China’s state-owned enterprises have always protested they are ordinary commercial entities operating independently of Beijing. Australia’s defence department – and, by extension, treasurer Wayne Swan – isn’t entirely convinced. Minmetals is determined to prove it. On Friday, after its bid for Oz Minerals was blocked on grounds of national security, China’s largest metals and minerals trader said it still wanted to find a way to keep Canberra happy while satisfying Oz’s lenders.
On Tuesday – the latest in a series of deadlines set by banks owed A$1.3bn by Oz – Minmetal put in an offer that would give it a decent foothold in Australian zinc, along with a copper and gold mine in Laos. Assuming the deal has been restructured with the guidance of the Foreign Investment Review Board, Minmetals may pluck out those assets, giving Oz enough cash to pay its debts while living on as a listed company.
