Chinese state owned GMR has signed a deal to buy 25 per cent of KBL Mining Limited’s
(ASX:KBL) Mineral Hill Mine and Iron Duke project for $80 million.
The Chinese investors will also purchase a 15 per cent stake in mine owner KBL, and the right to buy the Mineral Hill Mine’s copper output at a 25 per cent discount.
The funds will allow the mine to be upgraded and expanded, as well as the exploration of other potential gold and copper sites, and other projects.
The deal is subject to shareholder and government approval.
KBL posted a loss of $3 million for the year to June 30, 2011.
