Given that Xstrata paid $175m last year for EXS's Conclurry copper project. Now Xstrata is trying to buy AOH's share of the Roseby Copper project again, next door to Xstrata's copper operations in Mt Isa/Conclurry.
Xstrata could be a possible buyer of IVA. I prefer cash from Xstrata than OZL (those tighta$$es).
------------------------------------------------------ Altona and Xstrata fail to agree project price
Published 3:03 PM, 30 Jul 2012 Last update 3:03 PM, 30 Jul 2012 AAP
Australia's Altona Mining and global giant Xstrata may have to call in an independent expert, with the pair unable to broker a price for Altona's Roseby Copper project.
Anglo-Swiss miner Xstrata told Altona nearly a month ago that it intended exercising its option to buy a 51 per cent interest in the Little Eva project within the Roseby area.
Altona said in a statement that negotiations were continuing but it was yet to reach an agreement on the exercise price.
Valuations have ranged among brokers from $100 million to $180 million, with total project capital estimated at $320 million.
"Failing agreement, the process may ultimately result in a valuation from an independent expert to determine the price at which the option may be exercised by Xstrata Copper," the company said.
Roseby is located in north-west Queensland near the Xstrata-owned Mt Isa-Ernest Henry mines.
The area has 1.06 million tonnes of contained copper and 296,000 ounces of gold, according to Altona.
Little Eva was found to be capable of becoming a mine producing annually about 39,000 tonnes of copper and 17,000 ounces of gold.
Altona shares were flat at 27 cents at 1425 AEST, compared to 24 cents on July 2, before Xstrata that day revealed its plans to buy a stake.
Altona started production at its underground mine in south-east Finland in early 2012.
It produced 712 tonnes of copper and 734 ounces of gold during the June quarter at its Outokumpu mine, it revealed in its quarterly report on Monday.
