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Australia: Mining Giant Minbos in A$20m merger with Angolan partner

 |  December 5, 2016

ASX-listed junior Minbos has signed a nonbinding term sheet to buy its Angolan joint venture partner, Petril Phosphate, in a transaction valued at about A$20-million.

Under the proposed merger of equals, Minbos will acquire all shares in Petril in a mostly scrip transaction, that will result in Petril and Minbos shareholders each owning about 50% of the enlarged company.
Petril shareholders will also be paid a structured royalty on any future production from Petril’s Lucunga project. In addition to the Lucunga project, Petril also owns the Pedra de Feitico project, on the banks of the Congo river.

Minbos and Petril jointly own the Cabinda phosphate project, which is currently undergoing a bankable feasibility study. The 391.3-million-ton project, with an estimated ten-year mine life, spreads across the southern part of the Republic of Congo, the north-western part of Angola and the western part of the Democratic Republic of Congo.

Full Content: Mining Weekly

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