Asia Resource, Berau ink support deal; noteholder consent fee offered

By Caroline Salls

Pittsburgh, July 10 – Asia Resource Minerals plc entered into a restructuring support agreement with PT Beau Coal Energy Tbk, Berau Capital Resources Pte. Ltd., Asia Coal Energy Ventures Ltd. (ACE), holders of 28% in principal amount of 2015 notes and holders of 24% in principal amount of 2017 notes, according to a news release.

Asia Resource subsidiary Berau Capital is the issuer of the $450 million 12½% guaranteed senior secured notes due July 8, 2015. Berau Coal is the issuer of the $500 million 7¼% guaranteed senior secured notes due March 13, 2017.

Under the restructuring support agreement, Asia Resource, Berau Coal and Berau Capital agreed to progress the restructuring of the notes. Each consenting noteholder agreed to refrain from taking any enforcement action and to provide reasonable support and assistance to Berau and ACE to prevent the occurrence of an insolvency event.

Asia Resource said each noteholder that accedes to the restructuring support agreement as an additional consenting creditor before 11:59 p.m. ET on July 17 will be eligible to receive a consent fee equal to 0.2% of the total principal amount of the supporting notes held by that creditor at the calculation date and an additional consent fee equal to 0.1% of the total principal amount of the supporting notes held by that creditor at the calculation date.

Asia Resource Minerals, formerly Bumi plc, is a thermal coal company based in London. Singapore’s Berau Capital Resources is a subsidiary of Berau Coal Energy Tbk, which is based in Jakarta.

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