Publicly listed Coal Asia Holdings was recently granted incentives by the Board of Investments for wholly-owned subsidiary, Titan Mining and Energy Corporation as a New Producer of Coal in Davao Oriental and Zamboanga Sibugay on a Non-Pioneer status, a press release from CAH said.
The incentives include, among others, a tax holiday, importations of capital equipment, employment of foreign nationals, and simplification of customs procedures, the press release said.
“The impact of these BOI incentives on the company’s bottom-line is very significant and can be a catalyst for further growth…,” Aldo Claparols, Fund Manager at DA Market Securities, said.
Coal Asia recently concluded its capital enhancement exercise with an initial public offering, raising approximately P800 million.
Of the proceeds from the IPO, P105 million will be spent on the completion of the exploration and feasibility study of the Davao Oriental mine, P432 million for the development of the Davao mine, and the balance for continued exploration at the Zamboanga Sibugay mine and for working capital requirements, the press release said.*