another week, page-7

Australasian still in funding talks
10th July 2009, 11:00 WST

Negotiations between Australasian Resources and its would-be Chinese funding partner Shougang look set to drag on for another week.

The Clive Palmer-controlled Australasian said today it remained in negotiations with Shougang and expected to make an announcement by July 17.

Australasian was forced to cast a wider net for a funding partner at its Balmoral South project at Cape Preston after exclusive talks with Shougang ended three months ago.

Under the groups’ original agreement, finance should already have been in place and construction of the project started earlier this year.

Although Australasian has been pursuing negotiations with other interested parties, it has also remained in talks with Shougang, which is understood to be interested in maintaining an involvement in the project. However, an extended project financing agreement between the two expired last week.

KATE EMERY

http://www.thewest.com.au/default.aspx?MenuID=3&ContentID=154334