Sandfire Resources (ASX:SFR) - MD and CEO, Karl Simich
MD and CEO, Karl Simich
Source: Sandfire Resources
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  • Sandfire Resources (SFR) has announced that the Spanish government has approved its US$1.86 billion (A$2.56 billion) proposal to acquire the MATSA Mining Complex in Spain
  • This approval satisfies the outstanding conditions for the Sale and Purchase Agreement, with the transaction to proceed towards completion on or around January 31
  • In mid-September, Sanfire announced it was planning to raise $1.28 billion to help with the acquisition of MATSA which hosts three underground mining operations
  • Sandfire said once MATSA was combined with its own DeGrussa Operation, it could produce up to 194,000 tonnes of copper equivalent in FY22
  • Shares in Sandfire are up a slight 0.61 per cent on the market and are trading at $6.63

Sandfire Resources (SFR) has announced that the Spanish government has approved its US$1.86 billion (A$2.56 billion) proposal to acquire the MATSA Mining Complex in Spain.

The applications were made to the Foreign Investment Authority and Competition Authority in Spain and satisfy the outstanding conditions for the Sale and Purchase Agreement (SPA)

This now means the transaction will proceed towards completion targeted on or around January 31, 2022.

MATSA is a large scale, long-life underground copper operation located in the Iberian Pyrite Belt of Spain.

In mid-September, Sandfire announced it was planning to raise $1.28 billion to help fund the acquisition of MATSA.

The MATSA Mining Complex hosts three underground mining operations which feed into a 4.7 million tonne per annum central processing facility.

Sandfire said once MATSA was combined with its own DeGrussa Operation, it could produce up to 194,000 tonnes of copper equivalent in FY22.

Further, the company said if all went according to plan, it would walk away from the deal as one of Australia’s largest copper producers.

CEO and Managing Director Karl Simich commented on the acquisition.

“The achievement of these key Government approvals in such a short space of time is a fantastic result, which satisfies all outstanding conditions precedent under the SPA, clearing the way for this transformational transaction to be completed,” Mr Simich said.

“With deposits paid and funding lined up for the balance of the acquisition consideration, we are poised to complete the transaction around the end of January 2022.”

Shares in Sandfire were up a slight 0.61 per cent on the market and were trading at $6.63 at 11:33 am AEDT.

SFR by the numbers
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