Norwegian remedy prescribed

摘要

Looking to grease regulatory wheels, Falconbridge (FAL-T, FAL-N) and Inco (N-T, N-N) have formalized their long-proposed remedy of selling Falco's high-grade Nikkelverk nickel refinery in Norway. Lion Ore Mining International (LIM-T, LIM-A, LOR-L) can pick up the refinery, which has an annual capacity of around 85,000 tonnes of refined nickel, 39,000 tonnes of refined copper plus cobalt, platinum group metals, gold and silver, for 650 million US dollars. The planned sale hinges on the European Commission and the U.S. Department of Justice approving the marriage of Inco and Falconbridge, and Inco acquiring a controlling stake in Falconbridge. Such approval has been delayed for months as both regulators are concerned that the enlarged Inco would have a stranglehold on the superalloy and nickel-plating markets. The sale of Nikkelverk is designed to address these concerns.