Prairie Mining: December 2020 – Half yr accounts
Interim monetary report for the closed semester
December 31, 2020
ABN 23 008 677 852
Mr. Ian Middlemas
Mr. Benjamin Stoikovich Ms. Carmel Daniele
Mr. Thomas Todd Mr. Mark PearceMr. Dylan Browne
MAIN OFFICES: London:
Unit 3C, 38 Jermyn Avenue London SW1Y 6DN United Kingdom
Cellphone: +44 207 487 3900
Chairman Director and CEO Non-executive Director Non-executive Director Non-executive DirectorFirm Secretary
Australia (head workplace):
Stage 9, 28 The Esplanade Perth WA 6000
Cellphone: +61 8 9322 6322 Fax: +61 8 9322 6558
PD Co sp. zoo (Warsaw):
Karbonia SA (Czerwionka – Leszczyny):
Ul. 3 Maja 44,
44-230 Czerwionka – LeszczynyLAWYERS: Thomson geer
Ernst and Younger – Perth
Nationwide Australia Financial institution Ltd
Australia and New Zealand Banking Group Ltd
Computershare Investor Companies Pty Ltd Stage 11, 172 St Georges Terrace
Perth WA 6000
Cellphone: +61 8 9323 2000
Computershare Investor Companies PLC The Pavilions, Bridgewater Street Bristol BS99 6ZZ
Cellphone: +44 370 702 0000
Komisja Nadzoru Finansowego (KNF)
Plac Powstańców Warszawy 1, skr. poczt. 419
Cellphone: +48 22 262 50 00
SCHOLARSHIP LISTS: Australia:
Australian Securities Alternate – ASX Code: PDZ
London Inventory Alternate (Most important Council) – LSE code: PDZ
Warsaw Inventory Alternate – GPW code: PDZ
Administrators’ report 1
Administrators’ declaration 6
Consolidated assertion of internet revenue and different complete revenue 7
Consolidated assertion of monetary place 8
Consolidated assertion of adjustments in fairness 9
Consolidated assertion of money flows 10
Notes to the consolidated monetary statements 11
Auditor’s Declaration of Independence 16
Impartial auditor’s assessment report 17
Prairie Mining Restricted Administrators Report on the Consolidated Entity of Prairie Mining Restricted
(“Firm” or “Meadow“) and the entities it managed throughout the semester ended December 31, 2020 (“Consolidated entity” or “Group”).
The names and particulars of From the corporate The administrators in workplace at any time throughout the semester and as much as the date of this report are:
|Mr. Ian Middlemas||President|
|Mr. Benjamin Stoikovich||Director and CEO|
|Ms. Carmel Daniele||Non-executive director|
|Mr. Thomas Todd||Non-executive director|
|Mr. Mark Pearce||Non-executive director|
|Mr. Todd Hannigan||Alternate director (resigned on February 5, 2021)|
Until in any other case indicated, all the administrators have exercised their features from the start of the semester till the date of this report.
OPERATIONAL AND FINANCIAL REVIEW
Highlights throughout and after the semester embody:
• Worldwide arbitration claims (Declare) in opposition to the Republic of Poland beneath each the Vitality Constitution Treaty and the Australia-Poland Bilateral Funding Treaty (Treaties) in progress throughout the interval when the process is now constituted and a quantum skilled appointed by the Firm.
- ➢ Prairie alleges that the Republic of Poland breached its treaty obligations by performing to dam the event of the From the corporate Jan Karski and Debiensko mines in Poland.
- ➢ Republic of Poland shares disadvantaged Prairie of the complete worth of its investments in Poland.
- ➢ The declare for damages might embody, however is just not restricted to, the worth of Prairie’s historic bills associated to the event of the Jan Karski and Debiensko mines, lack of income and damages, that are associated to the online current worth of the 2 mines, and accrued curiosity associated to any damages.
- • The From the corporate The grievance in opposition to the Republic of Poland will probably be prosecuted beneath a longtime and enforceable authorized framework, with each events agreeing to use the principles of the United Nations Fee on Worldwide Commerce Legislation (UNCITRAL) to the process.
- • The corporate is nicely funded to pursue the declare with the US $ 12.3 million litigation funding settlement (LFA) in place and being collected to cowl authorized, judicial and exterior skilled charges and outlined working bills related to the declare.
- • The corporate has carried out a share buy plan (SPP) to lift AU $ 4 million (earlier than charges) for working capital wants and enterprise growth alternatives.
- • Prairie continues its efforts to determine and assess different new, acceptable, resource-driven enterprise alternatives sector. The Firm will make bulletins available in the market as acceptable.
OPERATIONAL AND FINANCIAL REVIEW (continued)
Dispute with the Polish authorities
The From the corporate The grievance in opposition to the Republic of Poland is being prosecuted beneath a longtime and enforceable authorized framework, with the Prairies and Poland agreeing to use the UNCITRAL guidelines to the proceedings.
Through the semester, the grievance course of was included as the corporate appointed a quantum skilled, reviewed different skilled proposals, and continued to gather paperwork for the grievance.
Prairie’s the declare for compensation might embody, however is just not restricted to:
- • The worth of Prairie’s historic expenditure to develop each the Jan Karski (Jan Karski) and Debiensko (Debiensko) the mines;
- • Lack of income and damages suffered by the Firm because of Poland acts and omissions, which is linked to the appreciable internet current worth of the 2 mines on the time of Poland violations of worldwide treaties; and
- • Curiosity accrued in reference to any award of damages and all prices related to pursuing claims in arbitration.
In March 2017, Prairie launched the outcomes of a JORC-compliant scoping research for Debiensko ready by unbiased worldwide mining consultancy Royal HaskoningDHV. The scoping research demonstrated the technical viability and financial robustness of the absolutely licensed Debiensko mine to be a big scale, lowest value, lengthy life arduous coking coal provider. Furthe main points of the care of the scoping research contained within the Firm’s announcement of March 16, 2017.
In March 2016, Prairie launched the outcomes of a JORC-compliant pre-feasibility research (PFS) for Jan Karski ready by unbiased worldwide mining consultancies Golder Associates and Royal HaskoningDHV. PFS has demonstrated the technical viability and financial robustness of Jan Karksi to be developed as a large-scale, long-life strategic coal provider. Additional particulars on the PFS are contained within the Company announcement dated March 8, 2016.
The Firm is unable to touch upon the potential quantity of any compensation declare. That a lot. Please discuss with the ASX bulletins of April 26, 2018, Could 28, 2018, January 18, 2019, February 13, 2019,
April 4, 2019 and December 31, 2019 for extra particulars on the corporate’s dispute with the Republic of Poland.
In July 2020, the corporate introduced that it had carried out an LFA for US $ 12.3 million with LCM. The ability is at present used to cowl authorized, judicial and exterior skilled charges and outlined working bills related to the declare.
In September 2020, Prairie introduced that it had formally introduced the declare by serving the notices of arbitration in opposition to the Republic of Poland.
Prairie’s litigation alleges that the Republic of Poland failed to satisfy its obligations beneath the relevant treaties by performing to dam the event of the From the corporate The Jan Karski and Debiensko mines in Poland, successfully depriving Prairie of the complete worth of its investments in Poland.
In February 2019, Prairie formally knowledgeable the Polish authorities that there was an funding dispute between Prairie and the Polish authorities. Prairie’s notification known as for swift negotiations with the federal government to resolve the dispute amicably and indicated Prairie’s proper to submit the dispute to worldwide arbitration within the occasion of non-amicable decision of the dispute. The Firm stays open to the amicable decision of the dispute with the Polish authorities. Nonetheless, as of the date of this report, no amicable decision of the dispute has taken place, the Polish authorities having refused take part within the discussions associated to the dispute and, subsequently, the Firm has beforehand submitted its declare as a mentioned above.
Prairie’s funding dispute with the Republic of Poland is just not distinctive, with worldwide media broadly reporting that the the political setting and funding local weather in Poland has deteriorated because the change of presidency in 2015. In consequence, a big variety of worldwide arbitration claims are being bought in opposition to Poland within the pure sources and Vitality with claims for damages starting from $ 120 million to over $ 1.3 billion and contains Bluegas NRG Holding (fuel), Lumina Copper (copper) and InvEnergy (wind farms).