On August 1, Sichuang Province-based Chinese industrial conglomerate Sichuan Hanlong (Group) Co. announced that its subsidiary Hanlong Mining has received approval from China's National Development and Reform Commission (NDRC) for a takeover of Australia-based miner Sundance Resources.
The conditions include a reasonable acquisition price and that Hanlong secures equity and debt funding from relevant banks.
Sundance shares have been suspended from trade amid reports Hanlong Mining has lowered its $1.65 billion takeover offer. The lower offer price would value Sundance at A$1.5 billion. Hanlong Mining already owns 17 percent of Sundance.
Sundance is currently developing the $4.7 billion Mbalam iron ore project on the border of the republics of Congo and Cameroon in western Africa. The project, which also involves construction of a 510 km rail line and a deep water port, is expected to produce 35 million mt of iron ore per year.