Message Lun 5 Mar 2012 13:56

Jinchuan-Metorex deal ready to roll

Johannesburg, South Africa --- MININGREVIEW.COM --- 03 January 2012 - Copper and cobalt producer Metorex Limited’s listing on the Johannesburg Stock Exchange (JSE) is to be suspended from 9 January, the company has confirmed.

Providing a finalisation announcement regarding the R9.1 billion takeover by China's Jinchuan Group, Metorex said in a statement here that the last day to trade its shares on the local bourse would be 6 January.

“Metorex and Jinchuan are pleased to announce that all conditions precedent to the scheme and offer have been fulfilled,” the statement added.

Quoting I-Net Bridge, Miningmx reports that Jinchuan's closure of the deal seals its victory over Brazilian resources giant Vale, which made an offer for Metorex earlier in 2011.

Vale offered to buy Metorex for R7.35 a share in a deal that valued the local company at about R7.5 billion, but its offer was trumped by Jinchuan in July when the Chinese company bid R8.90 a share, which was 21% more than Vale's offer.

Metorex was founded in 1975 when the founding consortium including Malone acquired Rand London Mines, and over the years mined several diverse commodities including gold and coal.
The company was then listed on the JSE in 1999 and after several challenging years streamlined its business to become a copper and cobalt miner.

After selling its Sable Zinc operations in September, the company has its flagship operations at Ruashi ‒ a copper and cobalt mine located near Lubumbashi in the Katanga province of the Democratic Republic of the Congo (DRC) ‒ and Chibuluma, an underground copper mine situated west of Kitwe near the town of Kalulushi in Zambia.

Metorex also has three prospective base-metal growth projects in the DRC. These are the Dilala East, Kinsenda and Lubembe projects.

CEO Terence Goodlace said the delisting was an opportunity for the company to grow “further and quicker”.
Les LT vaincront !