of creditors Caledon Coal Pty Ltd CC Pty Ltd Bowen Basin Pastoral - - PowerPoint PPT Presentation

First meeting

• f creditors

Caledon Coal Pty Ltd CC Pty Ltd Bowen Basin Pastoral Company Pty Ltd Blackwater Coal Pty Ltd Guangdong Rising (Australia) Pty Ltd (All Administrators Appointed) Wednesday, 24 May 2017

Chairman: Grant Sparks, Administrator

Caledon Coal Group of Companies (All Administrators Appointed)

• Purpose of this meeting
• Meeting formalities
• Appointment of Administrators
• Update on the Administrations
• Questions
• Committees of Creditors, if requested
• Appointment of alternative Administrator(s), if requested

Meeting agenda

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Caledon Coal Group of Companies (All Administrators Appointed)

• Update creditors and answer questions in relation to the

Administrations

• Determine whether to appoint Committees of Creditors and

resolve to appoint the members

• If alternative Administrators have been proposed, creditors

may also consider and resolve to remove the Administrators from office and appoint alternative Administrators

Purpose of the meeting

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Caledon Coal Group of Companies (All Administrators Appointed)

• Administrator to chair the meeting
• Declaration of meeting convenience
• Quorum, creditors and details of proxies received
• Tabling of documents
• Declaration of independence, relevant relationships and

indemnities

• Process for resolutions and voting
• Minutes

Meeting formalities

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Caledon Coal Group of Companies (All Administrators Appointed)

• Grant Sparks, Martin Ford and Stephen Longley of PPB Advisory were

appointed as Joint and Several Administrators on Friday, 12 May 2017.

• Circumstances of appointment

 the directors believed the Companies would no longer be able to meet all financial commitments as and when they fell due

• The Administrators’ preliminary view of the causes of the appointment are:

 the water inundation of the mine in March 2017  the contingent liabilities arising from agreements with Wiggins Island Coal Export Terminal (WICET)  difficulty raising capital with the Companies’ existing capital structure and cost base

Appointment of Administrators

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Caledon Coal Group of Companies (All Administrators Appointed)

Corporate structure

Guangdong Rising Assets Management Co Ltd

(Registered: China)

100%

Guangdong Rising HK Energy Investment (Holding) Ltd

(Registered: Hong Kong)

100%

Guangdong Rising (Australia) Holding Pty Ltd

(Registered: Australia)

100%

Guangdong Rising (Australia) Pty Ltd (Administrators Appointed)

(Registered: Australia)

100%

GRAM Caledon Resources Ltd

(Registered: UK)

100%

Caledon Overseas Holdings Ltd

(Registered: UK)

100%

Caledon MC Jersey Ltd

(Registered: Jersey)

Caledon Coal Pty Ltd (Administrators Appointed)

(Registered: UK)

Hazelhurst Holdings Ltd

(Registered: BVI)

CC Pty Ltd (Administrators Appointed)

(Registered: Australia)

Blackwater Coal Pty Ltd (Administrators Appointed)

(Registered: Australia)

Bowen Basin Pastoral Company Pty Ltd (Administrators Appointed)

(Registered: Australia)

Caledon Coal Group of Companies (All Administrators Appointed)

Administrators’ current activities:

• Supervising and controlling placing the mine into care and maintenance
• Working with a variety of stakeholders including:

 management and employees  suppliers  offtake parties  major shareholders

• Obtaining Court Orders to extend timeframes under Section 443B
• Developing the strategy to realise the best return for the companies’ creditors
• Commencing stage 1 of an expression of interest campaign, closing 24 May

2017

• Investigations
• Statutory compliance

Current status

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Caledon Coal Group of Companies (All Administrators Appointed)

• Administrators’ role includes investigation of circumstances surrounding:

 potential insolvent trading  potential preference recovery actions  other potential actions regarding uncommercial or related party transactions  directors’ duties

Future investigations

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Caledon Coal Group of Companies (All Administrators Appointed)

• Work with key stakeholders throughout the Administration process
• Provide material updates on the progress of the Administration through

direct communications and the PPB Advisory website (www.ppbadvisory.com.au)

• Liaise with the Committee of Creditors (if one is elected)
• Continue investigations on the Group’s affairs and provide the Section

439A report ahead of the Second Meeting of Creditors

• Second Meeting of Creditors is currently due to be held by 16 June 2017.

With a potential to extend the convening period and the timing of the second meeting with Court approval. We will be communicating with key stakeholders to determine whether an extension of the convening period will be necessary and, if so, for how long

• Three possible outcomes:

 Return Companies to Directors  DOCA  Liquidation

Next steps

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Caledon Coal Group of Companies (All Administrators Appointed)

• Please specify your name, position and the company you represent

Questions?

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Caledon Coal Group of Companies (All Administrators Appointed)

• The purpose of appointing a Committee of Creditors is primarily to

allow the Committee to consult with the Administrators regarding proposed DOCA’s or other key matters.

• If creditors wish to appoint a committee, nominations are requested

 Please specify your name, position and the company you represent

• Resolution 1: “A committee of creditors be formed consisting of

_________, __________, _________ as its members”

RESOLUTIONS - Committee of Creditors

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Caledon Coal Group of Companies (All Administrators Appointed)

• We have not received consents to act from any alternative

Administrators

• In the absence of any such consents, Martin Ford, Grants Sparks and

Stephen Longley remain as Joint and Several Administrators

RESOLUTIONS - Alternative administrators

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Thank you