China's Pengxin in talks to buy Indonesian gold mine Martabe -WSJ

G-Resources

01/06/2018 10:28

June 1 (Reuters) - China's Pengxin International Mining Co
Ltd  600490.SS  is in advanced talks to buy Indonesian gold and
silver mine Martabe from a consortium led by EMR Capital, for
about $1.5 billion, the Wall Street Journal reported on Friday,
citing sources.
    Pengxin's deal for Martabe, a giant gold mine on the
Indonesian island of Sumatra, hasn't been finalised, the Journal
reported. https://on.wsj.com/2J2N0Jp
    Australia-based EMR Capital had spearheaded a consortium
­that bought 95 percent of the mine from Hong Kong's G-Resources
 1051.HK  in 2016 for $775 million.  urn:newsml:reuters.com:*:nL4N1KP2WS
    Many companies have shown interest in buying Martabe, which
has resources of 7.5 million ounces of gold and 67 million
ounces of silver.
    A Pengxin spokesman declined to comment on the matter, while
Martabe's majority owner EMR Capital was not immediately
available for comment.
    The other stakeholders in the mine are U.S. investment group
Farallon Capital Management, with a 20.6 percent stake, and
Indonesian billionaires Martua Sitorus with 11 percent and the
Hartono family with 7 percent.

 (Reporting by Ishita Chigilli Palli in Bengaluru and Muyu Xu in
Beijing; Editing by Gopakumar Warrier)
 ((Ishita.Palli@thomsonreuters.com; within U.S. +1 646 223 8780,
outside U.S. +91 80 6749 7087;))