MIRA INFORM REPORT

 

 

Report Date :

24.08.2013

 

IDENTIFICATION DETAILS

 

Name :

METROPOLITAN COLLIERIES PTY. LTD.

 

 

Formerly known as:

·         METROPOLITAN COLLIERIES LTD

·         MERCARD LTD (initial)

 

 

Registered Office :

Level 14, BOQ Building, 259 Queen Street Brisbane Queensland 4000

 

 

Country :

Australia

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

10.07.1986

 

 

Com. Reg. No.:

003135635

 

 

Legal Form :

Australian Proprietary Company

 

 

Line of Business :

Operator of an underground coal mine located at Helensburgh, New South Wales, Australia.

 

 

No. of Employees :

230 employees

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

Fairly Large

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – March, 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Australia

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

AUSTRALIA - ECONOMIC OVERVIEW

 

The Australian economy has experienced continuous growth and features low unemployment, contained inflation, very low public debt, and a strong and stable financial system. By 2012, Australia had experienced more than 20 years of continued economic growth, averaging 3.5% a year. Demand for resources and energy from Asia and especially China has grown rapidly, creating a channel for resources investments and growth in commodity exports. The high Australian dollar has hurt the manufacturing sector, while the services sector is the largest part of the Australian economy, accounting for about 70% of GDP and 75% of jobs. Australia was comparatively unaffected by the global financial crisis as the banking system has remained strong and inflation is under control. Australia has benefited from a dramatic surge in its terms of trade in recent years, stemming from rising global commodity prices. Australia is a significant exporter of natural resources, energy, and food. Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia is an open market with minimal restrictions on imports of goods and services. The process of opening up has increased productivity, stimulated growth, and made the economy more flexible and dynamic. Australia plays an active role in the World Trade Organization, APEC, the G20, and other trade forums. Australia has bilateral free trade agreements (FTAs) with Chile, Malaysia, New Zealand, Singapore, Thailand, and the US, has a regional FTA with ASEAN and New Zealand, is negotiating agreements with China, India, Indonesia, Japan, and the Republic of Korea, as well as with its Pacific neighbors and the Gulf Cooperation Council countries, and is also working on the Trans-Pacific Partnership Agreement with Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the US, and Vietnam.

 

Source : CIA

 


IDENTIFICATION DETAILS

 

Verified Address

 

Subject name :              METROPOLITAN COLLIERIES PTY. LTD.

Business address :        Level 14, BOQ Building

259 Queen Street

Town :                           Brisbane

Province :                      Queensland

Zip/postal code :            4000

Country :                       Australia

Tel :                              +61 7 32255500

Fax :                             +61 7 32255555

Email :                          info@peabodyenergy.com

Website :                      www.peabodyenergy.com.au

 

Registered address :      Level 14, BOQ Building

259 Queen Street

Town :                           Brisbane

Province :                      Queensland

Zip/postal code :            4000

Country :                       Australia

Postal address :            GPO Box 164

Town :                           Brisbane

Province :                      Queensland

Zip/postal code :            4001

Country :                       Australia

 

 

SUMMARY DETAILS

 

Executive Summary

 

Date founded or registered :        10/07/1986

Legal form :                               Australian Proprietary Company

Chief executive :                        Neville James McAlary

Issued & paid up capital :           AUD 45,358,000

Sales turnover :              AUD 317,258,000 (Non-Consolidated 12 months, 31/12/2012)

Net income :                              AUD 52,175,000 (Non-Consolidated 12 months, 31/12/2012)

Total fixed assets :                     AUD 511,616,000 (Non-Consolidated 12 months, 31/12/2012)

Line of business :                       Operator of an underground coal mine located at Helensburgh, New South Wales, Australia.

Staff employed :             230 employees (Subject); 8,200 employees (Peabody Group)

 

 

CREDIT RISK OPINION

 

Company Analysis

 

Country risk :                             Country risk is minimal

Operation trend :                        Operational trend is steady

Management experience :           Management is adequately experienced

Financial performance :              Financial performance is very good

Organization structure :              Organizational structure is robust

Detrimental :                  No detrimental found

Payment history :                      No payment delays noted

Credit amount asked :                Not described.

Comments :                              Larger credit can still be considered. The Subject is well positioned in the market and the financial stability of the group is positive.

 

 

STATUTORY DETAILS

 

Registry Data

 

Registration date :                                              10/07/1986

Legal form :                                                       Australian Proprietary Company

Registration no Australian Company Number:       003135635

Registered authority :                                         Australian Securities and Investments Commission

Fiscal/ Tax no : Australian Business Number:      91003135635

Registry status :                                                Live/Active

Previous name :                                                 METROPOLITAN COLLIERIES LTD

MERCARD LTD (initial)

Change of legal form :                                         None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

 

Name :              George John Schuller Jr.

Designation :     Chief Operations Officer

 

Name :              Neville James McAlary

Designation :     Senior Vice President Underground Operations

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

 

Name :                          Maria da Conceicao da Silva de Santana

Designation :                 Director

Appointment date :         17/09/09

Address :                      4 Travorten Drive

Bridgeman Downs, QLD 4035

Australia

Biography :                    Born on 27-09-1962 in Madeira, Portugal.

 

Name :                          Neville James McAlary

Designation :                 Director

Appointment date :         12/07/12

Address :                      10 Yuruga Street

Austinmer,                    NSW 2515

Australia

Biography :                    Born on 10-10-1962 in Wollongong, New South Wales, Australia.

 

Name :                          George John Schuller Jr.

Designation :                 Director

Appointment date :         01/01/13

Address :                      Unit 1, 32 Austral Street

St Lucia, QLD 4067

Australia

Biography :                    Born on 24-05-1963 in Ellwood City, Pennsylvania, United States.

 

Name :                          Murray Paul Hundleby

Designation :                 Company Secretary

Appointment date :         27/05/11

Address :                      46 Illiliwa Street

Cremorne, NSW 2090

Australia

Biography :                    Born on 18-10-1957 in Blenheim, New Zealand.

Staff employed :             230 employees (Subject); 8,200 employees (Peabody Group)

 

Key Advisors

 

Auditors :                      ERNST & YOUNG

'Waterfront Place' Level 51

111 Eagle Street

Brisbane, QLD 4000

Australia

 

 

SHARE CAPITAL

 

Composition

 

Authorized Capital :        AUD 45,358,000

No of shares :                45,358,000 Ordinary Shares

Share par value :            AUD 1

Issued capital :              AUD 45,358,000

Paid up capital :             AUD 45,358,000

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed :       Full List

 

Composition

 

Shareholder name :        PEABODY AUSTRALIA MINING PTY LTD

Address :                      Level 13, BOQ Building

259 Queen Street

Brisbane, QLD 4000

Australia

No. of shares :               45,358,000 Ordinary Shares

% of shares :                 100%

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

 

Name :              PEABODY ENERGY CORPORATION

Affiliation type : Ultimate Holding Company

Address :          Peabody Plaza

701 Market Street

St. Louis, MO 63101-1826

United States

Comments :      Peabody Energy Corporation is the world’s largest private-sector coal company.

It owns interests in 28 active coal mining operations located in the United States (U.S.) and Australia. In addition to our mining operations, the Subject markets and brokers coal from its operations and other coal producers, both as principal and agent, and trade coal and freight-related contracts through trading and business offices in China, Australia, the United Kingdom, Germany, Singapore, Indonesia,

India and the U.S.

 

Name :              PEABODY ENERGY AUSTRALIA PTY LTD

Affiliation type : Intermediate Holding Company

Address :          Level 13, BOQ Building

259 Queen Street

Brisbane, QLD 4000

Australia

 

Name :              PEABODY AUSTRALIA MINING PTY LTD

Affiliation type : Parent Company

Address :          Level 13, BOQ Building

259 Queen Street

Brisbane, QLD 4000

Australia

 

Name :              PEABODY COALTRADE ASIA PRIVATE LTD.

Affiliation type : Sister Company

Address :          1, Temasek Avenue

#21-03 Millenia Tower

Singapore 039192

Singapore

 

Name :              PEABODY INVESTMENT & DEVELOPMENT BUSINESS SERVICES BEIJING CO., LTD.

Affiliation type : Sister Company

Address :          Suite 4201, Beijing Yintai Center

Tower C, No.2 Jianguomenwai Avenue

Chaoyang District

Beijing 100022

China

Related companies and corporate affiliations comments : Other companies of the Peabody Energy Group should be considered affiliates of the Subject.

 

 

BANK & MORTGAGES

 

Bank Details

 

Name of bank :              National Australia Bank Limited

Address :                      Australia

Account details :            Current Account

Comments :                  It is generally not the policy of local banks to provide credit status information to non related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

Mortgages :                   None reported.

 

Legal Fillings

 

Bankruptcy fillings :        None reported.

Court judgements :         None reported.

Tax liens :                     None reported.

Others :                        None reported.

 

 

FINANCIAL DATA

 

Description

 

Source of financial statement :    Commercial Registry Filings

Financial statement date :          31/12/12

Type of accounts :                     Full audited

Currency :                                 Australia Dollar (AUD)

Exchange rate :                         1 USD = AUD 1.11 as of 22-08-2013

 

Summarized Financial Information

 

Consolidation type :                 Non Consolidated        Non Consolidated        Group Consolidated

Currency :                                Australia Dollar (AUD) Australia Dollar (AUD) US Dollar (USD)

Denomination :                        (x1) One                       (x1) One                       (x1) One

Date of financial year end :     31/12/12                        31/12/11                        31/12/12

Length of accounts :                   12 months                     12 months                     12 months

Sale turnover / Income : 317,258,000                  330,769,000                  8,077,500,000

Gross profit :                             73,783,000                    152,239,000

Profit before tax :                       50,135,000                    144,357,000                  -208,600,000

Net income :                              52,175,000                    100,988,000                  -575,100,000

Non current assets :                   485,615,000                  367,432,000                  13,233,500,000

Current assets :                         26,001,000                    64,381,000                    2,575,500,000

Inventories :                               7,866,000                      33,551,000                    548,400,000

Total assets :                            511,616,000                  431,813,000                  15,809,000,000

Current liabilities :                      214,116,000                  192,600,000                  1,674,100,000

Non current liabilities :                16,710,000                   10,598,000                    9,196,100,000

Total liabilities :                          230,826,000                  203,198,000                  10,870,200,000

Share equity :                            280,790,000                  228,615,000                  4,938,800,000

Reserve :                                   43,988,000                    43,988,000

Retained earning :                      191,444,000                  139,269,000                  3,066,400,000

Comments :                              The non consolidated financial information above relates to the Subject only.

The group’s consolidated financial information above relates to the Subject’s Ultimate Holding Company Peabody Energy Corporation and all its subsidiaries which include the Subject.

 

 

OPERATION DETAILS

 

Main activities :              The Subject operates an underground coal mine located at Helensburgh, New South Wales, Australia.

The Metropolitan Mine is an underground mine located 30 kilometers north of Wollongong near the township of Helensburgh that produces coking coal for export and domestic markets. Metropolitan produced 2.1 million tons of saleable coal in 2012.

The Subject is ultimately owned by Peabody Energy Corporation.

Peabody Energy Corporation (Peabody) is a private-sector coal company.

The Company owns interests in 28 active coal mining operations located in the United States and Australia. The Company has a majority interest in 27 of those coal operations and a 50% equity interests in the Middlemount Mine in Australia. The Company also owns a noncontrolling interest in a mining operation in Venezuela. In addition to the Company's mining operations, the Company markets and broker coals from its operations and other coal producers, both as principal and agent, and trade coal and freight-related contracts through trading and business offices. The Company conducts business through four principal segments: Western United States. Mining, Midwestern U.S. Mining, Australian Mining and Trading and Brokerage. The Company's fifth egment, Corporate and Other, includes mining and export/transportation joint ventures, activities associated with certain energy-related commercial matters, Btu Conversion.

 

Purchases

 

International :                 Mainly from United States, Asia, Europe

Sales

 

Local :              Yes

 

International :     Japan, Taiwan, India, China, South Korea, Europe and South America

 

Property & Assets

 

Premises :        The Subject operates from premises at the verified heading address consisting of an administrative office.

Branches :        In addition, the Subject operates from a branch office located nearby the coal mine located at:

Parkes Street

Helensburgh, NSW 2508

Australia

Tel: +61 2 42947204

 

 

SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

 

Central bank :                                        Reserve Bank of Australia

Reserve of foreign exchange & gold :       US$ 46.714 billion

Gross domestic product - GDP :             US$ 1.586 trillion

GPP (Purchasing power parity) :             954.296 billion of International dollars

GDP per capita - current prices :             US$ 68,916

GDP - composition by sector :                agriculture: 4%

industry: 25.6%

services: 70.4%

Inflation :                                               2010: 2.8%

2011: 3.4%

2012: 2.7%

Unemployment rate :                              2010: 5.2%

2011: 5.1%

2012: 5.2%

Public debt

(General Government gross debt as

a % GDP):                                            2010: 20.4%

2011: 22.9%

2012: 24%

Government bond ratings :                      Standard & Poor's: AAA

Moody's rating: Aaa

Moody's outlook: STA

Market value of publicly traded

shares:                                                             US$1.198 trillion

Largest companies in the country :          Qantas Airways (Airline),Coca-Cola Amatil (Beverages), CSL (Biotechs),

Brambles (Business & Personal Services),Crown Ltd (Casinos & Gaming), Amcor (Containers &  Packaging),Suncorp-Metway (Diversified Insurance), BHP Billiton (Diversified Metals & Mining),Newcrest Mining (Diversified Metals & Mining), Orica (Diversified Metals & Mining), Iluka Resources(Diversified Metals & Mining), Origin Energy (Electric Utilities), AGL Energy (Electric Utilities), Wesfarmers (Food Retail), Woolworths

(Food Retail), Metcash (Food Retail), Macquarie Group (Investment services), AMP (Investment services), Challenger Ltd (Investment services), Fortescue Metals Group (Iron & Steel), Bluescope Steel (Iron & Steel), Commonwealth Bank (Major Banks), Westpac Banking Group (Major Banks), National Australia Bank (Major Banks), ANZ (Major Banks), Woodside Petroleum (Oil & Gas Operations), Santos (Oil & Gas

Operations), Caltex Australia (Oil & Gas Operations), WorleyParsons (Oil Services & Equipment), Toll Holdings (Other Transportation), Transurban Group (Other Transportation), QBE Insurance Group (Property & Casualty Insurance), Insurance Australia Group (Property & Casualty Insurance), QR National (Railroads), Westfield Group (Real Estate), Stockland Australia (Real Estate), Westfield Retail Trust (Real Estate), Lend Lease (Real Estate), CFS Retail Property Trust (Real Estate), Goodman Group (Real Estate), Bendigo & Adelaide Bank (Regional Banks), Bank of Queensland (Regional Banks), Incitec Pivot (Specialized Chemicals), Telstra (Telecommunications Services)

 

 

Trade & Competitiveness Overview

 

Total exports :                                       US$263.9 billion

Exports commodities :                                       Coal, iron ore, gold, meat, wool, alumina, wheat, machinery and transport equipment

Total imports :                                       US$239.7 billion

Imports commodities :                            Machinery and transport equipment, computers and office machines, t                               elecommunication equipment and parts; crude oil and petroleum

products

Export - major partners :                         China 27.4%, Japan 19.2%, South Korea 8.9%, India 5.8%

Import - major partners :                         China 18.5%, US 11.4%, Japan 7.9%, Singapore 6.3%, Germany 4.7%

FDI Inflows :                                          2009: US$26,554 million

2010: US$35,556 million

2011: US$41,317 million

FDI Outflows :                                        2009: US$16,693 million

2010: US$12,791 million

2011: US$19,999 million

Best countries for doing business :          10 out of 185 countries

Global competitiveness ranking :             20 (ranking by country on a basis of 144, the first is the best)

 

Country and Population Overview

 

Total population :                                   22.68 million

Total area :                                            7,692,024 km2

Capital :                                                Canberra

Currency :                                             Australian dollars (AUD)

Internet users as % of total

population:                                            79%

 

 

PAYMENT HISTORY

 

Purchase Term

 

International :     L/C, Telegraphic transfer, D/P, D/A, Credit 30-120 days

 

Sales Term

 

Local :              Bank transfer, D/P, D/A, Credit 30-120 days

International :     L/C, Telegraphic transfer, D/P, D/A, Credit 30-120 days

 

Trade Reference/ Payment Behaviour

 

Comments :      As local and international trade references were not supplied, the Subject's payment track record history cannot be appropriately determined but based on our research, payments are believed to be met without delay.

 

Investigation Note

 

Sources :          Interviews and material provided by the Subject

:           Other official and local business sources


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.69

UK Pound

1

Rs.100.79

Euro

1

Rs.86.30

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

----

NB

New Business

----

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.