Inmet offer made on Petaquilla lost appeal
Article in PANAMA AMERICA today 10 09 2012
10 | 09 | 2012
The proposal is 48 cents per each of the 221 million shares held by Petaquilla Gold. The mining company's shares were valued last week surpassing the offer.
Production plant Petaquilla Gold, located in the district of Donoso, from which are extracted 7000 ounces of gold per month.
Rafael E. R. Berrocal (Rafael.berrocal @ epasa.com) /
PANAMA AMERICA
FIGURES AND OFFER FOR MINING PROJECT
221 million shares outstanding has Petaquilla Gold, Petaquilla Minerals subsidiary.
114 million represents the total Inmet offer on Petaquilla Gold.
110 is the billion turnover this year expected to reach Petaquilla Gold.
Inmet Mining, based in Canada and owns copper granting Donoso, Panama, has hit the market with a hostile bid to take 100% of the shares of the gold mine of Petaquilla Gold, which has so far bookings projected through 2025.
30% of these shares are held by Panamanian investors.
Inmet bid 48/100 for each of the 221 million shares held by its subsidiary Petaquilla Minerals in Panama, Petaquilla Gold. That is, $ 114 million for the entire operation of Petaquilla Gold, which compares with the value of gold produced by the mine in a year.
The surprise bid sent shares of Petaquilla Gold up on the Toronto Stock Exchange 6.8% between Thursday and Friday, and escalations of 38/100 to 62/100, well above the price proposed by Inmet.
Sources involved in the sector argue that buying interest in Petaquilla Gold is becuase this company has the concession of several areas in the district of Donoso needed to be developed by Inmet copper, through its local subsidiary Minera Panama.
Petaquilla Minerals commented on Inmet's hostile bid, warning that its shareholders have yet to receive a formal proposal and said that the attempt to purchase does not include the gold award in Spain.
"Petaquilla Minerals Ltd. is in the process of evaluating the announcement of Inmet and we have asked our shareholders to take no action until the company has reviewed the formal offer when it is filed," said the gold mine.
The mine production reached 7,000 ounces per month. This year its estimated to generate more than $110 million in gold.
