The Proactive Network: FULLER TREACY MONEY StockTube
Proactive Investors - Run By Investors For Investors

Viking Ashanti close to wrapping up takeover of Auminco

Viking Ashanti (ASX: VKA) is drawing closer to securing full control over takeover target Auminco Mines after receiving acceptances for 97.08% of the unlisted coal development company.

The takeover offer period has been extended a further 14 days to Friday, 6 June 2014.

Viking has already received a significant endorsement with the securing of a future coal supply agreement with a Mongolian Government power authority for the Berkh Uul Bituminous Coal Project in northern Mongolia.

Auminco holds the Berkh Uul project that is located next to a rail link that connects with Russian markets, and provides quick access to domestic power plants and industrial users at Darkhan and Ulaanbaatar.

It has JORC resources of 38.3 million tonnes of high quality, open pittable unwashed bituminous coal.

Successful production at Berkh Uul would provide significant cash flows to develop the remainder of the combined group's portfolio as well seek out further production and near term production opportunities

Takeover Offer

Under the terms of the offer, which was launched earlier this year, accepting Auminco shareholders will receive 60.6 Viking Shares and 20.2 Viking Options for every 100 Auminco Shares held.

Auminco shareholders will emerge with a 47% stake in Viking, and play a major role in the evolution of Viking as a participant in the Mongolian thermal and coking coal markets.


Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.


View All

Related Articles

IronRidge Resources starts life on AIM

Africa-focused iron ore explorer IronRidge Resources (LON:IRR) has started its first day of dealings on London's junior market.

As the trading session began on AIM, shares were quoted at 10.75p.

Alecto Minerals has unveiled a 28% increase in the gold resource on the Gourbassi area of its Kossanto Gold Project in Mali. It now has an independently verified 247,000 ounces at an average grade of 1.14 grams per tonne.

© Proactive Investors 2015