Sundance, Hanlong closer to deal
Word is that Sundance Resources and Hanlong Mining are fast coming to an agreement on how much a Chinese takeover of the Perth-based Africa-focused iron ore hopeful should be worth.
Hanlong made a 50¢ starting bid last month but said any offer would be conditional, inter alia, on board support and regulatory sign-offs from the governments of Cameroon and Republic of Congo, where Sundance's Mbalam project is based.
Cameroon's president was in China late last month and met with senior officials as well as Sundance chairman George Jones. The message that Cameroon heard was that China was keen on the Mbalam project and would fund it, whichever way the takeover talks played out. Regulatory approval should therefore be a given.
It suggests that the only haggling left is over Hanlong's bid price, with investors keen to see the price pushed beyond 60¢ which would value Sundance at $1.7 billion.
Sundance closed at 52.5¢ on Friday.
Jones is due to present at Diggers on Wednesday morning, replacing his Sundance managing director Giulio Casello who has been dispatched to Cameroon.
