News Bulletin

Conquest Announces Takeover Offer for North Queensland Metals

Thursday, 03 Jun 2010

Conquest will offer NQM shareholders 0.5 of a Conquest share plus 10 cents cash for every NQM share held, which values NQM at approximately $58 million or $0.29 per share.

The Offer represents a substantial and attractive premium of 29% to NQM’s closing price on 2 June 2010 and 37% to the 30day VWAP of NQM. If Conquest acquires all of the NQM shares under the Offer, Conquest will have approximately 453 million ordinary shares on issue and former NQM shareholders will own 22% of the combined company.

The major shareholder of NQM is supportive of the Offer and has entered into a pre-bid acceptance agreement with Conquest covering a 19.9% shareholding in NQM.

Conquest Executive Chairman, Jake Klein, commented: “The combined company will be better placed to increase the exploration expenditure at Pajingo and attract and retain high quality people. NQM shareholders will benefit initially from the significant up-front offer premium and are expected to benefit over the longer term as value is unlocked by combining the complementary assets and capabilities of Conquest and NQM.”

About Conquest
Conquest is an Australian based and listed mining company with a focus on activities in north Queensland. The company has a 100% interest in the Mt Carlton gold-silver-copper project, near Townsville, that is being advanced towards development. Work to optimise the project and a review of the proposed process flowsheet is underway.

About NQM
NQM is an Australian based and listed mining company with a focus on activities in north Queensland. The company has a 60% interest in, and is the manager of the Pajingo Gold Mine near Charters Towers. The Pajingo partnership has acquired the former Twin Hills mine for which it has plans to operate as a satellite mine to boost production from Pajingo to over 100,000oz pa. NQM aims to expand its operations and is looking to expand its gold interests in the Drummond Basin. 

Source: Conquest Mining Ltd Website/ASX Public Announcement

     

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