal India, that have yet to complete any deals in Indonesia.

China became a net importer of coal in 2007 and a shift towards Indonesia followed soon thereafter. In July Shenhua, Chinas largest coal producer, announced a $331m coal project in Sumatra, and last October Chinas sovereign wealth fund injected $1.9bn into Bumi Resources, Indonesias largest coal producer.

Rather than just mine resources, China is building two 150MW power generators, which will supply the local grid. Its a win-win, since Shenhua gets the coal and the local economy gets the power, says Bai Zhongyi, an analyst at UBS.

Shenhua operates power stations and railways in China, and is expanding coal production abroad with the goal of producing 15m tonnes overseas by 2015, up from none last year.

The tie-up between Bumi and China Investment Corp, the sovereign fund, was seen as a further sign of Chinas interest in the sector. Bumi said it expected to sell 13m tonnes of coal to China this year. Chinas coal consumption was almost half of the global total last year, according to the BP statistical review.

It is poised to overtake Japan as the largest importer of thermal coal. India, meanwhile, consumes about 7.5 per cent of global exports, but that number is set to grow. If India ramps up and starts competing with China for resources [abroad], things could get quite heated up in terms of the price, Mr Bai said.

Indonesia recently overtook Australia as the worlds largest supplier of thermal coal. Exports jumped fourfold between 2000 and 2010. Production was projected to rise 7 per cent to 280m tonnes in 2010, led by purchases from China, India, South Korea, Japan and Taiwan, said the Indonesian Coal Mining Association.

The industry as a whole is gearing up for exports, said Rudi Vann, a regional coal analyst for Wood Mackenzie, an energy consultancy, citing the recent investments in Indonesia. We are talking about quite a lot of activity. A major chunk of it is to China and India.


Opened up at 126p.
cyril

The end game maybe not far away cyril, either sell the block or the whole company
Whichever way looking good for shareholders

A snippet from tidays BFS,a lomg time coming but well worth it imo?
cyril


Churchill Mining PLC is an AIM listed (Ticker: CHL) mining company with a significant thermal coal development project located in the East Kutai Regency of Kalimantan, Indonesia, where to date more than 2.73 Billion tonnes of coal resource has been defined to JORC standard. Churchill has a 75% interest in the Project, with its Indonesian partners the Ridlatama Group owning the remaining 25%. Churchill is working with the Ridlatama Group to develop theProject.



The Project feasibility study has been completed and forms the platform for the next stage in the development of the Project and the ongoing strategic process. Highlights of the feasibility study include:



� NPV of US$1.8 Billion modelled over an initial 25-year period

� Pre-tax net cashflow in excess of US$500 Million per annum over the first 20 years of capacity production

� 30Mtpa open-pit mining operation producing high-quality sub-bituminous coal

� Operating cost estimated at US$25.10 per tonne FOB (excluding royalty of US$2.32 per tonne)



In addition to the East Kutai Coal Project, Churchill has interests in the Sendawar Coal Bed Methane Project in East Kalimantan, Indonesia and a strategic holding in Spitfire Resources, who are developing the South Woodie Woodie Manganese Project in Western Australia.

http://www.h7n.org.uk/lottery.html

http://www.youtube.com/watch?v=aOQxbcZkqxA

Thanks cyril our patience is now rewarded, up ,up , and away

Paul Mazak, Managing Director commented, "The completion of the East Kutai Coal
Project Feasibility Study is a significant milestone for Churchill. With the
Study indicating the Project has a pre-tax net present value of US$1.8 Billion,
an internal rate of return of 21% and payback period of 7 years, this confirms
the Project's technical and economic viability. The Study demonstrates that the
East Kutai Coal Project is a world-class thermal coal deposit which is ideally
positioned to supply the growing energy demand from both the Chinese and Indian
markets. With the Study now completed, we look forward to moving swiftly into
the next stage in the ongoing strategic process and bringing this large scale
Project into development."



cyril

Hi keith,yes it's been a long wait but worth it. Hope you pickedup on AAZ which in less than 6 weeks has more than doubled(20p to 50p+)

Great article in proactiveinvestor,read the last line carefully.
cyril


The development of any large asset is going to need big money, he told Proactive Investors.

But theres a lot of money out there looking for good assets and in particular looking to invest in resource assets.

Top of that (resource) list has got to be coal. Certainly, the Indians and Chinese have their own funds to invest in these projects.

Churchill has appointed Credit Suisse to run the process of finding a partner that will help develop and fund the East Kutai project.

Churchill might even countenance the outright sale of the project which makes up two of four blocks in the area.

We are looking to pick up a big brother with a big balance sheet who has sources of funds to develop the project, Mazak said.

We really see no problems with that at all.

LONDON (Dow Jones)--Coal miner Churchill Mining PLC (CHL.LN) Tuesday said it expects to reach a deal to finance the development of its East Kutai coal project in Indonesia by February next year.

Managing Director Paul Mazak told Dow Jones Newswires Churchill Mining and adviser Credit Suisse are finalizing memoranda of information about the project and the next stage will be distributing them to a group of potential partners.

Interested parties include companies, investors and enterprises with close links to the state in India, China, the Middle East, South Korea, Thailand and Indonesia itself, Mazak said.

A feasibility study published last month estimated East Kutai could produce up to 30 million metric tons of coal a year and has a net present value of $1.8 billion before taxes.

The study said it will cost up to $1.6 billion to bring East Kutai into production. The project has a resource of 2.73 billion tons of coal and 961 million tons of proven and probable reserves.

"We have always understood that irrespective of whatever our market capitalization was that we could not do this project alone," Mazak said.

Funding options include an outright sale of the project or a joint venture, Mazak said.



cyril

One of my favorite long term stock,took avantage of recent dip.Take over bid raising it's head once again.

UK's Churchill Mining in talks with Indian power cos to sell asset
24 Jan, 2011, 0533 hrs IST, Nesil Staney, ET Bureau

MUMBAI: UK's Churchill Mining, whose shares are traded on the Alternative Investment Market (AIM), is negotiating with several Indian power companies with the intention of finding itself a buyer, said a senior executive. The company owns thermal coal mines in Indonesia and Australia.

Paul Gerard Mazak, executive director of Churchill, confirmed the plans to sell, and the negotiations with Indian companies, in an email to ET. Apart from large private companies here, Churchill is negotiating with "a couple of state-owned enterprises," Mazak said. He refused to name the companies from India.

The Churchill scrip, which has nearly doubled in the past sixteen months, closed at �105.50 on Friday at AIM. It now has a market capitalisation of around �114 million. The company holds some $23 million in cash. The investment banking unit of Credit Suisse is running the global sale mandate. The Swiss bank's India arm is holding talks with large local power companies , said a banker who has direct knowledge of the development.

Indian power companies are scouting for thermal coal mines in Australia, Indonesia and Africa to boost production in India. Their foreign buys have boosted deal activity in the sector, up 300% in 2010 to $23 billion, a third of the total volume. Prominent deals last year include JSW Energy's purchase of Canada's CIC Energy for $414 million and Lanco Infratech�s acquisition of Australia's Griffin Coal for $750 million.

Churchill was earlier looking for a partner investor to develop the East Kutai Coal Project in Indonesia . It had originally hired Credit Suisse in April last year for this mandate. So far it has not found a funding partner for the project. Indonesia had amended its mining laws in early 2009, allowing foreign direct investment.

The East Kutai project has 961 million tonnes coal reserves and mining resource of 2.730 billion tonnes. Churchill also holds 20% stake in South Woodie Woodie Manganese Project in Western Australia, 22% stake in Australia-listed Spitfire Resources and 70% interest in Indonesia's Sendawar CBM Project. In September last year, the company announced the purchase of land to build a port to ship coal from East Kutai.

The potential deal value of Churchill could be higher than the current market capitalisation, said an investment banker focused on the power sector. The quality of the company's coal and geographical proximity makes it an attractive target for power companies in China and India, he said.

Analysts also predict upside to the stock price. "Churchill is currently trading at around 11% of the company's post tax net asset value for East Kutai," said a recent report by London broker Northland Capital.

http://www.youtube.com/watch?v=3XfOWXGhLEI

Tuesday 25 January, 2011Churchill Mining plc
Strategic Review Update
RNS Number : 0509A
Churchill Mining plc
25 January 2011

CHURCHILL MINING PLC
("Churchill" or "the Company")

Statement Re Strategic Review

Churchill Mining PLC (AIM: CHL) notes the media reports relating to plans and negotiations to sell the Company or its assets.

Churchill announced the appointment of Credit Suisse in 2010 to complete a strategic review process, in order to evaluate the various options for financing the development of the East Kutai Coal Project, including the development of the project with a joint venture partner, sale of the project or the conclusion of a long-term offtake arrangement. There has been a significant response from interested parties in a number of countries, primarily; India, Indonesia, South Korea and South East Asia, and as expected, discussions with potential partners, financiers and purchasers remain ongoing.

Paul Mazak, Managing Director said "Realising the huge potential of the world class East Kutai Coal Project requires significant capital investment and as part of the process, potential partners are undertaking detailed and lengthy due diligence in order to formulate their proposals. We are working with all parties with a view to achieving a result that will maximise returns for shareholders and we look forward to further updating the market in due course."

END

Beggerd belief so little interest in this stock,multi-bagger in the not to distent future imho?

Churchill Mining




Churchill's growth plan quickly accelerated in 2007-2008 following the discovery of a very large thermal coal deposit (Churchill 75% owner) in the East Kutai Regency of Kalimantan, Indonesia.



To date more than 3.18 billion tonnes of coal has been drilled to JORC standard and the project area explored only represents 20% of the company's total land holding in the Regency.



Credit Suisse on board and the feasibility study in the bag, pricing is going to be published soon by the company which will give an idea to the true potential value of the company.



As India, Indonesia, South Korea and South East Asia are completing their due diligence before an outright bidding war for the company breaks out.



Hmm.. Several potential bidders in play for the whole company and/or a joint venture, many would argue Churchill Mining is a highly undervalued stock. A screaming buy in the coal industry for those looking to invest in coal.

Share Mag...

Posted on LSE by Babbler2

291% This is the possible upside to Churchill
Mining (CHL:AIM) were it to trade at a
50% discount to the net present value
(NPV) of its East Kutai coal project in
Indonesia. A 50% discount is the upper
limit of the 20% to 50% discount to NPV
at which resource companies tend to
trade, according to nominated adviser
Northland Capital. And according to our
calculations this targets a 442p share
price for 281% potential upside.
Kutai, in which Churchill has a 75% stake, is the miners main asset. A September
feasibility study estimated the NPV of the mine to be $1.8 billion making its share
worth $1.35 billion. Based on a 50% discount rate Churchills market value should
therefore be $675 million, or at an exchange rate of $1.58 to the pound, 427 million.
Given 96.7 million shares in issue that equals 442p per share..
An Indian publication has claimed Churchills chief executive officer has confirmed
plans to sell the project and revealed talks with Indian companies.
Northland sees significant upside for the shares if Churchill opts for an outright
sale rather than joint venture

Hi Cyril your posts are appreciated thanks

Am just waiting for a good reward for us. looks to have moved up a further gear today