Taken from the recent update.27 Apr 2018 18:14
Importantly, the Company believes it has now found solutions to the recent logistical challenges with transporting mined coal, as detailed in the announcement on 31 January 2018, and now has several transport options available at competitive market prices and with no current requirement for capital expenditure by Edenville.
The Company is also pleased to report that it has now started receiving payments for the coal shipments made in late 2017, which is in line with the agreed payment terms.
With significant demand for the Company's coal and long-term order indications in excess of the amount of coal that the Company can supply in the short to medium-term, the focus is on entering into long-term contracts with those groups that can provide attractive payment terms, maximising the price per tonne and minimising credit terms. Whilst these longer-term contractual negotiations continue, with the goal of ensuring the best long-term economic outcome for the Company, Edenville will continue to supply and be paid commercial rates for significant bulk and trial orders. For the avoidance of doubt the coal subject to these current individual bulk and trial orders is being supplied at a similar price per tonne as is envisaged for longer-term contracts.