ENRC to buy CAMEC in deal worth $955m

The Kazak-based mining group Eurasian Natural Resources Corporation said it would acquire Camec, an African resources group in a deal worth £584 million or 20p-a- share in cash.

The purchase will be funded through its available cash resources which counts up to $2 billion.

AIM-listed CAMEC produces copper and cobalt at operations in Congo. It is also developing other natural-resources projects such as coal mining.

ENRC, one of the leading producers around the globe, already possesses about 55.2 per cent of the CAMEC shares.

Speaking on the topic, Felix Vulis, CEO of the company, said, "What ENRC shareholders will gain is world class, low-cost copper-cobalt resources in the Democratic Republic of Congo (DRC) with a great potential."

In the recent trading, CAMEC shares soared to 19.50p-a-share, gaining 6.9 per cent, while shares in ENRC jumped to 911.5p-a-share, representing a rise of 1.8 per cent.