MANILA, Philippines - Philippine conglomerate San Miguel Corp said it had paid $40 million for 10.1% of Australia's Indophil Resources NL, which has a stake in the $5.2 billion Tampakan copper-gold project in the southern Philippines.
San Miguel told Manila's stock exchange a share placement agreement involving approximately 48 million new shares in Indophil had been executed on Friday.
Indophil owns 37.5% of Sagittarius Mines Inc, the Philippine company undertaking the Tampakan project in South Cotabato. Sagittarius is an affiliate of global miner Xstrata Plc.
In June, Indophil put its stake in Sagittarius up for sale after China's Zijin Mining dropped a takeover offer for the company.
The Tampakan mine is considered Southeast Asia's largest undeveloped copper-gold prospect. It is estimated to contain 13.5 million tons of copper and 15.8 million ounces of gold, at a grade of 0.6% copper and 0.2 grams per ton of gold.
San Miguel has been aggressively expanding into power, oil refinery, telecommunications, infrastructure and mining after dominating the local food and drinks industry for decades.