JOHANNESBURG (miningweekly.com) – Uranium miner Paladin Energy on Wednesday said it had not received an appraisal notice from China National Nuclear Corporation (CNNC) Overseas Uranium Holdings (COUH), regarding the purchase of Paladin’s share in Langer Heinrich Mauritius (LHMHL), the holding company of the Langer Heinrich mine, in Namibia.
Paladin, via Paladin Finance, has a 75% interest in LHMHL, with the remaining 25% held by COUH.
Under the shareholder’s agreement between Paladin Finance and COUH, COUH is entitled to buy Paladin Finances’ interest in LHMHL in certain solvency-related scenarios.
Paladin on December 8, 2017, entered into a deed of company arrangement (DOCA), under which it would undertake a debt-for-equity swap, raise $115-million and relist on the ASX. Under the terms of the DOCA, 98% of the company’s shares have been transferred to creditors, with the balance held by shareholders.
In the event that the signing of the DOCA had triggered COUH’s option to buy LHMHL, COUH had been given 60 days to issue an appraisal notice requiring a valuation process by an independent expert as the first step towards potentially exercising the option.
The 60-day period ended on February 6.