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/

"

possible breakout time, DYOR. (this has happened before). 130 earlier today.

All alone on this one I think, but just in case anyones lurking, someone just paid 145 for 5000, onwards and upwards, DYOR.

Pushed through the 150 now, lots of positive news coming out on the energy crisis in bangladesh, 160 now. DYOR.

More news out over the weekend pushing this towards 200p, 190 now. If the Bangladesh Government give the go ahead for the Phulbari mine this will go a lot further. DYOR

AYE been in this for a long time >>>>> Good to see some positive vibes again, one to watch

Blasted through the 2 level, I expected a couple of tests at that level. Under 80p at the beginning of the year, 200% gain now at 240p this morning. Plenty more to come if the Phulbari mine gets the go ahead, if it doesn't the coal is still in the ground for another day. DYOR

bangla is about as corrupt as pakistan, so it depends whose palms they have to grease and how heavily

Good Morning my friend, it has been very lonely on here, first trades over 300p are now going through, as I have said in the past I believe we are here to make some money when the opportunity arises, just buy a few anyway, I wouldn't want you to miss this ride. Good luck.

The Times

Private investors were again piling into GCM Resources, which is still waiting for a licence to mine coal in Bangladesh. The word this time round was that next week a major Indian power company will meet the Bangladeshi Government to discuss plans to build a power station there. Should the project be given the green light, GCMs licence is also expected to be approved. An Indian predator, it was said, is then odds-on to snap up GCM, a long-standing subject of bid speculation, for a hefty premium to the current share price, 17p higher at 240p.

This one will be interesting in the morning, could go either way, a long way, either way. Good luck to those who hold.

down is the answer, but that is selling on figures news
as far as i could see, those figures were neutral and singularly unexciting .... i guess you guys are all waiting on licence news and (you wish!) reports of a bid approach

cynic-yes, nice to have a stock in my portfolio go up that much in a week, I have held since the beginning of 2009 with very little action till the start of 2010, it is high risk but very satisfying waking up each morning with another 25% gain. This usually happens to others, not me. ( Not arranging the celebration party yet though, ref TMC, 2007 !! )

take it you are not celebrating this morning then!

last Tuesday whan market opened after Easter it was 158p now its around 230p, not to upset about that, but I take your point.
Off thread, have a look at DNLM (retail), no thread on here but would be interested in your view, purchased a few on Friday at 389p.

DNLM
not a stock i have ever followed, but i know Quantum Investor rates them highly.
looks to be strong resistance at 420

thankyou, I will try and start a thread for it.
apologies to any GCM followers for that, GCM seems to be holding at 235 now, waiting for comments from the Bangladesh Government this week on the Coal Policy, GLA.

Good spell of buying over the last 15 minutes seems to be pushing this up again 254p to buy now, if anyone still wants a life changing opportunity with a high risk attached. DYOR.

it'll change your life if you find you need to jump off the nearest bridge too!

A balanced view shared with less experienced investors, I would hope they would consider your thoughts before gambling their home on a this stock. Have you bought any yet ?

264p now. It will be interesting to see what the USA has made of the lack of news over the weekend, when they join in shortly. All those NY taxi drivers thinking about the drop from the Brooklyn Bridge or a nice move to Miami.