Mincor closes in on Independence’s Long mine. Sarah Thompson and Anthony MacdonaldMay 23, 2019 — 7.53amThere has never been a better time to own nickel sulphides, and David Southam looks set to get his hands on one of the Western Australia nickel mines that is enjoying a new lease on life thanks to the battery boom.Fresh from helping to steer Kidman Resources into the hands of Wesfarmers, Southam is now running Mincor Resources, which is set to snap up Independence’s Long mine in Kambalda.The sale price comprises $3.5 million of Mincor scrip with the scrip issued at 45¢, according to terms sent to fund managers on Thursday. Mincor shares closed on Wednesday at 43¢.Mincor's David Southam has inked an agreement to buy one of the most strategic nickel mines in WA. AFRIndependence will also take stock in a strategic placement - overseen by Petra Capital and Euroz Securities - leaving them with a stake in Mincor just below 5 per cent.The Long mine has been one of the most profitable nickel mines in Australia and was the backbone of Independence for many years. It is strategic for Mincor as it is next door to the company's Durkin mine and it may open up ore the miner couldn't previously get at.Related QuotesIGOIndependence Group$4.58-2.97%1 year1 day4.78 at Apr 19May 18Jul 18Apr 193.004.005.006.00Updated: May 24, 2019 — 4.11pmView IGO related articles MCRMincor Resources$0.462.22%May 18Jul 18Apr 190.300.350.400.450.50AdvertisementThe Australian nickel scene is full of opportunity at the moment, with BHP making it clear that they are short of enough nickel resource to run their downstream assets.BHP has responded by sending more drills out to its nickel acreage, but is likely to pursue other methods as well, from offtake agreements to joint ventures and maybe acquisitions.Independence, which currently supplies nickel from its Nova mine to BHP's nickel west operations in Kambalda, will retain an exposure to Long mine.The question is what role Mincor will play in Independence and BHP's future. Mincor could provide sulphide to Independence once its Nova mine life ends, while BHP could use Mincor's nickel for blending.Mincor closes in on Independence’s Long mine
May 23, 2019 — 7.53amThere has never been a better time to own nickel sulphides, and David Southam looks set to get his hands on one of the Western Australia nickel mines that is enjoying a new lease on life thanks to the battery boom.
Fresh from helping to steer Kidman Resources into the hands of Wesfarmers, Southam is now running Mincor Resources, which is set to snap up Independence’s Long mine in Kambalda.
The sale price comprises $3.5 million of Mincor scrip with the scrip issued at 45¢, according to terms sent to fund managers on Thursday. Mincor shares closed on Wednesday at 43¢.
Mincor's David Southam has inked an agreement to buy one of the most strategic nickel mines in WA. AFR
Independence will also take stock in a strategic placement - overseen by Petra Capital and Euroz Securities - leaving them with a stake in Mincor just below 5 per cent.
The Long mine has been one of the most profitable nickel mines in Australia and was the backbone of Independence for many years. It is strategic for Mincor as it is next door to the company's Durkin mine and it may open up ore the miner couldn't previously get at.
Related Quotes
May 18Jul 18Apr 193.004.005.006.00Updated: May 24, 2019 — 4.11pmView IGO related articlesMay 18Jul 18Apr 190.300.350.400.450.50AdvertisementThe Australian nickel scene is full of opportunity at the moment, with BHP making it clear that they are short of enough nickel resource to run their downstream assets.
BHP has responded by sending more drills out to its nickel acreage, but is likely to pursue other methods as well, from offtake agreements to joint ventures and maybe acquisitions.
Independence, which currently supplies nickel from its Nova mine to BHP's nickel west operations in Kambalda, will retain an exposure to Long mine.
The question is what role Mincor will play in Independence and BHP's future. Mincor could provide sulphide to Independence once its Nova mine life ends, while BHP could use Mincor's nickel for blending.
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