Dragon Energy Limited (DLE) announced the acquisition of three iron ore projects from Polaris Metals N.L. (POL). Dragon said the projects comprise seven tenements totalling 596 kilometres squared and have potential to host large scale hematite and magnetite iron ore deposits. The company said the acquisition terms include aggregate cash payment of $450,000, 100% acquisition of both Ashburton and Milly Milly projects, 75% of iron ore rights and 100% other mineral rights for the Lee Steere project. Dragon said it would sole fund the first $1 million of iron ore exploration expenditure on Lee Steere, while Polaris retains a royalty right of $1.00 per tonne of iron ore mined, capped at $10 million aggregate for all three projects.
Incitec Pivot Limited (IPL) became the latest company to shun the Australian debt market, choosing to place US$800 million in unsecured notes into the US 144A bond market. The funds raised from the notes, issued with a coupon of 6% over 10 years, would be used to repay the remaining $352 million balance of the Company’s Working Capital Facility entered into in March 2009. The remainder would be used to pay back a portion of Incitec Pivot’s $1.68 billion Syndicated Facility entered into in September 2008.
Mining Projects Group (MPJ) said it has entered into a binding heads of agreement to acquire a 90% stake in Raptor Minerals (Pty) Limited for $1.89 million. MPJ said it considers Raptor’s granted prospecting rights located in South Africa have potential to host significant gold, uranium and molybdenum mineralisation. The company added that Raptor has a 70-74% interest in five prospecting rights, with three prospecting rights to be granted by the Departments of Minerals and Energy South Africa shortly. The acquisition remains the subject to relevant regulatory and shareholder approvals.
WorleyParsons Limited (WOR) said it has been awarded an engineering, procurement and construction management services contract for Spectra Energy’s Fort Nelson North Processing Facility Project located in Canada. The company said the project involves the design and construction of facilities, including a new natural gas plant, to process raw shale gas from the Horn River Basin area of northeast British Columbia. WorleyParsons said new natural gas plant would have the capacity to process 250 million cubic feet per day of inlet gas.
