Griffin Coal plans to borrow $530 million

Rick Stowe’s Griffin Coal Mining Company is planning to borrow around $530 million through a note issue to refinance group debt and provide funding for its current expansion projects. The new debt facility provides a rare insight into the scale of the privately-owned Griffin Group. The group is currently investing $400 million in construction of the Bluewaters coal-fired power station at Collie, and has also developed the $180 million Emu Downs wind farm south of Geraldton, through a joint venture with Queensland company Stanwell Corporation. It is also planning to expand its wholly-owned open-pit coal mining operations at Collie. Standard & Poor’s Ratings Services assigned its ‘BB-’ long-term corporate credit rating to the Griffin Coal Company Pty Ltd, reflecting the Perth-based company’s limited mine and geographic diversity, significant short-term capital investments, reliance on growth plans of key industrial customers and the private nature of the company.