WISCO partners with WPG to develop iron ore resources in Australia

2009-05-11 Wuhan

Wuhan Iron and Steel Corporation (WISCO), China's leading steel producer has recently signed a framework agreement with Australia-based WPG to jointly develop the iron ore resources in the center of South Australia. WISCO plans to acquire a 50 percent stake for AUD45 million (US$34 million) in WPG's Hawk Nest project, which marks another milestone for WISCO following its cooperation with Australia’s Centrex Metals in 2008. According to the agreement, WPG will issue additional 15 percent of its stake (12 million shares) for AUD0.25 (US$0.2) per share to WISCO, which will become the second largest shareholder of WPG.