China Minmetals May Consider Sphere Bid, AFR Reports
Sept. 2 (Bloomberg) --
China Minmetals Corp., the nations largest metals trader, may seek to top Xstrata Plcs A$428 million ($389 million) agreed bid for iron ore developer Sphere Minerals Ltd., the Australian Financial Review reported, without citing anybody.
Minerals & Metals Group, the companys Australian unit, and its parent China Minmetals Nonferrous Metals Co. knows nothing about a bid, Melbourne-based spokesman Bruce Loveday said by telephone today. Thats not to say the ferrous side of the business may, or may not be involved, he said.
China Minmetals last year agreed to spend $1.39 billion to acquire zinc, copper, gold and nickel assets from OZ Minerals Ltd. Xstrata has offered A$2.50 a share, Perth-based Sphere said Aug. 24, recommending the bid to its shareholders. Sphere has three iron ore projects in Mauritania, West Africa, including half of the $1.65 billion Guelb el Aouj development.
Warrick Hazeldine, a Perth-based spokesman for Sphere, wasnt immediately available for comment. He Jinglin, a Minmetals spokesman in Beijing, said he has no related information. Fang Qixue, head of overseas investment, didnt return calls seeking comments.
China Minmetals was in April reported to be studying iron ore projects in Mauritania, the newspaper reported in its Street Talk column today, without saying where it got the information.
Sphere shares rose 2.4 percent to A$2.56 at 12:28 p.m. Sydney time on the Australian stock exchange.
To contact the reporter on this story: Ben Sharples in Melbourne at [email protected]
