San Miguel Mulls Tender Offer To Acquire 100% Of Indophil
October 12 2010 - 1:15AM
Dow Jones News
Philippine conglomerate San Miguel Corp. (SMC.PH) said Tuesday
it may initiate a tender offer to acquire 100% of Indophil
Resources NL (IRN.AU), the Australian miner which owns a 37.5%
stake in the Tampakan copper-gold project in the country's
south.
Last week, San Miguel acquired a 10.1% stake in Indophil for $40
million via a share placement agreement involving 48 million new
shares.
A tender offer would be subject to the results of the due
diligence that the company will be conducting, San Miguel said in a
statement to the stock exchange.
The Tampakan project, controlled by Anglo-Swiss miner Xstrata
PLC (XTA.LN), has a total resource estimate of 2.4 billion metric
tons, with a grade of 0.6% copper and 0.2% grams a ton of gold.
The development cost of the project, touted to become the
Philippines' biggest mining project, is estimated at US$5.2
billion.
-By Rhea Sandique-Carlos, Dow Jones Newswires; 632-848-5051;
rhea.sandique-carlos@dowjones.com