London - Miner Rio Tinto has accepted China Guangdong Nuclear Power Corp’s (CGNPC) bid for its 11.1% stake in Kalahari Minerals, a top shareholder in one of the world’s largest uranium projects.
CGNPC, which has been seeking new sources of uranium supply, wants to buy Kalahari for its 42.7% interest in Extract , which owns the Husab uranium project in Namibia.
CGNPC, whose offer for Kalahari closes on February 2, has said it would make an offer for Extract if it won acceptances for at least 50% of Kalahari’s shares. It is under no obligation to extend the offer if it does not cross the threshold.
Rio, which also holds 14.2% of shares in Extract Resources, said it would make a decision on whether to accept any offer for its shares in Extract in due course.