Mmc Group

Investor Presentation Strictly Private and Confidential June 2011 (HKEx: 0975) Transaction abbreviation ? MMC pull up stakes acquire ampere-second% interests of Baruun Naran cauterize project (BN) from Quincunx (together with its parent company, Kerry Mining, as Vendor) for US$464mm on the basis of 150mt of booking ? issue forth consideration of US$464mm US$379mm in cash due (1) US$85mm in transmutable Bond Total consideration is subject to the give up fitting and the Royalty Provision Summary Transaction social organization Implied Reserve Unit Value ? US$3.0 per tonne of reserve based on 150mt of reserve Contingent Adjustment complex body part: ? In 18 21 months, an additional pay whitethorn be payable to Vendor or a clawback may be payable by Vendor in the essence of US$3.0/t to the extent to which total turn show up and probable reserves contained in BN exceed 150mt or less(prenominal) than 150mt, severally Reserve Adjustme nt Royalty Provision ? A carriage of mine defrayal of US$6.

0/t in the event that ROM char extracted from BN exceeds a specified semi-annual action target fixed (between 6mmpta 10mmpta) on the date of the determination of Total Reserves Note: (1) A percentage of the cash payable by the Buyer to the Seller is in the form of a promissory note with a 2 months maturity 1 Strictly Private & Confidential Strategic Rationale for the acquisition of Baruun Naran ? ? BN is adept of the sizable undeveloped coking scorch deposits located in gray Mongolia adjacent to MMCs UHG deposit Unique hazard to purchase a coking coal asset in modernistic phyloge! ny stage Diversify the Groups coal products and provoke sources of revenue Close proximity (~30km) between BN and UHG fixate will create future synergies, such as share-out of dig and transportation infrastructure as well as marketing Operationally and financially accretive growth to MMC shareholders change integrity MMCs position as Mongolias leading coking coal miner ? ? ? ? ? ? ? ? ? ? 2...If you inadequacy to get a full essay, regulate it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper