are the takeover talks about to recommence???

Are the games about to begin? Somebody give Rio a knock...

CGNPC expected to relaunch Kalahari offer -source
By Julie Crust

LONDON, Oct 7 (Reuters) - China Guangdong Nuclear Power Corp (CGNPC) is expected to relaunch its 270 pence a share offer for uranium miner Kalahari Minerals following a three-month block imposed by UK regulators.

"An announcement could come as soon as next week," a source familiar with the situation told Reuters, adding that the deal is expected to be on the same terms as an earlier 270-pence per share offer.

State-owned CGNPC was in talks in March to buy Kalahari for 290 pence a share. In the days following the earthquake and nuclear disaster in Japan, the companies agreed CGNPC could cut the price to 270 pence, but they failed to persuade UK regulators and CGNPC was forced to withdraw its informal bid.

A 270 pence bid would value AIM-listed Kalahari at just over 650 million pounds ($1 billion) and would represent a 14-percent premium to the current 236.3 pence share price.

Kalahari shares had closed at 226p the day before CGNPC withdrew its offer on May 11.

Kalahari holds a 43-percent stake in Extract Resources , owner of the Husab project in Namibia, which is potentially the second-largest uranium mine in the world.

Kalahari had not demanded payment of a 7.5 million pound break fee from its Chinese suitors after CGNPC was forced to drop its earlier offer, leaving the door open for a future move.

The UK Takeover Panel ruled in May that CGNPC could not announce a firm offer at 270 pence per share, even with the agreement of the Kalahari board, and would have to wait three months if it wanted to return with an offer lower than the original 290 pence a share proposal.

Opportunistic M&A deals are expected to pick up in the sector as current valuation levels for miners are edging closer to lows hit during the 2008 crisis, making potential targets cheap for cashed-up buyers. ($1 = 0.650 British Pounds) (Reporting by Julie Crust; Editing by Chris Wickham and Will Waterman)