This posted to me via another site -"By Gillian TanCoalworks is...

This posted to me via another site -
"By Gillian Tan

Coalworks is seeking to raise between 17 million Australian dollars (US$17.7 million) and A$17.4 million by issuing 22.36 million new shares, a person familiar with the matter told Deal Journal Australia.

Coalworks is aiming to place the shares at between A$0.76 and A$0.78 each through broker BBY, said the person, citing a flyer sent to institutional clients.

At the higher price, the issue represents a 10.3% discount to Coalworks’s share price before trading in the stock was halted early Tuesday.

Funds will be used for the development of Coalworks’s Vickery South project in the Gunnedah Basin and the Ferndale project in the Hunter Valley, both in Australia’s New South Wales state, another person familiar with the raising said.

Vickery South contains an estimated resource of 58.5 million metric tons of bituminous coal, while Ferndale contains a 743 million ton resource.

Ferndale is being developed jointly by Nathan Tinkler’s Boardwalk Resources and Coalworks’s 92.5%-owned unit Loyal Coal. Japan’s Itochu Corp. has a stake in the Vickery South project."