Possible change of control at UMC

Shares in Perth-based United Minerals Corporation have been placed in a trading halt pending an announcement over a potential change of control.

The company did not say when it is likely to come out of the trading halt.

Shares in UMC last traded at 91 cents.

Last month, UMC struck equity and offtake deals with state-owned steel buyer China Railway Materials Commercial Corp Group.

Under the deal, CRMC would emerge with an 11.38 per cent interest through the subscription of 20 million shares at $1.35 each and 2 million options at 10 cents each.

The placement was valued at $27.2 million.

UMC's flagship asset is the Railway iron ore project in the Pilbara, which has a resource of 158 million tonnes at a grade of 58.03 per cent iron.