Bloomberg reported that Sundance Resources Ltd subject of AUD 1.2 billion bid from Sichuan Hanlong Group rose the most in more than three months in Sydney after the Australian Financial Review reported the deal may succeed.

The Perth based developer of a USD 4.7 billion iron ore mine in Africa rose 15% to 41.5 cents at the 4:10PM close of Sydney trading the most since July 18. The stock was the third-strongest performer on the benchmark S&P/ASX 200 Index.

The AFR reported in its Street Talk column without saying where it got the information that China Hanlong which holds a 17.8% stake in its target may win a recommendation from Sundance in the next 10 business days after raising its 50 cents a share bid. Buying Sundance will give Hanlong control of the Mbalam iron ore mine, port and railroad project that straddles the border of Cameroon and Republic of Congo.

Mr Jill Thomas investor relations manager at Sundance wasn’t immediately available for comment when contacted by phone.

(Sourced from Bloomberg)