Yanzhou Coal Mining Company purchased conditionally approved Australian by fdjerue7eeu

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									Yanzhou Coal Mining Company purchased conditionally approved
Australian
After three to Australia's Foreign Investment Review Board
review of applications submitted acquisitions, China Yanzhou Coal
Mining Company Limited (the "Yanzhou Coal Mining
Company") has finally won the Australian side of the
"nod" agreement, however, this approval was
conditional.

Yesterday, the Australian Government announced, has conditionally
approved the acquisition of Yanzhou Coal Mining, Australia spent 3.54
billion Australian dollars Felix Resources (Felix Resources Ltd.)
Application.

Felix is the Australian coal producer, based in Queensland state
capital Brisbane. The company's assets include four operating
mines in the coal mines, two coal mines under construction and three
exploration projects, coal and semi-soft coking coal varieties, blast
furnace injection of coal and steam coal. In addition, the company
also holds the third port of Newcastle Coal Infrastructure Group
(NCIG) 15.4% interest, and ultra-clean coal technology (UCC) patent
assets.

According to Felix as of June 30, 2009 the public disclosure of its
total coal resource unit for the 2.006 billion tons of proven and
presumed total reserves of 5.10 million tons; according to the actual
ownership interest in computing the amount of total resources 13.75
million tons, according to the actual calculation of ownership
interests and proved reserves of 386 million tons presumption.
August 13, Yanzhou Coal has announced 3.333 billion Australian dollars
(about 18.951 billion yuan) acquired 100% stake in Felix.

But a month later, Yanzhou Coal Mining Company was required to the
Australian Foreign Investment Review Board to submit a second
application for the acquisition, will acquire the main change to the
Australian subsidiary of Yanzhou Coal, purchasing funds have all
passed the Sydney branch of the Bank of China or by the lead
syndicated loans, without using the company's own funds. But
then the Australian Foreign Investment Review Board is still no
decision.

12th of this month, Yanzhou third time to the Australian Foreign
Investment Review Board review of applications submitted acquisition,
suffered "three palace", the Australian finally
approved the acquisition, however, was a precondition set a tough .

Australian Government announcement that one of the conditions is that
Yanzhou Coal through its subsidiary in Australia to operate coal mines
in Australia, and its acquisition of Australia Felix Resources and
must before the end of 2012 the Australian Stock Exchange market,
then, must be Yanzhou Coal stake to 70% or less, and promised to
appoint the chief executive officer and chief financial officer to the
Permanent Mission of Australia.

This, industry believes that this series of conditions that the
Australian state-owned enterprises in China in terms of acquisition of
Australian companies need to worry about more transparency.

The result of this approval, Yanzhou Coal welcome, but the company
said the acquisition of Australia Felix Resources also need regulatory
approval in China.

Recently, the Australian side of the Chinese enterprises to acquire
Australian mining companies to tighten the approval of another
phenomenon. At present, Baosteel acquired Australian iron ore miners
Aquila Resources, and in 15% of the shares acquired by Australia-based
maker Nufarm Ltd pesticide applications are waiting for approval of
Australia. Prior to that, there are a number of cooperation projects
in Australia due to approval delays led to lost time and eventually
defeat the best deal.

Australia's Foreign Investment Review Board senior officials
of the Patrick Division Fullmer held last month in Sydney,
"Australia-China Investment Forum" has expressed t
hope that foreign investors in large-scale mining enterprises in
Australia and not more than 15% stake in the new projects investment
does not exceed 50%. In particular, he urged the Chinese companies
signed a cooperation agreement with the Australian company, first
granted to the relevant advisory bodies to understand the
possibilities.

This was considered a tightening of overseas businesses in Australia
Australian investment, particularly state-owned enterprises in China a
sign of Australian investment. However, the Australian Finance
Minister Lindsay Tanner yesterday in Melbourne, Australia - China
Business Week luncheon speech, said the Australian Government very
much welcomes China's investment in Australia, but also know
that the development of national resources has an important role in
the industry, the Labour Government since November 2007 have been
approved since the ruling Chinese companies investment in Australia
amounted to nearly 35 billion Australian dollars.



Shan-Shan Chen First Financial Daily

								
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