Aspire surges on Noble investment

Shares in Subiaco-based coal explorer Aspire Mining have continued their stunning run, after a second international investment group acquired a significant shareholding.

Aspire announced today that Hong Kong-based commodities trading house Noble Group had acquired a 4.1 per cent interest in Aspire, sending shares up nearly 20 per cent to 73.5 cents at 1402 AEDT.

In late 2009, Aspire raised $2.65 million at 2.65 cents per share to buy the Ovoot coking coal project in northern Mongolia.

And in May last year, Aspire completed a $4.5 million placement at nine cents per share.

Noble's acquisition opens up the possibility for Aspire's other major shareholder, SouthGobi Resources, to increase its holding in the company.

SouthGobi currently holds 19.9 per cent of Aspire, as part of a strategic partnership agreement signed in October last year.

The terms of that agreement restricted SouthGobi's shareholding in Aspire to 19.9 per cent for two years, but stipulated those arrangements would be suspended if a competitor acquired more than one per cent of Aspire.

"Under the agreement, Noble is defined as a competitor, and SouthGobi has confirmed with Aspire that the standstill restriction has been suspended," Aspire Mining managing director David Paull said.

"The rest of the agreement with SouthGobi remains in place and we look forward to continuing our strategic alliance with South Gobi.

"The company is now in the fortunate position of having two significant coal companies who are both active in Mongolia on our register."

Aspire is currently undertaking drilling programs at Ovoot and is analysing infrastructure options for the mine, most notably rail access.