Queensland businessman Clive Palmer has been forced to postpone the listing of his coal and iron ore tenements.
The aim of the initial public offering (IPO) was to raise between $2 billion to $3 billion, giving Palmer’s company, Resourcehouse, enough capital to develop its Waratah Coal mine in Central Queensland and its iron ore deposits in Western Australia.
The float was originally planned for last October on the Hong Kong Stock Exchange, but following issues with Chinese investors, it was delayed until Christmas and then again until March this year.
Added to this are disputes over the true value of the resources ahead of the potential IPO.
On top of these listing problems, Palmer’s companies have also seen the departure of executive director Peter Lynch.
The primary executive behind the plan for the development of an integrated mine, rail and port operation to open the coal rich Galilee Basin in central Queensland, Lynch’s departure at the end of this week will see vice president of corporate development, Phil McNamara, take his place.
Lynch’s $5 billion plan was to expand development of new coalmines in central Queensland, predominately in the Galilee Basin, and construct a 500 kilometre rail freight line to the Abbot Point coal terminal.
Waratah Coal was previously list on the Canadian Stock Exchange in 2006, and saw a dual listing on the Australian Stock Exchange in 2008, prior to its take over by Clive Palmer.