Sep 02, 2011 (The Namibian/All Africa Global Media via COMTEX) -- PERTH - Uranium hopeful Bannerman Resources, owner of the Etango uranium project in Namibia, have told delegates at the Africa Downunder conference that it was still engaging in discussions with its Chinese suitor Hanlong Mining, along with other potential development partners. Mining Weekly yesterday quoted CEO Len Jubber saying the company was exploring "all options to deliver the best possible outcome for shareholders". Privately-owned Hanlong bid A$143 million for the ASX- and TSX-listed firm on July 10, by offering A$0,612 cash per share. However, Bannerman declined its request for three months of exclusive talks saying the offer was too conditional. Some of the key conditions of the offer include Hanlong concluding a due diligence by the end of September, as well as major shareholder approval, board recommendation and the continuity of Bannerman senior management. Bannerman has previously reported that its discussions with Hanlong could take "some months". The feasibility study on Etango will be completed by next March. As part of the study, the company is investigating increasing the plant's throughput by 33 per cent, which would result in a 20 per cent production increase to between six million and eight million pounds a year, up from the original estimate of between five million to seven million pounds a year.
Copyright The Namibian. Distributed by AllAfrica Global Media (allAfrica.com).
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