News

Baosteel Resources Australia Pty Ltd (Baosteel) and Aurizon Operations Limited (Aurizon) (together the Bidders) refer to their notice to the ASX today that the Foreign Investment Review Board (FIRB) conditions to their joint offer to acquire 100% of the ordinary shares in Aquila Resources Limited (Aquila) for A$3.40 cash per share (the Offer) have been fulfilled.

The Bidders have today each received letters from FIRB (on behalf of the Commonwealth Treasurer) advising that there is no objection to the acquisition of Aquila by the Bidders pursuant to the Offer. The Offer remains subject only to a 50% minimum acceptance condition and those other limited customary conditions set out in Section 12.7 of the Bidders’ Statement lodged with the Australian Securities and Investments Commission (ASIC) on 14 May 2014.

There are no Chinese regulatory approvals or funding conditions associated with the Offer.

Commenting on the fulfilment of the FIRB conditions, Baosteel Resources International Co., Ltd (Baosteel Resources International) Chairman Mr Zhihao Dai said: “We are extremely pleased that the FIRB conditions for this transaction have been fulfilled, which further reduces the already limited conditionality associated with the Offer. Our compelling Offer provides Aquila shareholders with an opportunity to realise certain value for their Aquila shares at a significant premium to the Aquila share price prior to the announcement of the Offer. At the same time, Baosteel believes the transaction, if successful, provides a genuine opportunity for the development of greenfield resources for the benefit of both Australia and China.”

Aurizon Holdings Limited Managing Director & CEO, Mr Lance Hockridge said: “Aurizon welcomes FIRB's decision. The Offer is the first step in a potential pathway to co-investment in resources and greenfield infrastructure, representing a great opportunity to co-develop world-class rail and port infrastructure in Australia, and in the process generate new jobs, boost national exports and deliver to government significant royalty revenue.”

The Bidders’ Statement, which provides full details of the Offer (including reasons why Aquila shareholders should accept the Offer) is currently expected to be mailed to Aquila shareholders shortly.

Further information

Aquila shareholders with any questions in relation to the Offer are encouraged to call the Offer Information Line or visit the Offer Website, details of which are contained below.

Media Enquiries:
Greg Baxter
Newgate Communications
0419 461 368

Aquila Shareholder Enquiries:
Offer Information Line:
Within Australia (toll-free): 1300 309 589
Outside Australia: +61 2 8022 7902
Offer Website: www.aquilaoffer.com.au