Cokal converts loans to royalty payments

Coal developer Cokal has entered into a royalty agreement with its senior lenders to convert its $13.8-million outstanding loans to a production royalty. The ASX-listed company on Tuesday told shareholders that from the start of commercial production, lender Platinum Group would be entitled to a yearly royalty on coal sold from Cokal’s share of production from the Bumi Barito Mineral project (BBM) and the PT Tambang Benua Alam Raya (TBAR) projects.