China Metallurgical, Minara to Jointly Bid for BHP's Nickel Mine

BEIJING, Dec. 1 -- China Metallurgical Group, the parent of China Metallurgical Co Ltd, intends to team up with Australia-based nickel miner Minara Resources Ltd to jointly bid for BHP Billiton's failed Ravensthorpe nickel operation in Western Australia, the Wall Street Journal reported yesterday, citing a source with knowledge of the matter as saying.

    The bidding process closed yesterday. Other bidders include Australia's Poseidon Nickel Ltd and Canada-based First Quantum Ltd.

    A BHP spokeswoman reiterated that the company is still weighting a divestment, a restart or a permanent closure.

    BHP started the US$2.1-billion mine last year, but closed it in January, because it struggled to achieve the production needed to turn a profit.

    Earlier this month, another potential Chinese bidder Jinchuan Group Ltd, the largest integrated nonferrous metallurgical and chemical engineering enterprise in Asia, reportedly withdrew from the bidding process.

    (Source: China Knowledge)