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116092
Sun, 04/11/2010 - 18:59
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http://m.oananews.org//node/116092
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INDEPENDENT DEVELOPMENT PLAN FOR OYU TOLGOI COPPER MINE
Ulaanbaatar, /MONTSAME/. An independent development plan for the Oyu Tolgoi copper mine in Mongolia is slated to be announced after a shareholder meeting in May, the executive chairman of Ivanhoe Mines Ltd. said Thursday.
Ivanhoe is now looking at "a number of interesting alternatives to enhance our shareholder value," Robert Friedland told the CRU copper conference. Ivanhoe has hired Citigroup Inc. (C) and Hatch Corporate Finance, a London-based mining adviser, to explore financing options.
The project recently got the green light from the Mongolian government when a 50-year investment agreement was finalized.
The investment agreement gives Oyu Tolgoi project shareholders the right of first refusal to purchase any shares if Ivanhoe or the Mongolian government wish to sell them, and gives Ivanhoe or the government the same right should shareholders wish to sell, Friedland said.
On Monday, Ivanhoe announced a separate shareholders' rights plan that is intended to prevent any "creeping" or hostile takeover of Ivanhoe Mines Ltd., the parent of OT LLC, which also holds other projects and interests, including in Ivanhoe Australia and SouthGobi Energy Resources. Shareholders need to vote to approve this in May.
The government of Mongolia has a 34% stake in OT LLC, while Rio Tinto PLC owns 22.4% in Ivanhoe Mines and has the right to boost its stake to 46.6% in the course of the next couple of years, Friedland said.
Rio Tinto last month increased its stake from 19.7% for $232 million, and Ivanhoe used the proceeds to acquire critical mining and milling equipment for the project, Friedland added.
S. Batbayar
Ivanhoe is now looking at "a number of interesting alternatives to enhance our shareholder value," Robert Friedland told the CRU copper conference. Ivanhoe has hired Citigroup Inc. (C) and Hatch Corporate Finance, a London-based mining adviser, to explore financing options.
The project recently got the green light from the Mongolian government when a 50-year investment agreement was finalized.
The investment agreement gives Oyu Tolgoi project shareholders the right of first refusal to purchase any shares if Ivanhoe or the Mongolian government wish to sell them, and gives Ivanhoe or the government the same right should shareholders wish to sell, Friedland said.
On Monday, Ivanhoe announced a separate shareholders' rights plan that is intended to prevent any "creeping" or hostile takeover of Ivanhoe Mines Ltd., the parent of OT LLC, which also holds other projects and interests, including in Ivanhoe Australia and SouthGobi Energy Resources. Shareholders need to vote to approve this in May.
The government of Mongolia has a 34% stake in OT LLC, while Rio Tinto PLC owns 22.4% in Ivanhoe Mines and has the right to boost its stake to 46.6% in the course of the next couple of years, Friedland said.
Rio Tinto last month increased its stake from 19.7% for $232 million, and Ivanhoe used the proceeds to acquire critical mining and milling equipment for the project, Friedland added.
S. Batbayar
