Paringa Resources, Ltd. - 2016


11:30 AM - 1:00 PM


The Racquet Club of Philadelphia, 215 S. 16th St., Philadelphia, PA 19102


Paringa Resources Ltd (ASX:PNL, OTCQX: PNGZF) is an emerging US based energy provider developing the high margin, low capex Buck Creek Mining Complex located in the growing Illinois Coal Basin. Recent highlights include: (i) Emergence of the Buck Creek No.2 Mine has transformed the economics of the Buck Creek Mine Complex and a new staged development strategy will ultimately allow Paringa to become a 5.6 Mtpa supplier of high quality coal into the growing Eastern US power market, with capex to initial production of only US$44 million; (ii) Execution of a cornerstone coal sales agreement with LG&E and KU, two of the largest fuel buyers within the Company’s initial target Ohio River Market, with future contracted coal sales totalling US$220 million over a 7year contract period; (iii) Completion of a Scoping Study which confirmed that the Buck Creek No.2 Mine will be a high margin 1.8 million tons per annum (“Mtpa”) mine with extremely low capex of only US$44 million due to favourable geology and shallow depth of coal seam from surface at the proposed No.2 Mine site; (iv) Completion of a Bankable Feasibility Study which confirmed that Buck Creek No.1 Mine will be a high margin 3.8 Mtpa mine and will generate average earnings before interest, taxes, depreciation, and amortization (“EBITDA”) of over US$87 million per annum, even at current depressed coal prices; (v) Completion of a share placement of 15 million shares to US institutional investors and Australian and New Zealand institutional and sophisticated investors to raise gross proceeds of A$5.1 million; AND (vi) Paringa’s ordinary shares commenced trading in the United States on the OTCQX® Best Market under the symbol “PNGZF”, enabling new and existing US investors to trade Paringa’s ordinary shares in US dollars.