Companies: CFM   

Central African Mining & Exploration Company (CAMEC) says it intends to make a bid for Katanga Mining, valuing it at £773 million.

CAMEC, whose existing 22 per cent Katanga stake was highlighted here on 29 June, says it has written to Toronto-quoted Katanga, saying it intends to make an offer worth C$20.85 (990p). Katanga's most attractive asset is its low-cost high-grade Kamato copper and cobalt project in the Congo, where CAMEC is also active.

Several other key players have stakes in Katanga, including influential local player George Forrest and aggressive investment group RP Capital. Katanga, whose shares have risen from the equivalent of 850p when we mentioned the company to nearly £11, adopts the position that it waits to see whether CAMEC, whose own shares have risen 7p to 71p since our mention will put a formal offer on the table.

Another party could yet become involved. Hold on.

Central African Mining & Exploration Company	AIM	£95.33m	3.40p	0.23p
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Other company articles:
Reappraisal for CAMEC			06/11/2008
Miners wait for the call			31/03/2008
Still scrambling for Africa			07/02/2008
CAMEC plans new Congo deal			07/02/2008
Congo miners plan £2bn merger			06/11/2007