Minmetals Resources Successfully Acquired Anvil

China Minmetals Corporation
 
2012-02-17
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On February 17, 2012, Minmetals Resources Ltd. (HKSE 1208), a subsidiary of China Minmetals Corporation, announced that it acquired over 90% of the shares in Anvil Mining Limited (Anvil) on February 16. This marked the transfer of controlling right of Anvil and the successful acquisition for Anvil. This also marked a solid step forward for its globalization. Through this move, Minmetals Resources incorporated its pure copper business into its diversified assets portfolio, promoting its steady development into a global mining company.

The acquisition involved a total of C$ 1.33 billion, or C$8.00 per share. After the acquisition, the production capacity of electrolytic copper of Minmetals Resources will increase by 60,000 tons annually, or 60 percent. In addition, there will be a considerable increase in its cooper reserves. Afterwards, Minmetals Resources will have 100% of the shares in Anvil through compulsory technical acquisition, and Anvil will complete its delisting from the Toronto Stock Exchange and the Australian Stock Exchange.

Headquartered in Africa, Anvil is a company engaged in the exploration and mining of basic metals. It held core assets, including 95% of the shares in Kinsevere Mine in Katanga Province, the Democratic Republic of Congo, and 70% of the shares in the Mutoshi Project, 14.5% of the shares in Mawson West Limited, and shares in many exploration assets in the Democratic Republic of Congo. The mineral assets of Anvil are mainly dominated by copper and cobalt. The acquisition will help increase Minmetals global supply of copper and cobalt and will play a positive role in easing Chinas shortage in metal and mineral resources.