Cape Lambert reviews possible acquisitions as rumours swirl
CAPE Lambert Iron Ore says discussions over potential acquisitions remain confidential and incomplete following reports the cash-laden iron ore play might have its sights set on the assets of embattled miners OZ Minerals and CopperCo.
According to a report on the Age website, Cape Lambert Iron Ore chairman Tony Sage said he was in discussions with brokers late last week who were 'touting assets from OZ Minerals' that were up for sale and had also received inquiries from the receiver of CopperCo about its assets.
In a statement today, Cape Lambert said it had reviewed a large number of investment opportunities and had held discussions with companies regarding potential transactions, however, discussions were confidential and remained incomplete.
'Should any discussions reach a more complete stage the market will be advised accordingly,' Cape Lambert said.
Cape Lambert currently has cash at bank of more than $220 million following the $400 million sale of its namesake iron ore project in the Pilbara to China(cnmining) Metallurgical Group Corporation.
OZ Minerals said last week it had a number of 'serious' expressions of interest from companies wishing to purchase its Martabe project and in respect of joint venture arrangements at Prominent Hill.
The miner also said it was confident the negotiations will lead to viable bids from the parties.
CopperCo ' which mines copper at the Lady Annie project in Queensland ' appointed administrators late last month after the company advised that a proposed financing transaction would not proceed.
Meantime, an initial drill program at Cape Lambert South is on track to be completed by mid-December with results to be received in early 2009.
An initial work program at its Marampa iron ore project in Sierra Leone will begin in January. This will involve regional mapping, geophysics, drilling and metallurgical testwork on the tailings and drill testing of the known geophysical anomalies.
Shares in Cape Lambert have gained 1c to 24.5c in early afternoon trade.
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