Wyloo

Wyloo to acquire Mincor Resources and become a major nickel sulphide producer

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Wyloo now owns 90.87% of Mincor’s shares.

  • On completion of its on-market takeover offer at close of trading today, Wyloo will own more than 90% of Mincor’s shares and will proceed to the compulsory acquisition of Mincor.
  • This transformative acquisition will turn Wyloo into an integrated nickel producer, with high-grade nickel production from Kambalda feeding a future downstream processing plant in Kwinana.
  • Kambalda is set to be reinvigorated as Wyloo invests in the exploration and assessment of the Kambalda and Widgiemooltha Domes.
  • Combined with its Canadian assets, Wyloo’s nickel portfolio now boasts an impressive combination of production, processing, development and exploration projects – all in the tier one jurisdictions of Australia and Canada.

Transaction update
Wyloo Consolidated Investments Pty Ltd (Wyloo) provides the following update in relation to its on-market takeover offer (the Offer) for all of the shares in Mincor Resources NL (ASX:MCR) (Mincor) that it does not already own.

As of close of trading on the ASX on Tuesday 4 July 2023, Wyloo has an interest and voting power in approximately 90.87% of Mincor.

The Offer period will end at the close of trading on the ASX today, Wednesday 5 July 2023. At this time, Wyloo will have a relevant interest in more than 90% of Mincor shares and will have acquired more than 75% of the Mincor shares that it offered to acquire under its Offer. Accordingly, Wyloo will then proceed to the compulsory acquisition of the remaining Mincor shares under the compulsory acquisition provisions of the Corporations Act 2001 (Cth) (Corporations Act).

Compulsory acquisition will be on the same terms as those offered by Wyloo under the Offer, which means that remaining shareholders will receive $1.40 cash per Mincor share.

Delivering materials to decarbonise the world
Wyloo is a wholly-owned portfolio company of Tattarang. Tattarang Chairman Dr Andrew Forrest AO said the demand for critical minerals was going to grow exponentially as we raced to decarbonise the planet and that Wyloo, now a major supplier of critical minerals, would play a crucial role in meeting that demand.

“Wyloo has targeted nickel sulphides as they are the greenest and cheapest option for battery manufacturing: they have the best economics, can be processed into battery grade nickel with the lowest environmental footprint and are fully recyclable,” he said.

“We are going to give the market a choice between clean nickel and dirty nickel.”

Creating an integrated, global nickel business
Wyloo CEO Luca Giacovazzi said he is thrilled to have completed the acquisition of Mincor and was looking forward to combining the company’s assets with the rest of Wyloo’s nickel portfolio.

“The acquisition of Mincor turns Wyloo into a fully integrated nickel business that brings together high-grade nickel production from Kambalda with our planned downstream processing facility in Kwinana,” he said.

“The acquisition also complements our high-grade Eagle’s Nest nickel-copper-PGE project in Ontario and our exploration projects in Quebec.

“By adding Mincor to our portfolio, we’ve introduced a producing mine alongside our long-life development projects, with all our orebodies located in the tier one jurisdictions of Australia and Canada.”

Significant exploration upside
Mr Giacovazzi said there was significant exploration upside in Kambalda in Western Australia’s Goldfields region.

“Kambalda is one of the most prolific nickel sulphide regions in the world. It has produced more than 1.6 million tonnes of nickel over the past 50 years or so and hosts some of the highest-grade nickel sulphide orebodies on the planet,” he said.

“The mines in Kambalda have had five-year mine lives since the 1970s. Mining companies have historically focused on incrementally extending production, but none have taken a systematic approach to exploring the Kambalda and Widgiemooltha Domes.

“We think the district has huge potential and we’re looking forward to investing more into exploration.”

Complementary businesses
Mincor Managing Director and CEO Gabrielle Iwanow said Mincor’s merger with Wyloo brought together complementary assets and skill sets.

“Mincor has a great team of some of the world’s very best, highly respected technical experts who have a detailed understanding of WA’s nickel resources. Wyloo made it clear from the outset that they were not only attracted to Mincor’s projects, but also its people,” she said.

“There’s a clear cultural fit and a drive for growth that’s common across both companies. The team is really excited to see what we can achieve when we bring together Mincor’s producing assets with Wyloo’s plans for downstream processing and long-term growth projects.”

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