Indophil hikes stake in Tampakan copper-gold project, Philippines
Source: Hoovers
metalsplace.com
Australia's Indophil Resources NL (IRN.AU) said Wednesday that it has increased its interest in the Tampakan copper-gold project in the southern Philippines to 37.5% by buying the 5% stake of Filipino partner Alsons Corp.
Under the arrangement, Alsons will exchange its 5% interest in the Tampakan project for newly-issued Indophil shares and cash payment.
Xstrata Copper, the copper division of the major global mining group Xstrata Plc (XTA.LN), will hold the remaining 62.5%.
"This is an excellent outcome for Indophil and its long-term partner Alsons. With Alsons emerging as a significant shareholder in Indophil, it is in both our interests to work closely together to develop the Tampakan deposit, and pursue other exploration and development opportunities in the Philippines," Indophil Managing Director Tony Robbins said in a statement.
The Tampakan deposit is one of the largest undeveloped copper-gold deposits in the Southeast Asian Western Pacific region.
A pre-feasibility study, completed in September, confirmed that the project is a 2 billion-metric-ton resource containing 11.6 million tons of copper and 14.6 million ounces of gold at a 0.3% copper cut-off grade, Indophil said earlier.
Construction and development of the mining project, to cost around $1 billion, could begin by 2008, while commercial production could commence by 2010.
Tampakan, located in South Cotabato province in the southern Philippines, is expected to have a mine life around 50 years. |
