unloved, page-2

Hi Geo,

I'm very tempted to average down but I've been burnt before doing that with OZL.
This is the announcement the other day.
The way I read it NFC can't acquire more than 19.9% of TZN for the life of the agreement. Therefore no takeover for now.
When does the agreement expire?
I'm not sure.

NFC backs Terramin with placement under
A$50m Facility
Terramin Australia Limited (ASX:TZN) is pleased to
announce the placement of 12,300,000 shares to China
Non-Ferrous Metal Industry?s Foreign Engineering and
Construction Company Ltd (NFC). The placement price
will be $0.37 cents per share which is approximately a
30% premium to Terramin?s recent 15 day volume
weighted average share price (vwap).
The placement will fund initial programs for the Tala Hamza project and
further exploration at Terramin?s Angas Zinc Mine.
Terramin is continuing to assist WMZ with its preparations for a rapid
construction start-up at Tala Hamza post approvals, including evaluating
machinery to speed up development, training Algerian staff and engaging
with local communities.
At Angas, funds will be aimed at expanding the resource to extend mine
life. Drilling will focus on resource definition on the new Sunter shoot and
test for a deep offset of the Rankine-Garwood lodes. Off the mining lease,
recently discovered geophysical anomalies associated with lead-zinc
geochemistry will also be investigated.
The A$4.6 million placement is made under the terms of the A$50 million
subscription agreement between NFC and Terramin, as disclosed to the
ASX on 23 December 2010. Under the A$50 million subscription
agreement, Terramin has the right, but not the obligation, to issue shares to
NFC at a 30% premium to 15 day vwap at the time of subscription subject
to NFC?s agreement and any shareholders? approval if required. This
agreement also provides that NFC?s maximum shareholding is capped at
19.9%. Any placement made under this agreement has been approved by
FIRB and the NDRC.
NFC?s global construction and plant engineering capability is well regarded
globally in respect to both quality and price competitiveness.