By Singapore Newsroom
SINGAPORE (Jun 29) -- Coal miner Resources Prima Group on Thursday requested its shares be suspended from trading because it was "currently unable to demonstrate it is able to continue as a going concern or reasonably assess its financial position and inform the market accordingly."
Its main operating unit Rinjani Kartanegara in Indonesia "has no certainty of its sources and sufficiency of revenue," Resources Prima said in an exchange filing Wednesday.
Rinjani has forecast a loss for the three months ending Jun. 30 "as a result of continued above average rainfall and related dewatering issues causing a further reduction in coal production, coal sales quantities, coal sales revenue and cashflows," the filing said.
Rinjani can't pay a contractor it owes $15.1 million and has stopped all coal mining as of Jun. 23, the filing said.
"The outcome of the company's actions to address these matters is not yet known and, as at the date of this announcement, there is no guarantee that a favorable outcome will be achieved in respect of any of the aforementioned matters," Resources Prima said.
In May Resources Prima reported a fiscal first-quarter net profit of $1.1 million compared with a net profit of $700,000 in the year-ago period thanks to an improvement in the average selling price of coal.
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