(Adds details)
LONDON (Thomson Financial) - Cape Lambert Iron Ore Ltd said it has
terminated its agreement with Chinese investor and chairman of Singapore-listed
Delong Holdings Ltd, Ding Liguo, under which it had agreed to sell 70 pct in its
iron ore project for about 240 mln aud in cash.
The company believes some of the requested changes by Liguo to the original
terms and conditions of the sale agreement are not acceptable.
It added that Liguo has not satisfied the terms of the original sale
agreement and MOU with the company, and he has failed to obtain approval from
the Foreign Investment Review Board for the transaction.
Cape Lambert said that all further negotiations regarding the agreement have
ceased, and added that it will now recommence talks with other interested
parties.
All environmental, heritage, metallurgical and engineering work on the
project is nearing completion, the company said.
Following the helimag survey, the company believes it has uncovered several
large untested magnetic anomalies that have the potential to greatly increase
the size of the deposit at the project.
At 09.27 am, its shares fell nearly 14.74 pct, or 3.50 pence, to 20.50
pence.
TFN.newsdesk@thomson.com
bsu/cm2
COPYRIGHT
Copyright Thomson Financial News Limited 2007. All rights reserved.
The copying, republication or redistribution of Thomson Financial News Content,
including by framing or similar means, is expressly prohibited without the prior
written consent of Thomson Financial News.
|