Hopes fade on Ramelius’ takeover bid

Kalgoorlie Miner - - MINE TALK - Josh Chiat

Gold miner Ramelius Re­sources’ bid to wres­tle con­trol of ju­nior ex­plorer Ex­plau­rum has re­ceived an­other nail in its cof­fin, with the John Law­ton-led com­pany rec­om­mend­ing share­hold­ers turn the allscrip of­fer down in favour of an $8 mil­lion in­vest­ment from Alkane Re­sources.

Mark Zept­ner’s Ramelius had hoped to snare Ex­plau­rum and its 485,000 ounce Tampia Hill gold project near Narem­been in the Wheat­belt.

It would have left open the op­tion to de­velop the mine as base-load open pit feed for its Edna May gold mine near We­sto­nia, about 130km to the north-east of Tampia.

Ramelius has been dealt a se­ries of blows in its at­tempts to con­vince Ex­plau­rum share­hold­ers the 1-for-4 share of­fer is a good deal.

Last week the com­pany ended due dili­gence at Tampia, telling the mar­ket it would not stump up $24 mil­lion in cash to sweeten the deal and get it over the line.

This week an in­de­pen­dent ex­pert’s re­port from ac­count­ing firm BDO chalked up an­other loss for Ramelius, declar­ing the orig­i­nal of­fer was nei­ther fair nor rea­son­able.

Since launch­ing the bid in Septem­ber, Ramelius has strug­gled to make head­way and holds just 4.96 per cent of its tar­get.

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