Nickel miner Marcventures Holdings Inc. has struck a deal to acquire a bauxite mine located in Samar and a new nickel mine in Surigao del Sur adjacent to its existing operations, resulting in a merger among the operating companies.
Marcventures is set to merge with Asia Pilot Mining Philippines and the holding company of Brightgreen Resources Corp.,Marcventures said in a press statement on Friday.
Asia Pilot owns two mineral production sharing agreements (MPSAs) covering a combined 12,129 hectares while the Brightgreen group owns a separate MPSA with an area of 4,860 hectares,
Bauxite is a highly valued commodity used for aluminium production. Aluminum alloys are vital to industries like aerospace, transportation, construction and various manufacturing industries. The prices have also been very stable during the ongoing slump in metal prices.
China, Australia, US and Europe are big users of aluminum while the main sources are Australia, China, India, Brazil and Guinea.
“The two MPSAs are the only ones currently allowed to mine Bauxite in the Philippines and will make Marcventures the only mining company to be able to extract the mineral, which is found only in Samar,” Marcventures said.