Australian company Sylvania Resources and the resource investor Ruukki Group have cancelled their merger due to problems faced with its execution.
On 30 June 2009 Sylvania and Ruukki signed a merger implementation agreement which would see the latter purchase all of Sylvania’s issued and to-be-issued share capital subject to meeting certain stipulations.
Sylvania said it will now persist in achieving its long-term goal of gaining access to downstream platinum processing capacity to extend its low cost tailings retreatment and near surface platinum group metal (PGM) mining business model.
Sylvania wants to treat low-grade PGM concentrates that cannot be processed economically by existing AC smelters.
Sylvania and Ruukki say they will continue to assess alternative possibilities for collaboration in the PGM business.