Billionaire Forrest picks up 5% in takeover target Western Areas

(Reuters) – Mining billionaire Andrew Forrest has picked up a 5.3% stake in Western Areas, a filing showed on Friday, a day after IGO Ltd confirmed it was in early talks to buy the Australian nickel producer.

Forrest's move follows a takeover attempt by his Wyloo Metals for Canadian nickel-copper miner Noront Resources Ltd where he's up against mining giant BHP Group.

The increasing number of deals for nickel assets underscore the race to secure supply of key battery metals that go into electric vehicles, as the world doubles down on greener modes of transport.

The filing from Western Areas shows Wyloo Metals and Tattarang, Forrest's investment companies, crossed the 5% disclosure-mark on Thursday.

Wyloo and Tattarang did not immediately respond to a request for comment on their intentions with the stake.

Shares of Western Areas climbed 8.6% on Friday, adding to a near 13% rise a day earlier when preliminary talks between the IGO and the Perth-based company were confirmed. IGO, meanwhile, fell 4.8%.

(Reporting by Nikhil Kurian Nainan in Bengaluru; editing by Uttaresh.V)

By Matt Earle

Matthew Earle is the Founder of MiningFeeds. In 2005, Matt founded to provide data and information to the mining investment community. This site was merged with Highgrade Review to form MiningFeeds. Matt has a B.Sc. degree with a minor in geology from the University of Toronto.

If you would like to receive our free newsletter via email, simply enter your email address below & click subscribe.


 Daily Gainers

 Lincoln Minerals Limited LML.AX +125.00%
 Golden Cross Resources Ltd. GCR.AX +33.33%
 Casa Minerals Inc. CASA.V +30.00%
 Adavale Resources Limited ADD.AX +22.22%
 Athena Resources Ltd. AHN.AX +22.22%
 Azimut Exploration Inc. AZM.V +21.98%
 New Stratus Energy Inc. NSE.V +21.05%
 Dynasty Gold Corp. DYG.V +18.42%
 Azincourt Energy Corp. AAZ.V +18.18%
 Gladiator Resources Limited GLA.AX +17.65%