• Northern Energy Corporation Limited
• Website: www.northernenergy.com.au

Industry:

Oil, Gas & Consumable Fuels

Fiscal Year-End:

Jun 10

Northern Energy Corporation Ltd (NEC) is an exploration company primarily searching for coal, with tenements mainly in Australia. Key projects are located in Northern NSW and Queensland. NEC has a key objective in developing a diverse range of coal products including thermal coal and hard coking coal to be sold to both the export and domestic markets. Exploration companies aim to discover and delineate occurrences of metals and minerals that can be economically mined and extracted.

The company was listed on the ASX in July 1998 as Poltech International Limited (PLL). In 2005, the company changed its name to Northern Energy Corporation Limited (NEC). Later in 2006, NEC announced an MOU with Sojitz Corporation of Japan to form a Joint Venture on the Emerald coal project and the initial Maryborough exploration programme is being partially funded by the Japanese government.

NEC operates in the energy sector specialising in coal exploration. The outlook for the resources industry is closely linked to world economic growth and the supply/demand balance for raw materials. The growth in demand in Asia, particularly China is promising for higher average commodity prices in this decade providing new supply does not come onstream too aggressively ahead of consumption.

NEC focuses on several coal projects in NSW and QLD. The company has four active projects and is currently defining two projects hosting high-quality coking coal, which are the Ashford project, a hard coking coal project located in Northern NSW and the Maryborough project located in the Burrum coalfield QLD which produces coal for domestic use. NEC also holds thermal coal deposits which are the Elimatta project in southern QLD and the Yamala project.

NEC competes with other exploration and mining companies dealing in the area of coal based in Australia and overseas. Competitors include Paladin Energy and Centennial Coal. NEC customers include electricity companies, the industrial sector as well as companies that produce liquid fuels such as gasoline and diesel.