It is reported that Kangaroo Resources investors will vote on a USD 277 million deal that will result in one of Indonesia biggest coal producers getting a backdoor listing via the Perth based miner.
Shareholders in Bayan Resources have already approved the deal, under which the USD 7 billion Indonesian group will emerge with about 57% of Kangaroo. Bayan which will vend its 3.8 billion tonne Pakar coal project into Kangaroo has also suggested it could use the ASX-listed group as a vehicle to acquire other coal assets likely in Australia.
Kangaroo's coal projects are in Indonesia, where it has one producing mine but has struggled operationally. It hopes that Bayan's involvement it would take over as manager of all operations will allow it to bring another two projects into production by the end of the year.
Controlled by billionaire Dato Low Tuck Kwong, Bayan owns coal mines across Indonesia as well as a 15 million tonne a year coal terminal. Ultimately Kangaroo hopes to have four production hubs in East Kalimantan coking coal from Mamahak and Kubah Indah and thermal coal from Pakar and GPK.
Assuming the Bayan deal is waved through by Kangaroo investors as expected, management plans to kick off an interstate and global road show later this week.
1. GGG Resources has extended its USD 95 million takeover bid for Auzex Resources to July 4, ensuring at least a few more weeks of hostilities between the estranged joint venture partners.
Having previously held merger talks both parties agree on the logic of bringing the WA Bullabulling gold project under one owner but disagree on how that should be accomplished.
Auzex rival plan to that of GGG would result in Auzex spinning off its non-Bullabulling assets and dual list on London's Alternative Investment Market.
Deloitte's independent expert report found the seven-for-five scrip offer was neither fair nor reasonable.
2. Mantra Resources' decision to back a discounted USD 1 billion takeover offer from the mining arm of Russia's state atomic energy group was last week looking like a savvy one after the Tanzanian Government suggested it could introduce a windfall mining tax.
Rosatom initially agreed to pay USD 1.2 billion but cut the offer price after Japan's nuclear crisis.
(Sourced from au.news.yahoo.com)
