OZ Minerals seals deal to swallow Cassini Resources

Copper miner OZ Minerals has completed the purchase of Cassini Resources for what management hopes will prove a long-life copper-nickel mine in WA.

OZ Minerals on Monday said it had acquired all the shares of Cassini, which will be delisted from the ASX.

The two companies have had a joint venture since 2016 for the West Musgrave project, which they believe can produce plenty of copper and nickel.

OZ Minerals chief executive Andrew Cole said a pre-feasibility study in February showed West Musgrave to be a low-cost, long-life, copper-nickel open-pit project with a low carbon footprint.

Management expects it will this year file its request for government approval.

Cassini shareholders will receive a benefit worth 16¢ a share, comprising 15¢ in the form of one OZ Minerals share for every Cassini share held, and a 1¢ per share cash capital return from Cassini.

Cassini shareholders will also receive shares in a new company, called Caspin.

This company will own the nickel, copper and cobalt exploration project at Yarawindah Brook, as well as the gold project at Mount Squires.

OZ Minerals shares were higher by 3.1 per cent to $13.79 at 12.30pm.

AAP