Intex Resources Plummets as Funding Deal Expires: Oslo Mover
Intex Resources ASA (ITX), the Norwegian miner exploring for nickel in the Philippines, fell the most in more than two years after a deal to find partners to share the cost of developing the Mindoro Nickel project expired.
Shares in the Oslo-based company fell as much as 20 percent, the biggest fall since Aug. 27, 2010, and were down 8.9 percent at 3.37 kroner as of 12:45 p.m. in the Norwegian capital. More than 1.5 million shares have traded so far today compared with a three-month daily average of 186,097 shares.
A contract with MCC8 Group Co. signed May 3 for the Chinese company to arrange funding and take operational responsibility for the project expired yesterday and was not extended, Intex said in a statement today. It lacked “necessary flexibility to unite multiple parties and stakeholders in the project.”
Intex is looking for partners to help share the cost of developing Mindoro, estimated at about $2.5 billion in a 2010 feasibility study by Aker Solutions ASA. (AKSO) The result of drilling and assay tests at the Kapawa and Alag-ag areas of Mindoro indicated a bigger and higher-quality resource, the company said Aug 6.
Intex, which also has licenses for a diamond mine in Greenland and a molybdenum project in Norway, reiterated on July 19 a target to find funding for Mindoro through the MCC8 deal within six months after signing. It also received interest from potential buyers of the project, it said at the time.
Intex has begun talks with listed groups on the Hong Kong and Singapore exchanges to evaluate necessary requirements and alternatives for listing Mindoro Nickel, the company said today.
To contact the reporter on this story: Stephen Treloar in Oslo at firstname.lastname@example.org
To contact the editor responsible for this story: Christian Wienberg at email@example.com