Reuters reported that a spokesman for state owned metals trader China Minmetals Corporation was unaware of any discussions about taking over Hunan Nonferrous Corporation.

News agency Bloomberg had earlier quoted Mr Zhou Zhongshu president of Minmetals Corporation as saying that talks were going on between the 2 companies.

The 2 companies agreed a strategic cooperation pact in September 2008, by which Minmetals could buy up to 40% of Hunan Nonferrous Corporation from its top shareholder Hunan Nonferrous Group which holds 53.08% of the firm.

Mr He Jingling spokesman of Minmetals said that the company had not yet taken any stake in Hunan Nonferrous.

Hunan Nonferrous controls Zhuzhou Smelter which is China's top zinc producer and has 500,000 tonnes of zinc capacity and 100,000 tonnes of lead capacity. It also controls Hsikwangshan Twinkling Star, the top antimony smelter in the country which aims to produce 28,000 tonnes of the metal 2009.

(Sourced from Reuters)