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BIZCHINA> Top Biz News
China's Wuhan steel group to cooperate with Australian firm
(Xinhua)
Updated: 2009-07-21 13:24

Wuhan Iron and Steel (Group) Corp, a major iron and steel company in central China, signed an agreement with Australian Centrex Metals Ltd (CXM) on Monday for joint development of iron ore mines in southern Australia and other projects.

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Under the agreement that has yet to be approved by the two governments, CXM's listed company will issue 15 percent more shares to Wuhan Iron and Steel, making the Chinese company the second largest shareholder of the Australian company.

Wuhan Iron and Steel will pay A$216 million ($175.52 million) to gain 60 percent of the interests of the cooperation mine area, according to the agreement.

The cooperation ore mine covers about 600 sq km in southern Australia.

Deng Qilin, general manager of Wuhan Iron and Steel, said the strategic cooperation was a win-win deal under the current financial crisis.


(For more biz stories, please visit Industries)

 

 

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