WA Today reported that the future just got brighter for an emerging Australian magnetite iron ore region, with Mitsubishi emerging as a AUD 325 million white knight for the troubled Murchison Metals' half of the West Australian Oakajee Port and Rail project.

Murchison's shares have been frozen all week, while talks with Mitsubishi Development, a subsidiary of Japan's largest general trading company Mitsubishi Corporation, progressed, and speculation over the identity of the potential buyer spread through the business community.

Murchison has also sold its half of Crossroads Resources, the owner of Jack Hills iron ore mine to the company.

The AUD 325 million deal is still only a conditional sale agreement subject to a Murchison shareholder vote expected in February.

The other halves of the Oakajee project and Crossroads Resources were already held by Mitsubishi.

Murchison put its 50% stakes in the AUD 6 billion Oakajee project and Crossroads up for sale in July after it revealed it could not pay its way.

(Sourced from watoday.com.au)