Xstrata Queensland Limited, a wholly owned subsidiary of Xstrata plc (XTA.L), said that it has entered into an agreement with Zijin Mining Group Co Ltd in respect of Xstrata's 19.9% stake in Indophil Resources NL.
As per the terms of deal, Xstrata has agreed to sell its shareholding in Indophil to Zijin for AUD 1.28 per share, subject to certain conditions. Indophil announced earlier this morning an agreement with Zijin with respect to a takeover offer for Indophil.
Indophil's only major asset is a 34.23% interest, with a right to acquire an additional 3.27%, in the Tampakan copper-gold project in the southern Philippines. Xstrata holds the remaining 62.5% interest in the Tampakan project which is managed by Xstrata's affiliate company, Sagittarius Mines Inc.
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