Sundance Resources

Sundance Resources is an Australian mining company headquartered in Perth, Western Australia. Its principal business has been the development of large iron ore resources in Central Africa, particularly the Mbalam project in southern Cameroon and related deposits across the border in the Republic of the Congo. The projects were conceived as an integrated mining, transport and export system rather than as stand-alone mines: ore would require a new long-distance connection to the Atlantic coast, involving a proposed railway of approximately 500 kilometres or, potentially, a slurry pipeline, together with a new multi-user port at Lolabé in Cameroon. The company entered the Australian public market in 1993 as St Francis Mining NL. It subsequently changed its name to St Francis Mining Limited in 1999 and then to St Francis Group Limited in 2000. In December 2003, it adopted the Sundance Resources name. For part of its history, the company was listed on the Australian Securities Exchange and its securities also traded over the counter in several German markets, including Frankfurt, Munich, Berlin, Hamburg and Stuttgart. Sundance expanded into Central African iron ore through its investment in Cam Iron SA, a Cameroon-incorporated company holding exploration permit No. 92. The permit covered approximately 875 square kilometres in the Mbalam iron ore province, located roughly 300 kilometres east-southeast of Yaoundé. Sundance initially announced a 100 percent interest in Cam Iron in 2006, later reduced to 90 percent. The geological potential of the Mbalam area had been identified earlier, including through work associated with the United Nations Development Programme in the 1980s. Sundance also developed interests in iron ore deposits in the Republic of the Congo. These deposits were intended to use a branch connection to the main rail and port infrastructure proposed for the wider Mbalam-Nabeba development. In 2010, the company announced an agreement related to construction of the railway, and in 2011 it reached an arrangement with Australian company Legend Resources to share railway and port infrastructure. The project nevertheless remained exposed to commodity prices, financing conditions, permitting and the substantial logistical difficulty of building infrastructure through remote regions. The company suffered a major corporate crisis in June 2010 when an aircraft crash in the Republic of the Congo killed all members of its board and several senior officers, as well as other passengers. Sundance suspended its African operations while the search and recovery effort took place, and trading in its shares was halted. Peter Canterbury became acting chief executive, while regulatory arrangements were used to facilitate the reconstruction of the board and management structure. Sundance later became involved in a proposed takeover by China's Hanlong Group. An agreement was reached in 2011, but the transaction failed in April 2013 after Hanlong did not meet its funding obligations. Development of the African projects was placed on hold in January 2016 after a key infrastructure contractor postponed execution of a contract, citing weak iron ore prices and market conditions. The Republic of the Congo mining licence was lost in 2020. Following that loss, Sundance delisted from the Australian Securities Exchange and pursued legal action against the Republic of the Congo, seeking reported compensation of approximately US$8.76 billion. The status of the company's operations, legal proceedings and remaining assets is not fully established by the supplied reference material. Its historical identity is therefore that of a publicly traded exploration and development company whose central proposition depended on bringing remote Central African iron ore deposits to an export market through major new transport and port infrastructure.

Sundance Resources originated as St Francis Mining NL, which was admitted to the Australian Securities Exchange in 1993. The company changed its name to St Francis Mining Limited in October 1999 and then to St Francis Group Limited in June 2000. In December 2003, it adopted the Sundance Resources name. During its listed period, its securities also traded over the counter in a number of German financial centres. The company's strategic focus shifted toward Central African iron ore development. In March 2006, Sundance announced that it had acquired a 100 percent interest in Cam Iron SA, later reduced to 90 percent. Cam Iron held Cameroonian exploration permit No. 92, covering about 875 square kilometres in the Mbalam iron ore province. The deposit lies in southern Cameroon, approximately 300 kilometres east-southeast of Yaoundé. The region's mineral potential had been recognised in earlier geological work, including investigation associated with the United Nations Development Programme. Sundance also held an 85 percent interest in iron ore deposits in the neighbouring Republic of the Congo. Its development concept connected the Cameroonian Mbalam project and the Congolese deposits to a new export route on the Atlantic coast. The proposed infrastructure included a railway of around 500 kilometres, or an alternative slurry pipeline, and a multi-user port at Lolabé. A branch line was envisaged for the Congolese deposits. This infrastructure-heavy model made the project dependent on government agreements, contractors, financing and iron ore market conditions. In June 2010, the company experienced one of the most serious events in its history when an aircraft crash in the Republic of the Congo killed the entire board of directors and several other Sundance officers. The victims included chairman Geoff Wedlock, managing director and chief executive Don Lewis, directors Ken Talbot, Craig Oliver and John Jones, and company secretary and general manager of corporate services John Carr-Gregg. Sundance suspended its African operations during the search effort and halted trading in its shares. Peter Canterbury was appointed acting chief executive, while Australian regulatory approval enabled the reconstruction of the board through the co-option of directors. The infrastructure plan continued after the accident. Sundance announced a railway agreement in September 2010 and entered a 2011 arrangement with Legend Resources to share the proposed railway and port. In October 2011, Hanlong Group launched a takeover proposal for Sundance. Although the parties reached an agreement, the transaction was not completed. It collapsed in April 2013 when Hanlong failed to meet its financing commitments. The Mbalam development was ultimately postponed in January 2016. A key infrastructure contractor delayed signing a contract, while weak iron ore prices made the capital-intensive project more difficult to advance. The company retained its focus on the African assets, but the proposed mine, railway and port system did not proceed into completed commercial production on the basis of the supplied material. In 2020, Sundance lost the Republic of the Congo mining licence. The company then delisted from the Australian Securities Exchange and sued the Republic of the Congo, seeking reported compensation of approximately US$8.76 billion. The supplied references do not establish the final outcome of that litigation, the company's current operating status, or whether the remaining Cameroon interests have been developed or transferred. Sundance is therefore best documented as a former public iron ore exploration and development company whose principal projects remained dependent on major infrastructure and unresolved legal, commercial and regulatory conditions.

• 2020

  Lost Congo licence and delisted

  [1]Sundance Resourcesen.wikipedia.org

  After losing its Republic of the Congo mining licence, Sundance delisted from the ASX and pursued compensation litigation.

• 2016

  Project development postponed

  [1]Sundance Resourcesen.wikipedia.org

  The project was put on hold amid low ore prices and a contractor's postponement of a key contract.

• 2013

  Hanlong takeover attempt failed

  [1]Sundance Resourcesen.wikipedia.org

  The proposed acquisition collapsed when Hanlong did not meet its funding obligations.

• 2011

  Agreed to share infrastructure with Legend Resources

  [1]Sundance Resourcesen.wikipedia.org

  Sundance reached an arrangement for shared railway and port infrastructure.

• 2010

  Corporate leadership lost in aircraft crash

  [1]Sundance Resourcesen.wikipedia.org

  All directors and several officers died in an aircraft crash in the Republic of the Congo.

• 2006

  Entered the Mbalam iron ore project

  [1]Sundance Resourcesen.wikipedia.org

  Sundance announced the acquisition of an initial 100 percent interest in Cam Iron SA and the Mbalam exploration permit in Cameroon; the interest was later reduced to 90 percent.

• 2003

  Adopted the Sundance Resources name

  [1]Sundance Resourcesen.wikipedia.org

  St Francis Group Limited became Sundance Resources Limited in December.

• 2000

  Renamed St Francis Group Limited

  [1]Sundance Resourcesen.wikipedia.org

  The company changed its name again in June.

• 1999

  Renamed St Francis Mining Limited

  [1]Sundance Resourcesen.wikipedia.org

  The company adopted the St Francis Mining Limited name in October.

• 1993

  Listed on the Australian Securities Exchange

  [1]Sundance Resourcesen.wikipedia.org

  The company entered the ASX as St Francis Mining NL.

A project-focused iron ore developer seeking to build an integrated Central African mining, railway and port system.

• Iron ore development project · 2006

  Mbalam iron ore project

  Sundance's principal Cameroonian project, located in the Mbalam iron ore province. The project was associated with Cam Iron SA and exploration permit No. 92, covering approximately 875 square kilometres. Its planned development required substantial rail or pipeline capacity and a new Atlantic export port.

• Iron ore development project

  Republic of the Congo iron ore deposits

  Sundance held an 85 percent interest in iron ore deposits in the Republic of the Congo. The deposits were intended to connect to the main Cameroon-oriented railway and port system through a branch line. The Congo licence was lost in 2020, after which the company pursued legal action.

• 2020

  Pursue compensation after loss of Congo licenceOther

  Background

  Sundance lost its mining licence in the Republic of the Congo.

  Action taken

  The company delisted from the ASX and sued the Republic of the Congo, seeking approximately US$8.76 billion in compensation.

  Aftermath

  The supplied references do not establish the final outcome of the legal proceedings or the company's current operating position.

  Claimed compensation. US$8.76 billion (2020 onward)

  Source

• 2016

  Place the Mbalam development on holdStrategy

  Background

  A key infrastructure contractor postponed contract signing, while low iron ore prices weakened the commercial case for the project.

  Action taken

  Sundance postponed development until market conditions improved.

  Aftermath

  The mine, railway and port remained undeveloped in the supplied historical record.

  Source

• 2013

  Terminate the Hanlong takeover transactionM&A

  Background

  Hanlong Group had agreed to acquire Sundance after launching a takeover attempt in 2011.

  Action taken

  The transaction fell through in April after Hanlong failed to meet its funding obligations.

  Aftermath

  Sundance remained independent and continued attempting to advance its African assets.

  Source

• 2011

  Share railway and port infrastructure with Legend ResourcesStrategy

  Background

  The Mbalam and neighbouring projects required costly new transport and export infrastructure.

  Action taken

  Sundance entered an agreement with Legend Resources to share proposed railway and port facilities.

  Aftermath

  The shared-infrastructure concept remained part of the development model, but the broader project was later postponed.

  Source

• 2010

  Reconstruct the company after the aircraft crashStrategy

  Background

  The June 2010 crash killed every member of Sundance's board and several senior officers, leaving the company without its normal leadership structure.

  Action taken

  Sundance halted African operations and share trading, appointed Peter Canterbury as acting chief executive and used a regulatory process to co-opt a replacement board.

  Aftermath

  The company resumed pursuing its African infrastructure and iron ore development plans.

  Source

1. 1Sundance Resourcesen.wikipedia.org