Pacific American Holdings Ltd (ASX:PAK) has appointed a leading North American-based investment bank to advise on fundraising and investment options in relation to the Elko Coking Coal project in Canada.
The appointee is B Riley’s investment bank arm specialising in services that include merger & acquisitions advisory to public and private companies, initial and secondary public offerings and institutional private placements.
PAK chairman Geoff Hill said: “This appointment confirms PAK’s commitment to advancing the Elko Coking Coal Project and supports the underlying value of Elko as strategic coking coal asset.
“We are encouraged by this recapitalisation activity and other fundraising options we are pursuing, including the introduction of new partners.”
Recent resource upgrade
A significant JORC 2012-compliant resource upgrade was recently announced for the Elko project in the East Kootenay Basin.
The project contains a total in-situ resource of 303 million tonnes, including 210 million tonnes classified in the measured and indicated categories.
Drilling in 2018 drilling confirmed that the project contains a significant inventory of high-value mid-vol, low ash coking coal.
Among the advantages of Elko, which has nine coal seams identified, is proximity to key infrastructure such as existing rail to the port of Vancouver, providing direct access to north Asian markets.
PAK, through subsidiary TOCC, which holds the coal asset, is looking at recapitalisation and fundraising options as it progresses the next stage in the commercialisation and development of the project.
“Excited about future”
Hills added: “We are excited about the future of Elko, as we progress the commercialisation of our project to the next stage and towards the ultimate plan of developing Elko as a major coking coal project.”