Will that buyer ever find the cash for AustChina’s Surat gas fields?
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The buyer of AustChina’s subsidiary Surat Gas has blown through its third deadline and they’ve promised to front up with a $100,000 advance.
The $6.5 million sale of Surat Gas and its Surat-Galilee Basin coal-seam gas fields in Queensland was announced in early March and supposed to be tied up within three weeks.
But so far the anonymous buyer has failed to stump up the cash.
AustChina (ASX:AUH) has not given a reason for the delays, but has pointed out on each occasion that the purchase is subject to the buyer getting financing.
The original terms said the buyer had 60 days to obtain finance, with completion to come 21 days after that.
On Tuesday, AustChina gave a third extension to the sale deadline until August 28.
It’s unclear when the deposit, which will be taken out of the sale price, will be paid.
AustChina has been contacted for comment.
The company changed its name from CoalBank in August last year a year after it bought a quarter of a biogas company.
AustChina shares opened flat at 0.5c.