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Indian state group seeks mining assets in Mozambique

Construction underway
at the Sunflag iron ore
project in Mozambique
7 May 2012 – Indian state group NMDC Limited is looking into the possibility of acquiring mining assets in Mozambique and in Brazil from another Indian company “’ the Sun Flag group’s Sunflag Iron and Steel Company Limited, according to the Indian trade press.

Macauhub News Agency reports that the NMDC group has already signed a memorandum of understanding to acquire from Sunflag Iron and Steel a 15% stake in an iron ore project in South Africa.

Last April NMDC also signed a memorandum of understanding to buy Amplus, a Brazilian mining company, under the terms of which it will initially invest between US$10 and US$15 million to buy a 26%, stake followed by later acquisition to a total of 50%. The main asset involved is an iron ore deposit with estimated reserves of 1.5 billion tonnes.

And in August 2011 the group acquired a 50% stake in Australian mining company Legacy Iron Ore for US$100 million, and at the time set up an Australian subsidiary to manage the business and seek out other local investment opportunities.

Source: Macauhub News Agency. For more information, click here.