Indophil Resources NL (Lion 25.7%)
Summary
| Lion shareholding: | 96.9 million |
| Total investment by Lion: | $22.6 million |
| Date of initial investment: | September 1997 |
| ASX Code: | IRN |
| Area of activity: | Philippines – Copper and gold |
| Website: | www.indophil.com |
Company
Indophil Resources NL (Indophil) is an Australian listed company established to acquire, explore for and develop gold and copper-gold opportunities in the Philippines. Indophil’s principal focus is on the development of the Tampakan Copper-Gold Project in the southern Philippines, of which Indophil holds a 34% beneficial operating interest and is earning up to 37.5%. Xstrata Copper (Xstrata) holds 62.5% of the project whilst Alsons, the Philippine partner, holds the remaining 3.5% at present.
In October 2006 Indophil announced the completion of the Pre Feasibility Study (PFS), confirming the Tampakan deposit as a two billion tonne resource containing 11.6 million tonnes of copper and 14.6 million ounces of gold at a 0.3% copper cut off grade with further potential. This was a major milestone for Indophil and was the catalyst for Xstrata to exercise its option to acquire a 62.5% interest in the project. Xstrata advised Indophil in December 2006 that it was exercising its option, and this was completed on 30 March 2007 with management handover of the project to Xstrata and a net payment to Indophil of $49.3 million. This vote of confidence in the project by Xstrata has underpinned the robustness of Tampakan and its potential to become a world-class asset.