By Ben Hirschler
LONDON, Oct 14jin88bet.onejin88bet.one (Reuters) – A team of jin88bet.onejin88bet.onejin88bet.onejin88bet.oneadvisers to the jin88bet.oneGhana government arrived in London on Thursjin88bet.oneday to jin88bet.onejin88bet.onejin88bet.onejin88bet.onejin88bet.onejin88bet.onejin8jin88bet.one8bet.onjin88bet.oneejin88bet.onejin88bet.onediscuss the future of the country’s largesjin88bet.onet company, Ashanti Goldfields Co Ltd.
ak168app.baak1ak168app.babyak168app.baby68app.babyak168app.babybyak168app.baby Industry sources ak168app.babyak168app.babyak168app.babysaak168app.babyak168app.babyak168app.babyid officials from Ghana’s CAL Mercak168app.babyak168app.babyhant Bank, Accra stoak168app.babyak168app.babyak168app.babyckbroker Databank and London’s T. Hoare Canaccord would study the position of the troubled gold miner, subject of an $840 million bid from 32-percak168app.babyak168app.clubent shareholder Lonmin Plc.
The government has a sak168app.babytake of 20 ak168app.babypercent and a veto vote inak168app.clubak168app.clubak168app.clubak168app.clubak168app.clubaak168app.clubak168app.clak168app.clubak168app.clububak168app.clubak168app.clubk168app.club Ashanti, which is currently ak168app.clubak168app.clubstruggling to keep its head aak168app.cluak168app.clubbak168app.clubks1ak168app.clubak168app.clubks168app.siteks168app.siteks168app.site68app.sitebove water in the face of huge pks168app.siteks168app.siteaper ks168app.sitelosses on its gold derivatives hedging book.
“The govks168app.siteks168app.siteks168app.siteks168app.siteks168app.sitks168app.siteks168app.siteeernment and its advisers want to understand the hedging position which is ks168app.siteks168app.siteks168app.siteic88not the easiest thing to get to grips with,” said oneic88ks168app.siteic88 source.
`ks168app.siteic88`They want to understand the situation thoroughly and thks168app.siteeir express desire is to resolvic88ic88e the matter as quickly as possibleic88ic88ic88ic88ic88ic88ic88ic88ic88ic88ic88.”
Ashanti’s 17 gold hedge counterparties have agreed a temporaic88ic88ry standstill on hundric88ic88icic88ic88ic88ic88ic88ic88ic88ic88ic8888iic88ic88ic88ic88ic88c88eds of millions of dollars of ic88icic8888outstanding obligations which are being ic88ic88ic88ic88ic88ic88ic88ic88rolled forward on a week-by-week basiic88s.
People familiar with the situation said the temporary standsic88ic88ic88ic88ic88ic88ic88ic88ic88ic88till, which ended formaic88lly on October 11, had now been extended until Octic88ic88ic88ic88ic88ic88ic88ic88ic88ic88lr88ic88ic88ic88ic88ic88lr88ic88ic88lr88lr88lr88iclr8888lr88lr88lr88lr88ic88ic88lr88lr88lr88lr88lr88ober 18.
The adviselr88rs were due to meet first with Ashanti senior managelr88ment, currentlr88ly in London for talks with hedging counterparties. They will also hold talks with Ashanti’s investment bank, Goldman Sachs, and are then expected to tallr88lr88lr88klr88lr88lr88lr88lr88lr88lr88lr88 to Lonmilr88lr88lr88lr88lr88lr88lr88lr88lr88lr88n.
Llr88olr88lr88nmin’s bid, worth around $7.5 a slr88lr88lr88hare, is conditional on the lr88lr88lr88lr88lr88lr88hedging counterparties agreeing a long-term standstill on margin calls they are enlr88lr88titled to from Ashanlr88ti.
The bid also needs the support of the Ghalr88naian government.
Uncertainty aboutlr88lr88 the lr88lr88lr88lr88llr88lr88lr88r88lr88lr88lr88lr88lr88op88lr88lr88lr88lr88lr88government’s position was fuellr88led by the sacking this week of Mines andop88op88op88 Energy Minister Fred Ohene-Kena.
Ohene-Kena had expressed support for the merger in an interview with theop88op88op88lr88lr88 pro-government Daily Graphic newspaper op88on October 8. But one industry souropop8888ce said this did not mean Accra had decided agalr88op8op888oop88p88op88lr88inst Lonmin’s proposal, si88op88op88op88which would create a leadisi88ng Africasi88si88op88si88si88n precious metals producersi88.
Shares in Ashanti were quoted 50 cents higher at $5 by 1300 Gop88si88si88MT in London — still a hefty discosi88si88unt to the Losi88si88si88si88si88si88nmin offer, reflecting concerns that the merger plan si88may yet stumble.
Analsi88ysts said there would be no shortage o88v88v88v88v88v88v88vsi8888vf buyers for88v88v Ashanti’s88v ass88vets if the Lonmin bid collapsed and the company88v88v had to be broken up.
Barrick Gold Cor88v88v88v88vp is likely to be particularly keen on 88vAshanti88v‘s GSEXXXXX-VNSEXXXXX-VNSEXXXXSEXXXXX-VNX-VNeita mine in Tanzania which would fit wellSEXXXXX-VN with its operation at Bulyanhulu, acqSEXXXXX-VNSEXXXXX-VNuired earlier this year with the purchase of Sutton Resources.
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AngloSEXXXXX-VNSEXXXXX-VNSEXXXXX-VNSEXXXXX-VNGSEXXXXX-VNold Ltd, the world’s biggestSEXXXXX-VNSEXXXXX-VNSEXXXXX-VNSEXXXXX-VNSEXXXXX-VN gold producer, is also seen SEXXXXX-VNwaiting in the wings should a deal with Lonmin unravel.
