Adani’s acquisition of Linc Energy's coal tenements

Corrs advised Adani Group (India's largest coal importer) on its acquisition of Linc Energy's coal tenements: reported as the largest single investment by an Indian company in Australia with the deal worth as much as US$2.7 billion. A key feature was the speed with which it was undertaken (less than a week from announcement to completion).

Underlying changes in tenure arrangements added to the complexity of the deal and necessitated a fast response to ensure issues were properly identified, advised and addressed by completion date. Corrs advised on all aspects of the transaction including legal due diligence and negotiation and drafting of all transaction documents, including the Asset Sale Agreement and Overriding Royalty Agreement.

Andean Resources

When Goldcorp Inc acquired Andean Resources for $C3.6 billion, it was a complex cross border transaction involving a dual listed target and bidder. This required compliance with Australian and Canadian securities, disclosure and mining standards and dealing with Australia, Canadian, US and Argentinean regulators.

Working with legal teams in Canada, Corrs completed the agreement in only four days, trumping unsolicited and hostile proposals in what was one of the world’s largest gold mining takeovers in 2010.

MCC's Cape Lambert and Cape Preston iron ore projects

Advising on all aspects from project feasibility study, approvals and native title, Corrs is the exclusive legal adviser to China Metallurgical Group Corporation (MCC) on its key investment in Western Australia.

MCC is one of China’s largest state-owned enterprises and was advised by Corrs on the $400 million acquisition of Cape Lambert Iron Ore Limited’s iron ore project in the Pilbara. Corrs is also advising MCC on the $3.7 billion development of that project and the US$6.1 billion Cape Preston project, reinforcing the firm’s position at the forefront of Australia’s iron ore sector development.

Straits Demerger

The separation of Straits’ metals business into a new ASX listed company, Straits Metals, created an exciting new gold and copper focused metals business. The demerger was followed by the $550 million takeover of Straits (which then only held the coal business) by a subsidiary of PTT International Company Ltd.

Corrs teams from nine technical disciplines advised on all aspects of both transactions under extremely tight deadlines. This included disclosure issues, takeovers law, the sale and purchase of the metals business, court procedures for the scheme of arrangement for the takeover, and the renegotiation of Straits financing arrangements.

Yanzhou Coal

Managing disclosures on three stock exchanges, obtaining approvals in two countries and overcoming significant language and cultural differences were key challenges when Corrs advised on the biggest ever Chinese deal in the Australian coal sector.

Its client Yanzhou Coal became the first Chinese state-owned enterprise to acquire 100% of an Australian listed company through the A$3.5 billion acquisition of Felix Resources. The deal was innovative as it featured an undertaking by Yanzhou Coal to list Yancoal Australia on the Australian Securities Exchange by no later than the end of 2012, thereby guaranteeing public ownership.

The implementation of the transaction involved managing disclosures on three key stock exchanges - ASX, Shanghai and Hong Kong. A tight timeframe of only four months was met, even though all documents had to be translated and there were significant language and cultural differences that the team had to overcome.

Straits Resources Limited

When ASX-listed mining and exploration company Straits Resources wanted to capitalise on favourable market conditions by selling its Hillgrove Antimony-Gold Project to Court Resources WA, they turned to Corrs Chambers Westgarth for advice.

Straits focuses on copper and gold in Australia and Asia. Taking advantage of a recovery in the price of antimony and gold and increasingly tight metal supplies, the Corrs team secured a purchase price of A$40 million in cash and shares for the project. Under the terms of the deal, the project will be renamed Ancoa and taken through an Initial Public Offering.

Getting the deal to signing stage involved navigating complex issues under the ASX Listing Rules and negotiating a mutually acceptable completion and payment timetable fair and reasonable for Straits shareholders.

Murchison Metals

Murchison Metals sold its interests in Crosslands Resources and the Oakajee Port and Rail project to its joint venture partner Mitsubishi Development for $A325 million.

The transaction, advised by Corrs, allowed Murchison to exit its investment for a cash return after an extensive strategic review process to maximise shareholder value in relation to these interests.

Whitehaven Coal

Corrs Chambers Westgarth recently advised Whitehaven on its third major M&A transaction, a A$170 million off-market takeover bid for Coalworks Based in New South Wales, coal producer Whitehaven has operations and development projects in the Gunnedah Basin, the Hunter Valley, and Queensland.

The acquisition follows Whitehaven’s A$5 billion merger with Aston Resources and acquisition of Boardwalk Resources (both also advised by Corrs) and will complement Whitehaven’s existing operations.

Mining in Surat Basin

Stanmore Coal engaged Corrs Chambers Westgarth to assist with a deal to substantially increase its footprint in the Surat Baisin on the New South Wales/Queensland border. Under the agreement with Queensland Coal Corporation (QCC), Stanmore swapped its Altamondt tenement for QCC plots in the highly prospective basin.

The acquisition paved the way for  a pipeline of Surat projects and supports the company’s plans to develop additional, cost-competitive open cut mines.  

Several months later, Stanmore again turned to Corrs to advise on its participation in Wiggins Island Coal Export Terminal Expansion Phase 1 and on its equity and debt funding arrangements with Sprint Capital and Credit Suisse.  These transactions marked the beginning of a transformative period for Stanmore and a pivotal state in the development of its Queensland coal assets.

Fortescue’s ASIC appeal

The High Court handed down a landmark decision in favour of Fortescue Metals Groups and Chairman Andrew Forrest regarding the proceedings brought against them by ASIC relating to ASX disclosure obligations.

Corrs Chambers Westgarth advised Fortescue on the successful high profile defence of the allegations by ASIC. The judgement vindicated both Fortescue and Mr Forrest, ruling that neither party contravened the Corporations Act.