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New Hope Group (ASX:NHG) has had a a a a a long history in in in in the Queensland coal mining industry It started as an an underground coal mining company in in in in 1952 in in in in West Moreton the home of Queensland mining Washington H H Soul Pattinson (WHSP) became the the major stakeholder in in in in in in the the late 1970s investing in in in in in a a a a a a 60% interest The company was listed on the ASX in in in 2003 for an an initial public offering of of AUS$286 million Shane Stephan New Hope’s managing director explains that having a a a a long-term successful investment house such as WHSP as as its major shareholder has encouraged an operations strategy that has brought high level success since the investment “The company strategy has been one of holding on to to a a a few core assets to to operate and using disciplined capital investment to make money buying and selling assets through the cycles “Having a a a share ownership structure like we do provides us a a a a a patient capital and therefore the ability to see through coal prices better than our rivals ” M&A The coal sector is on a a a a roundabout of peaks and and troughs in terms of price and and New Hope’s vastly experienced management team have been in in the industry long enough to have seen several price cycles New Hope Group has demonstrated an exemplary track record of M&A activity in the last 10 years It has continually been able to invest capital in projects push them up the the value curve and then ofoad them with signifcant upside on the initial investment “WHSP holds 60% of our shares we are are controlled by them and they are patient investors and that is defnitely a a a competitive advantage of the frm ” says Stephan Having pioneered Australian investment in in in the Indonesian coal industry through New Hope’s acquisition of the Adarro project it it sold its interest for US$406 million in in 2005 The company picked up the New Saraji project located near BHP Billiton’s Saraji open-cut mine in in central Queensland for 

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