Reuters quoted Continental Minerals said China Jinchuan Group Ltd had formalized its offer to buy the Canadian exploration company in a deal that values it at CAD 431 million.

The transaction announced in September is expected to close in February.

As per report, Jinchuan will pay CAD 2.60 a share in cash for the portion of the 166 million common shares outstanding it does not already own.

The Chinese mining group currently holds 11.7% of Continental while diversified Chinese miner Zijin Mining owns a 13.7% stake. Canada Taseko Mines owns a 5.1% stake in the company.

Holders of Continental preferred shares will receive 0.5028 of a Taseko common share for each Continental preferred share.

Continental main property is the Xietongmen copper gold project in China, which is expected to produce 116 million pounds of copper, 190,000 ounces of gold and 2.4 million ounces of silver annually.

(Sourced from Reuters)