Glencore delays Peruvian mining deal
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Glencore International has reportedly delayed the acquisition of a majority stake in copper miner Marcobre SAC.
Glencore, the world’s largest commodities trading company, announced in July that it had conditionally agreed to acquire a 70% interest in Marcobre S.A.C for a cash consideration of $475m (£304m) from CST Mining Group Limited.
Marcobre is the sole owner of the Mina Justa Project, a Peruvian copper deposit containing approximately 413.3 million tonnes of copper and with an expected mining life of 11.5 years.
Daniel Mate, the co-director of Glencore’s zinc, copper and lead department, originally commented on the suitability of such an acquisition: “Mina Justa would ideally complement Glencore’s existing polymetallic mining operations in Peru, and add significant value to our worldwide group of copper mining assets”.
However, in a statement today, Glencore confirmed that while it was “satisfied with its technical due diligence on the assets which it has undertaken to date”, the deal has been delayed.
The acquisition has been delayed until December as “certain conditions, including the completion of broader due diligence by Glencore, remain to be fully satisfied.”
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