Toronto, Ontario-based Polo Resources Limited, a mining and exploration investment company with interests in coal and iron ore, announced Thursday that it has signed a letter of intent with natural resource and investment company Earth Coal Resources Limited to procure coking coal projects in Indonesia.
To form the joint venture, Polo Resources Limited will advance up to US$ 3 million in the form of a convertible loan to the newly incorporated Indonesian company: Polo IndoCoal.
"We are very pleased to have reached agreement with EarthCoal regarding the joint appraisal, acquisition and development of coking coal projects in Indonesia. We see EarthCoal as an important strategic partner for Polo and any investment in Indonesia positions the company well given the growing demand for energy in Asia," said Neil Herbert, Executive Co-Chairman and Managing Director of Polo Resources.