Bannerman Receives Acquisition Proposal

Bannerman Resources Limited (TSX:BMN,ASX:BAN) reports that it has received acquisition proposal from Hanlong Mining Investment Pty Ltd for A$0.612 cash per Bannerman share by way of a scheme of arrangement.

The press release is quoted as saying:

The Board of Bannerman believes that Hanlong recognises the strategic significance of controlling Bannerman’s large-scale and low technical risk Etango Uranium Project in Namibia. The Board also believes that Hanlong’s approach has been timed to take advantage of Bannerman’s low share price which has been adversely affected by macro issues such as the events at Fukushima and weak global equity markets.

Bannerman’s Chairman, Dr David Smith says:

“It is understandable that Bannerman is now attracting corporate interest. Bannerman controls one of the largest undeveloped uranium resources in the world and, despite recent events, there is no doubt that nuclear power will continue to play a key role in meeting the world’s growing energy needs as well as alleviating greenhouse gas emissions.Etango is a strategic asset which is highly leveraged to a stronger uranium price in a world where security of supply is one of the most important issues for nuclear power generators and utilities.”

Click here to access the entire news release.