China Railway, Tongling Make $651M Bid for Corriente Resources

Vancouver, British Columbia 12/30/2009 03:50 AM GMT (TransWorldNews)

China Railway Construction Corp. and Tongling Nonferrous Metals Group Holdings Co. have offered C$679 million ($651 million) for Canada’s Corriente Resources Inc., according to Bloomberg


The move is expected to help the two companies gain copper resources in South America, a region they have already entered in order to maintain supply for the world’s largest economy.


Open Water Investments is a online financial portal focusing on the small cap and micro cap markets.

Sign Up for our Free Newsletter

Open Water Investments offers a free penny stock newsletter to members; the newsletter provides stock alerts exciting growth companies.


Corriente shareholders will receive C$8.60 per share in cash, which is 14 percent more than the last traded price of the company.


China Railway Construction, China’s biggest railroad builder, and Tongling, the nation’s second-largest copper producer, would gain mining rights to 17 deposits in the Ecuador’s four main mining regions of Mirador, Mirador Norte, Panantza and San Carlos.


Corriente said in May that the company planned to spend $418 million on start-up of its Mirador mine and was in talks with a partner that might invest as much as $3 billion. Corriente’s reserves in Ecuador hold about $50 billion worth of copper based on prices of about $2 a pound.


Corriente shares closed at C$7.55 on the Toronto stock exchange on Dec. 24 and have risen 102 percent in the past year. Canadian markets were closed for a holiday yesterday.


China Railway dropped 0.3 percent to HK$9.87 in Hong Kong trading before the announcement. The stock has fallen 14 percent in the past year. Tongling stock, which has more than tripled in the past 12 months, rose 2.7 percent on the Shenzhen stock exchange.


Click Here to receive Open Water Investments' Penny Stock Newsletter for FREE. Investors interested in receiving small cap stock alerts through the penny stock newsletter published by Open Water Investments can also sign up for free in the frame at the bottom of this page.


About Us


Open Water Investments is a leading penny stock web site with experience in the over the counter markets, providing stock alerts, picks and exclusive research on small cap stocks.


Please click here to read our full disclaimer.


News Alerts

Receive alerts for Open Water Investments to your inbox. Sign up for News Alerts

Empty Image

TransWorldNews, Inc. and its affiliate sites disclaim all liability for information and content provided by clients and appearing within their news and press releases.

Empty Image