PERTH (miningweekly.com) – Copper miner Tiger Resources has pulled the plug on the divestment of its assets in the Democratic Republic of Congo (DRC) to a Chinese consortium.
Tiger in January announced that it would sell its Kipoi mine and other assets in the DRC to special purpose vehicle Sinomine Fuhai (Hong Kong) Overseas Resources Investment for $260-million.
The companies also entered into a royalty deed, which entitled Tiger to receive royalty payments from revenue generated from the sale of copper and cobalt by Sinomine HK for an aggregate amount of up to $20-million.
Tiger on Friday told shareholders that the parties had been unable to reach terms that were acceptable to Tiger, despite an extension of the share purchase agreement termination date.
The company said that while negotiations with Sinomine HK had been continuing, Tiger had also been working on a new life-of-mine plan for the Kipoi copper assets, which would likely be completed within the next six to eight weeks.