22/05/2009 - 15:37

Australasian mulls non-iron asset sale

22/05/2009 - 15:37

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Australasian Resources is considering selling its non-iron ore assets after a merger with Clive Palmer's Resource Development International was called off.

Australasian mulls non-iron asset sale

Australasian Resources is considering selling its non-iron ore assets after a merger with Clive Palmer's Resource Development International was called off.

Both companies had signed a merger agreement last year on the condition that Resources Development International (RDI) list on the Hong Kong stock exchange before March 31.

However RDI has so far not announced any definitive plans to list and the merger agreement lapsed in March.

As a result, Australasian today said it is considering various options with regards to its non-iron ore tenements including the Sherlock Bay nickel project.

"Following a review of these projects a decision may be made to sell the projects or demerge them from Australasian," the company said.

In addition, Australasian said it is continuing talks with a number of parties interested in an off-take, funding and investment arrangement over the $2.7 billion Balmoral South iron ore project.

Earlier this year, Chinese project partner Shougang missed a deadline to make an offer to finance the project.

Shougang had exclusive rights to make a finance offer for the project but since missing the deadline, Australasian widened its scope of financiers.

Shares in Australasian closed up 7.5 cents to 64c today.

 

 

 

 

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