[ET Net News Agency, 22 June 2018] MMG Limited (01208) said it agreed to transfer the
entire equity interest in MMG Laos Holdings Limited to Chifeng Jilong Gold Mining Co.,
Limited for US$275 million (equivalent to about HK$2,145 million).
MMG Laos holds 90% of the issued shares in the capital of Lane Xang Minerals Limited
(LXML) which is the owner of the Sepon mine, located in the Lao People's Democratic
Republic (Laos). The Sepon mine is an open-pit copper mining operation located in southern
Laos of which 10% is owned by the Government of Laos.
MMG intends to use the proceeds from the disposal of the Sepon mine towards a
combination of general corporate purposes, the retirement of outstanding short-term debt
and further optimisation of its balance sheet, through a reduction in gearing. (HL)