PERTH (miningweekly.com) – ASX-listed Aeris has abandoned its $575-million plan to buy the CSA copper mine, in New South Wales, from major Glencore.
The company told shareholders on Monday that it had been unable to reach agreeable terms with the Swiss-headquartered major.
Aeris announced the planned acquisition last month and said, at the time, that it planned to fund the purchase through a combination of between $250-million and $300-million in debt, an equity capital raise of between $185-million and $240-million, and a silver stream of between $35-million and $40-million.
The underground CSA operation produces more than 1.1-million tonnes a year of copper and about 185 000 t/y of copper in concentrate, which contains 27% copper metal. The project also produces a silver co-product.
“While it is disappointing that the acquisition of the CSA mine couldn’t be completed, Aeris remains focused on its Tritton copper operations, the Torrens exploration project, and exploring growth opportunities, both organic and through merger and acquisitions,” said Aeris executive chairperson Andrew Labuschagne.
Aeris shares were trading nearly 11% higher on Monday, following the news.