West Perth-based minerals explorer Murchison United NL subsidiary Renison Bell Ltd will transfer its 50 per cent interest in the Maroochydore Copper project to another Murchison subsidiary.
West Perth-based minerals explorer Murchison United NL subsidiary Renison Bell Ltd will transfer its 50 per cent interest in its Maroochydore copper project to another Murchison subsidiary.
Murchison has offered Renison creditors, excluding itself, $170,000 and 12.5 million shares. The deal has been approved by the administrators, and will be recommended to creditors at their next meeting.
A Murchison-issued statement said that company directors were pleased that the asset would remain in the group, and that the copper assets could be strategically valuable to the company while it focused further on uranium mining.
The Maroochydore project, operated and 50 per cent controlled by Aditya Birla Minerals Ltd, is located approximately 100km south east of that company's Nifty Copper mine operations and 60km from the Telfer copper-gold mine.
Renison Bell, which went into administration in 2003, previously owned the Tasmanian tin mine of the same name.
The full announcement is pasted below
The directors of Murchison United NL are pleased to announce that the Deed Administrators appointed to Murchison subsidiary Renison Bell Limited have agreed subject to conditions, the transfer of that Company's interest in the Maroochydore Copper Project in Western Australia to a subsidiary of Murchison.
Renison Bell Limited prior to the appointment of Administrators owned the Renison Bell tin mine in Tasmania and a 50% share in the Maroochydore Copper Project. During Administration the tin mine operations were sold to a third party. To complete the divestment of Renison Bell assets Murchison has offered creditors (excluding Murchison) an amount of A$170,000 and 12,500,000 fully paid ordinary shares to enable the Company's share of the Maroochydore Copper Project to be transferred to a new subsidiary. The deed Administrators have agreed to the proposal and will be recommending the offer to the creditors at a meeting to be held prior to the 30th September 2006. Murchison will be eligible to vote at the creditors meeting. Based on Proof of Debts lodged and accepted to date, Murchison accounts for 55% of the creditors' in value. Once accepted by creditors, Murchison may convene a meeting of shareholders to approve the share issue.
The Maroochydore Copper Project is subject to a joint venture with Aditya Birla Minerals Limited who controls 50% and is the operator. The project is located approximately 100km southeast of their Nifty Copper mine operations and 60km south southeast of the Telfer copper-gold mine.
A summary of the Maroochydore Copper Project is reported on page 12 of the Aditya Birla Minerals Limited Annual Report for the year ended 31st March 2006.
The directors are pleased that the Maroochydore Copper Project is retained within the group. The Directors look forward to an effective business relationship with representatives of Aditya Birla Minerals Ltd.
While still remaining focused on a uranium strategy Murchison is mindful of the opportunities available from its two Copper interests, Maroochydore in Western Australia and the Millenium mining leases in Queensland. While the primary focus of Murchison is to progress the West African uranium properties the Directors are confident that the copper assets could be strategically valuable to a copper focused entity or a separately listed entity.
