DMCI eyes more acquisitions

By Zinnia Dela Peña, The Philippine Star

Posted at Aug 23 2012 11:13 AM | Updated as of Aug 24 2012 12:26 AM

MANILA, Philippines - Consunji-led DMCI Holdings Inc. is eyeing more acquisitions, particularly nickel mines in Palawan, Davao and Zamboanga, according to a top company official.

DMCI president Isidro Consunji said the company remains bullish on the nickel mining sector as global commodities are expected to stage a strong rebound next year. “We remain optimistic despite weakening metal prices abroad. We’re looking at nickel,” he said.

Consunji said the company is looking at a number of possible acquisitions but refused to give more details.

DMCI expects the nickel mining business to grow significantly and become a major contributor to consolidated operations.

Subsidiary DMCI Mining Corp. reported a 64 percent jump in earnings last year to P917 million due to increased sales volume despite a drop in average selling price

DMCI, together with UK-based D&A Income Ltd., had offered to acquire ENK Plc., a mid-tier nickel developer with resources and assets in Turkey, Philippines and Albania.

ENK is currently finalizing a feasibility study for its flagship project, Acoje mine, which covers an area of 3,765 hectares located in Zambales. The review is targeted for completion this quarter.

It also owns a 540-hectare chromite deposit, situated five kilometers north of the Acoje project, The deposit is 40 percent owned by ENK and 60 percent by local Philippine partner, Montemina Resources Corp.

DMCI, the holding company of the Consunji family with a market capitalization of approximately $3.6 billion, has interests in construction services, coal and ore exploration, mining and development, power generation, water and other infrastructure development.