Upon its completion, the company's ebitda levels are projected to triple from US$60 million ($78.8 million) in FY2024 to US$168 million in FY2026, as the company will be able to transport larger volumes of coal more efficiently. This will also save the company on current tolling costs and generate additional revenue by charging third-party users, Yon and Chan write. Geo Energy's financial year ends on Dec 31.
Lim & Tan Securities analysts Nicholas Yon and Chan En Jie have initiated a "buy" call on Mainboard-listed coal mining company Geo Energy Resources (SGX:RE4
) on April 25.
Based on its last-closed share price of 35 cents on April 24, the analysts see an upside of 71.4% with their target price of 60 cents, as they note that the company will benefit from an upcoming state-of-the-art infrastructure development.
