29 April 2024
Bens Creek Group
plc
("Bens Creek", the "Company" or
the "Group")
Notice received from ACAM LP
in relation to ACAM Loan Notes
and
update on the Group's Chapter
11 Process
Bens Creek Group plc (AIM:BEN), the
owner of a metallurgical coal mine in North America supplying the
steel industry, announces that on 26 April 2024 it
received notice (the "Notice") from ACAM GP Limited, in its
capacity as general partner of of ACAM LP ("ACAM"), setting out certain events of
default under the terms of the c.$7.57 million unsecured loan notes
(the "ACAM Loan Notes") the
Company issued to ACAM, details of which are set out in the
Company's announcement on 11 July 2023. The ACAM Loan Notes are
repayable by the Company on 10 January
2025.
The Notice identifies the events of default
under the terms of the ACAM Loan Notes as: (i) the non-payment of
royalties due under the terms of the ACAM Loan Notes, with
$122,531.12 being unpaid as at 1 April 2024; and (ii) the
commencement of the chapter 11 bankruptcy cases in West Virginia
(the "Chapter 11 Process")
in relation to the Company's US operating subsidiaries. At this
time, ACAM is not seeking redemption of the ACAM Loan Notes but it
has requested further information from the Company.
Further to the Company's announcement released
on 15 April 2024, the Company confirms that a preliminary court
hearing will be held in West Virginia later today to consider,
inter alia, the term sheet
for a $14.5 million debtor-in-possession financing facility from
Avani Resources Pte Ltd.
At the current time, Bens Creek Group plc has
sufficient cash to meet its immediate day-to-day working capital
obligations. However, in the absence of any additional funds that
it is due from Ben's Creek Carbon LLC, or any further funds being
received or change to its financial position, the Group has an
expected cash runway through to mid-May 2024.
Further announcements will be made by the
Company as appropriate.
For
further information please contact:
Bens
Creek Group plc +44
(0) 204 558 2300
Adam Wilson, CEO
Peter Shea, Chief of Staff
Allenby Capital Limited (Nominated Adviser and Joint
Broker) +44
(0) 203 328 5656
Nick Athanas / Nick Naylor / George Payne (Corporate Finance)
Kelly Gardiner / Guy McDougall (Sales and Corporate
Broking)
WH
Ireland Limited (Joint Broker)
Harry Ansell / Katy Mitchell
+44
(0) 207 220 1666
