Cokal shares surge following Indonesian regulatory approval
Cokal (ASX:CKA) has secured critical work programme and budget approval from Indonesian authorities, clearing a major regulatory bottleneck and paving the way for a mid-June operational restart at its flagship Bumi Barito Mineral Coking Coal Project.
Shares in the company grew 16.67% following the announcement, which effectively ends months of restricted output caused by permitting delays, severe fuel constraints, and low water levels on the Upper Barito River system.
With the regulatory greenlight finalised, Cokal has immediately mobilised site dewatering, hauling, and mine preparation activities.
Full mining operations are scheduled to recommence at Pit 3 during the second week of June.
The company is rapidly capitalising on the restart, finalising an initial 10,000-tonne export shipment of premium low-volatile hard coking coal slated for departure by late June whilst simultaneously advancing domestic sales negotiations for July and August.
The restart serves as a vital financial lifeline for the metallurgical coal producer. Cokal’s recent quarterly disclosure revealed tight liquidity, with just US$168,000 in cash reserves and a funding runway estimated at less than one quarter.
Converting the imminent shipments into immediate cash receipts is paramount. While a recent controlled blast at Pit 3 has optimised mining fragmentation, sustained commercial success hinges on logistics execution.
