Katanga Mining Limited

Katanga Mining Limited

December 06, 2007 10:58 ET

Katanga Mails Information Circular and Offering Circular for Nikanor Merger

LONDON, UNITED KINGDOM--(Marketwire - Dec. 6, 2007) - Katanga Mining Limited (TSX:KAT) ("Katanga" or the "Company") announced today that it has filed with the Canadian securities regulatory authorities the notice of the special general meeting and management information circular dated as of November 28, 2007 (the "Information Circular") in connection with the previously announced recommended Merger with Nikanor PLC (see Katanga press release November 6, 2007).

At the special general meeting, Katanga shareholders will be asked to authorize: (i) the Merger of Katanga and Nikanor PLC, including the issuance of up to 128,051,733 common shares of Katanga in connection with the Merger; (ii) a resolution amending Katanga's general Bye-Laws; and (iii) a resolution amending Katanga's current Stock Option Plan.

The special general meeting of Katanga shareholders will be held at 9am (Toronto time) on January 11, 2008 at The Fairmont Royal York, 100 Front Street West, Toronto, Ontario. In accordance with applicable securities laws, Katanga shareholders as at the close of business on November 28, 2007, the record date for the special general meeting, are expected to be mailed the Information Circular on or about December 6, 2007. The Information Circular includes the unanimous recommendation of the Board of Directors of the Company that Katanga shareholders vote in favor of the Merger.

In addition, Katanga announced today that Nikanor shareholders are expected to be mailed the offering circular (the "Offering Circular") containing the previously announced offer to acquire Nikanor on or about December 6, 2007. Both the Information Circular and the Offering Circular will be available under Katanga's profile on SEDAR at www.sedar.com.

Subject to receipt of the requisite approvals from Katanga and Nikanor shareholders, the Merger is scheduled to close upon satisfaction of all other conditions, including receipt of regulatory approvals, in late January 2008.

CIBC World Markets plc and GMP Securities L.P. are Katanga's financial advisors. Its legal advisers are Cassels Brock & Blackwell LLP in Canada, Norton Rose LLP in the UK and Appleby in Bermuda.

To learn more about Katanga Mining Limited, please visit our website at www.katangamining.com

Katanga Mining Limited operates a major copper-cobalt mine complex in the Democratic Republic of Congo.

Copper production is expected to begin in December 2007 and the site is expected to reach full production in 2011, when 150,000 tonnes of refined copper and 8,000 tonnes of refined cobalt will be produced a year. The Company will be among the world's lowest cost producers.

Katanga Mining Limited is listed on the Toronto Stock Exchange under the symbol KAT.

Contact Information

  • Katanga Mining Limited
    Anu Dhir
    Vice President, Corporate Development
    +44 (0)20 7440 5822
    Katanga Mining Limited
    David Orford
    Manager, Communications
    +44 (0)20 7440 5828
    Katanga Mining Limited
    Gavin Wood
    Analyst, Corporate Development
    +44 (0)20 7440 5854
    Website: www.katangamining.com
    Fleishman-Hillard (Toronto)
    Caroline Spivak
    (416) 645-8185