Is the AGM trading halt something to do with this latest deal,...

Is the AGM trading halt something to do with this latest deal, is it a t/o?

ASX ANNOUNCEMENT
21 April 2006
JINCHUAN SIGNS US$1 BILLION NICKEL OFFTAKE
AGREEMENT WITH ALLEGIANCE
Confirms strong market demand for new projects.
Emerging Australian nickel mining company, Allegiance Mining NL has executed an agreement
with China’s largest nickel company, Jinchuan Nickel Group Limited (“Jinchuan”) for the sale
of approximately US$1.3 billion worth of nickel-in-concentrates that will be produced from
Allegiance’s Avebury Nickel Project in western Tasmania. Jinchuan will provide financial and
technological support to the project so as to deliver maximum production as rapidly as possible.
The offtake agreement has the following features:
1. Includes all nickel concentrates produced from Avebury Resources announced on 9
November 2005.
2. Production estimates from these resources over the next 8-10 years totals approximately
70,000 tonnes of nickel metal contained in concentrates which, at prevailing nickel prices is
worth approximately US$1.3 billion (A$1.7 billion) in gross revenue before smelter charges.
3. We are advised that the smelter payments terms to Allegiance are amongst the highest paid
for nickel concentrates but the details are commercial-in-confidence. The increased revenues
that will arise from this contract are substantial.
4. These enhanced revenues arise because Avebury’s concentrates will be amongst the world’s
highest grade (above 20% nickel) and fit well with Jinchuan’s current expansion program
which will double its nickel production to 150,000 tonnes of nickel metal per annum by 2008.
5. For any nickel concentrates sourced from new resources outside the limits of the 9
November 2005 resources, Jinchuan will have the first right to enter into negotiations for
securing those additional concentrates.
6. Senior Jinchuan executives and technical experts have reviewed the project details for more
than three years and enthusiastically support Allegiance’s plans to commence construction.
JINCHUAN FINANCIAL SUPPORT
An A$5 million subordinated loan and the grant of 25 million options expiring in 15 months
with an exercise price of 28c has been completed. Jinchuan have expressed an interest in
participating in future capital raisings in support of the project.
JINCHUAN: CHINA’S LARGEST NICKEL PRODUCER; EXPANDING RAPIDLY
Jinchuan Group Ltd is a Chinese state owned company located in Jinchang, Gansu Province,
northwest China with assets of 18.6 billion RMB (US$2.3 billion) and 31,000 employees.