https://www.miningweekly.com

FIRB approves Shandong/Cardinal deal

21st August 2020

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

Font size: - +

PERTH (miningweekly.com) – The Foreign Investment Review Board (FIRB) has given approval to Shandong Gold Mining to acquire ASX- and TSX-listed Cardinal Resources.

Shandong in July this year increased its takeover offer for Cardinal from the 60c a share offered in June this year, to 70c a share, after a competing bid from shareholder Nordgold emerged, which offered Cardinal shareholders 66c in cash for each of their shares held.

The board of Cardinal has maintained its backing of the Shandong offer, which valued Cardinal at around A$395-million on a fully diluted basis.

With the FIRB approval now in place, the Shandong offer still remained subject to a 50.1% minimum acceptance condition.

Cardinal holds an interest in a number of tenements within Ghana, and is currently focused on the development of its Namdini project, which has an ore reserve of about 5.1-million ounces.

A feasibility study into the project estimated that it would produce 4.2-million ounces of gold over a mine life of 15 years, with an estimated 1.1-million ounces expected over the first three years of the operation. Namdini is expected to cost $390-million to develop.

Edited by Creamer Media Reporter

Comments

The functionality you are trying to access is only available to subscribers.

If you are already a subscriber, you can Login Here.

If you are not a subscriber, you can subscribe now, by selecting one of the below options.

For more information or assistance, please contact us at subscriptions@creamermedia.co.za.

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION