Corporation (MMC, 00975) with a "buy" rating, and a target price of HK$13.
The research house forecast MMC's production to grow at a CAGR of 45% in 2011-13 on the
back of a production ramp-up. Further solid growth beyond 2014 will be supported by the
commission of its newly acquired BN coal mine.
With the commission of wet washing facilities (ie three 5-mt coal washing plants by
2012), UOBKH expects to see EBIDTA margin expand from 33% in 2010 to 50% in 2013. (KL)