British and Australian-run Regent Pacific has notified the Australian iron ore development company BC Iron Limited (BC Iron) that it is withdrawing its offer for the company's shares following the recent decision of the board of Regent Pacific in this regard.
Regent Pacific Board said that it made the decision based on the negative stance of Ukrainian billionaire Gennadiy Bogolyubov's Consolidated Minerals on the issue as reported on an internet blogger's site on February 13, 2011. Consolidated Minerals is the largest stakeholder in BC Iron.
As SteelOrbis previously reported, the offer, for the 81 percent of BC Iron that Regent does not already own, valued the Perth-based miner at AU$3.30 per share or AU$345 million in total.
The Nullagine iron ore joint venture project in the Pilbara region of Western Australia is equally owned by BC Iron Limited and Australian miner Fortescue Metals Group, and recently started production as well as export shipments.