Batista Units Continue Strategic Discussions

While Eike Batista’s OGX and OSX units work out their fates with lenders, coal miner CCX Carvao da Colombia has started the search for investors in the San Juan coal mine and an accompanying logistics project which includes a port and railroad, CCX says. CCX remains in talks to sell the Canaverales and Papayal open-air mines to Transwell Enterprises. Separately, OGX is in talks with holders of $3.6bn face value of its international bonds ahead of the expiration of a 30-day grace period at the end of the month. OGX did not make its October 1 coupon payment on its 2022 bonds. A default on the 2022s and 2018s is widely expected by analysts, likely accompanied by a distressed exchange or bankruptcy filing. OGX bonds traded at 7-8 cents on the dollar Tuesday and OSX’s in the mid 70s, according to a trader.