China Nonferrous Metal Increases Stake in Terramin

08-01 (Agencies) - China Nonferrous Metal Industry's Foreign Engineering and Construction Co said on Monday that it would increase its stake in Australian miner Terramin Australia Ltd in a deal worth 32.35 million yuan ($5 million), Reuter reported Monday.

Terramin will sell 12.3 million shares to China Nonferrous Metal at A$0.37 ($0.406) apiece in a private placement that would increase the holdings of the Chinese developer of non-ferrous metal resources to 19.86 percent from 14.38 percent, according to a statement to the Shenzhen Stock Exchange.

Terramin will use the share sale proceeds to develop two zinc and lead mining projects, the statement said.

Terramin posted a loss of A$9.875 million last year and its assets totaled A$147 million.