According to information submitted to the court, Americas estimated its liabilities in a range between $1 million and $10 million and its assets in a range between $500,000 and $1 million.
Americas, in a separate filing December 13 with the U.S. Securities and Exchange Commission, said a Chinese firm, Beijing Guohua Technology Group, has agreed to provide it with $6 million in capital in return for a 30% stake in the company.
However, that arrangement hinges on Americas’ acquisition of certain metallurgical coal assets from Alpha Natural Resources’ Tennessee Consolidated Coal Co. subsidiary in the Tennessee counties of Grundy, Bledsoe, Marion and Sequatchie. On December 1, Americas entered into a letter agreement with Abingdon, Va.-based Alpha to purchase the assets for $71 million. Currently, Americas holds leases on an estimated 6.5 million tons of high-quality specialty coal in southern Kentucky.
If the Alpha deal can be closed, the Chinese company would pay $3 million in cash to Americas with the $68 million balance to be paid by two unsecured promissory notes—the first note for $3 million due 12 months after the closing, the second note for $4 million due 24 months from the date of closing, and the remaining $61 million to be paid as an overriding royalty at the rate of $3/ton mined from the acquired assets, Americas told the SEC.
Americas said it has been told by Alpha that the met coal assets contain about 44,000 acres of leased property, two permitted underground mines, a permitted coal processing plant with a permitted impoundment area, and a 40-barge terminal on the Tennessee River.
