Simmons & Simmons has advised CITIC Resources Holdings Limited on its purchase from CITIC Australia Pty Limited of the entire share capital of two of its wholly owned subsidiaries, CITIC Resources Australia Pty Limited and CITIC Portland Surety Pty Limited.

Hong Kong-based corporate partner Nicholas Norris led the Simmons team advising the CITIC Resources Holdings Limited group on the deal, which is part of its efforts to diversify its business interests into other natural resources to supplement existing activities.

The acquisition includes, among others, interests in the Portland Aluminium Smelter in Western Victoria, Australia and the Coppabella and Moorvale coal mines located in Queensland, Australia. In addition, the acquisition includes interests in three ASX-listed entities; CATL, an Australia-PRC focussed commodities trader; Macarthur Coal Limited, coal mining company and Aztec Resources Limited, an Australian minerals exploration company.

The CITIC Resources Holdings Limited group manages a natural resources focussed business which has until recently been principally engaged in the plywood industry. The acquisition provides CITIC Resources Holdings Limited with an opportunity to gain exposure to other natural resources sectors and projects.