HomeIndustrial MineralsENRC may bid for African Minerals

ENRC may bid for African Minerals

Frank Timis,
African Minerals
London, England — MININGREVIEW.COM — 11 January 2010 – Eurasian Natural Resources Corporation (ENRC) “’ a producer of ferroalloys and iron ore in Kazakhstan “’ is in talks that may lead to a bid for iron ore explorer African Minerals Limited.

“We still have a very good relationship with ENRC and we are still in discussions,” said African Minerals chairman Frank Timis, who owns 19.4% of the company. “They need to grow in iron ore.”

African Minerals, which is developing the Tonkolili iron ore project in Sierra Leone, first revealed in September that it was in discussions with London-based ENRC. “We are in talks with as many as four companies that may lead to an acquisition, investment, or supply accord,” Timis said in a phone interview with Bloomberg News. African Minerals said last week that it would sell a 12.5% stake and supply ore to China Railway Materials Commercial Corporation.

ENRC spokesman Edward Orlebar declined to comment.

ENRC expanded into Africa after agreeing in September to pay US$1.4 billion (R10.5 billion) for cobalt producer Central African Mining & Exploration Company. It is now in talks about a possible bid for South Africa’s Mvelaphanda Resources Limited, according to Miningmx. ENRC plans to buy its founders’ African assets for as much as US$2 billion (R15 billion), the Independent on Sunday has reported.