Wyloo Metals has gained control of Mincor Resources after the Andrew Forrest-led company secured majority voting power.
Wyloo Metals has gained control of Mincor Resources after the Andrew Forrest-led company secured majority voting power.
In an ASX release, Mincor detailed that Wyloo bought more than 8 million shares at $1.40 each to lift its stake in the company to 51.24 per cent, up from 49.7 per cent previously.
Wyloo’s $760 million on-market takeover bid was first tabled on March 21.
Mincor directors unanimously recommended the $1.40 per share offer in the absence of a superior proposal on April 4.
The board’s decision came a day after Wyloo said the cash proposal was best and final, following revelations that the target's major customer, BHP, had refused to accept lower-grade ore from Mincor.
The small nickel miner said it had initiated discussions with BHP to potentially amend the offtake terms but that the mining giant would not agree to it.
Citing a lack of certainty regarding what product BHP would accept, Mincor withdrew its full-year nickel production guidance.
Today, Mincor released its financial year 2022 fourth quarter results to the market.
The miner produced 1,380 tonnes of nickel-in-concentrate during the March quarter, up 36 per cent from 1,015t in the previous quarter.
Total ore mined increased by 129 per cent from 45,029t in the December quarter to 103,309t in the March quarter.
Mincor’s net cash and cash equivalents for the period were $59.2 million, down from $85.5 million in the December quarter.
“With record mining rates achieved in March, we’ve exited the quarter strongly positioned to hit nameplate mining rates in the June quarter,” Mincor managing director Gabrielle Iwanow said.
“That is a great result against the backdrop of various operational challenges during the quarter including a primary vent fan failure at northern operations and issues with the mechanical availability of equipment.”
