Speaking at a press conference, Vosganian said Romania cannot conclude a long-term contract for CupruMin’s sale while considering prices that keep falling, therefore, he added, the Government ought to find ways to guarantee a minimum price for the prospective buyer.
Vosganian stressed that CupruMin needs major investments, considering that it lacked such projects over the past seven-eight years.
End-February, the Economy Ministry was authorized by the Government to look for an investor to partner up with in order to finance CupruMin’s activity and which will further contribute with a minimum inflow of EUR40 to EUR50 million.
Last spring, Roman Copper, owned by Toronto-headquartered investment bank Bayfront Capital Partners, won an outcry auction to buy 100% in Cupru Min Abrud for EUR200.77 million, outbidding Australian Oz Minerals and Dutch-based Dundee Holding BV. The purchase contract was due for signing on April 6, but the Romanian authorities said the deal was cancelled because the two parties could not reach a satisfying agreement on the terms of the deal.
Romanian authorities pledged in negotiations with the International Monetary Fund to reschedule the tender. Cupru Min is Romania’s largest copper producer. The company’s main asset is the Rosia Poieni mining perimeter, which is estimated to hold 60% of the country’s copper reserves.