ONEXIM Group Will Not Extend the Term of the Proposed Merger Between Intergeo and Mercator Minerals
The terms of the agreement included a completion date of May 5, 2014. Intergeo MMC Ltd. fulfilled all conditions necessary to complete the deal and had twice agreed to extend the deadline for completion of the transaction, most recently extending the deadline until July 31, 2014. However, as of August 1, 2014, one of the substantial conditions precedent of the deal has not been fulfilled. As a result, the transaction shall terminate automatically as of August 1, 2014.
Dmitry Razumov, General Director of ONEXIM Group said, “We are disappointed that, despite the efforts of our partners and ONEXIM, we were unable to complete the deal. That said, in the months since the start of our merger talks with Mercator Minerals, the international commodity markets has markedly improved, including the metals in the Intergeo portfolio. We intend to revise our estimates for Intergeo’s development potential and to explore options for development both as an independent entity and through a merger or combination.”
Intergeo is a diversified mining company. The company’s operations are primarily focused on the acquisition, geological exploration and development of fields of non-ferrous metal ore reserves. The company is a part of ONEXIM Group, which has extensive expertise in managing large, world-class mining companies, including Norilsk Nickel, Polyus Gold,and Uralkali. Since 2007, the company has invested over $200 million dollars into exploration and development of its deposits. The principal Intergeo project is the Ak-Sug open mine copper-porphyrite deposit in southern Siberia. The company also owns several other projects, including the large Kingash nickel-sulphide deposit, also located in southern Siberia.