Pacific Lime and Cement Limited (“PLC”) has signed a significant Project Development Agreement (“PDA”), paving the way for the Papua New Guinea (“PNG”) Government to acquire a 13%-18% equity stake both in the quicklime (“CLP”) and cement (“CCP”) assets. The acquisition price for the equity stakes is to be determined by a discount to the latest NPV for the assets. At this point, we model the 18% stake in the quicklime which is acquired at a 22% discount to the base case NPV of US$161m (compared o ....
