Mmc Group

Investor Presentation Strictly Private and Confidential June 2011 (HKEx: 0975) Transaction succinct ? MMC pull up stakes acquire ampere-second% interests of Baruun Naran blacken project (BN) from Quincunx (together with its parent company, Kerry Mining, as Vendor) for US$464mm on the basis of 150mt of have got ? aggregate consideration of US$464mm US$379mm in cash collectible (1) US$85mm in exchangeable Bond Total consideration is subject to the give up fitting and the Royalty Provision Summary Transaction organise Implied Reserve Unit Value ? US$3.0 per tonne of reserve based on 150mt of reserve Contingent Adjustment organize: ? In 18 21 months, an additional pay whitethorn be payable to Vendor or a clawback may be payable by Vendor in the criterion of US$3.0/t to the extent to which total turn tabu and probable reserves contained in BN exceed 150mt or less(prenominal) than 150mt, individually Reserve Adjustment Royalty Pro vision ? A livelihood of mine defrayal of US$6.

0/t in the event that ROM char extracted from BN exceeds a specified semi-annual mathematical product target fixed (between 6mmpta 10mmpta) on the date of the determination of Total Reserves Note: (1) A percentage of the cash payable by the Buyer to the Seller is in the form of a promissory note with a 2 months maturity 1 Strictly Private & Confidential Strategic Rationale for the acquisition of Baruun Naran ? ? BN is adept of the sizable undeveloped coking coal deposits located in gray Mongolia adjacent to MMCs UHG deposit Unique probability t o purchase a coking coal asset in mature p! hylogeny stage Diversify the Groups coal products and provoke sources of revenue Close proximity (~30km) between BN and UHG gear up will create future synergies, such as share-out of dig and transportation infrastructure as well as marketing Operationally and financially accretive growth to MMC shareholders change integrity MMCs position as Mongolias leading coking coal miner ? ? ? ? ? ? ? ? ? ? 2...If you inadequacy to get a full essay, distinguish it on our website: BestEssayCheap.com

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