The All Ordinaries Index (ASX: XAO) is up 0.1% today, with one ASX All Ords stock rocketing ahead of those gains.
The surging company in question is Aussie coal miner Coronado Global Resources Inc (ASX: CRN).
Coronado shares closed yesterday trading for 14.5 cents. In late morning trade on Thursday, shares are changing hands for 17.5 cents apiece, up 20.7%.
Today's stellar run comes after the Coronado Global share price closed up a blistering 38.1% yesterday, with investors bidding up the stock following a $150 million refinancing update.
On Monday, you could have picked up the ASX All Ords stock at intraday lows of just 10.0 cents a share. Meaning the ASX coal miner's shares have surged 75% in less than four trading days.
That's enough to turn a $5,000 investment into $8,750. In just a few days.
Here's what's grabbing investor interest today.
ASX All Ords stock surges on potential energy deal
Shortly after market open this morning, Coronado released an update in response to media speculation.
Investors are bidding up the ASX All Ords stock after management confirmed that it is in confidential discussions with Stanwell Corporation.
Stanwell is a government-owned corporation that provides electricity supplies in Queensland.
Coronado advised that potential changes to its coal supply agreements could see Stanwell provide up to US$150 million (AU$232 million) in near-term liquidity to Coronado, which the company said was not in the form of a loan.
Coronado would, in turn, provide access to additional coal supply for Stanwell to support its power generation capacity.
But investors piling into the ASX All Ords stock today should take note that there is no guarantee the discussions will lead to any new agreements.
According to the miner:
Discussions between the parties are ongoing and incomplete. No final agreement has been reached on terms and there is no certainty that a transaction will result and, if a transaction does occur, when or on what terms such a transaction may occur.
Coronado said it would not comment further on the matter beyond its continuous disclosure obligations.
What's up with the new funding arrangement?
The $150 million new funding arrangement that saw the ASX All Ords stock close up 38.1% yesterday involves the refinancing of its existing asset-based lending (ABL) facility with Oaktree Capital Management.
The new funding agreement "reflects a clear confidence from a credible lender in the underlying value of our asset base and business fundamentals," Coronado's chief financial officer, Barrie Van der Merwe, said yesterday.
Despite the huge two-day surge, the Coronado share price remains down a painful 85% since this time last year.
