05/22/2007 03:14:43 PM EDT SINOCAST CHINA BUSINESS DAILY NEWS
SHANGHAI, May 23, SinoCast -- China Special Steel Holdings Co. Ltd. (2889, HK) has just acquired Indonesia-based mining company S.E.A. Mineral Limited (S.E.A.) for HKD 2.73 billion. S.E.A. holds a 14-year exclusive right to exploit an Indonesian iron mine and nickel mine. It thus enables China Special Steel, a Hong Kong-listed and central Chinese Henan-based steel mill, to buy no less than 40 million-ton nickels and iron ores in the future 14 years, at a price of USD 16 each ton. The mine was blasted smoothly on May 16. While the first batch of iron ore with nickel of about 50,000 tons will be shipped in mid June. The metal ores will be used for China Special Steel to produce stainless products, insiders said. China Special Steel has issued 1.34 billion consideration shares and convertible notes to finance the acquisition mentioned above. Notably, Deutsche Bank AG, one of the three largest banks of Germany, subscribed to roughly 56.1 million shares. Cheers DW
