asked the Minister for Energy if the take-over of Tara Mines by Outokumpu of Finland has yet been completed; and, if so, whether a take-over of Bula Ltd. is also being negotiated by the same firm.
Ceisteanna—Questions. Oral Answers. - Tara-Bula Mines.
19.
I understand that acceptances may now have been received in respect of 90 per cent of the shares. If that is the case Outokumpu will, in accordance with the provisions of the offer document, proceed to acquire the remainder in exercise of its rights under the relevant Canadian legislation.
I have no knowledge of Outokumpu's intentions in relation to Bula. In considering any proposals relating to that property, they would, of course, have to bear in mind in particular the rights and duties of the receiver.
Could the Minister tell the House if this take-over by Outokumpu requires ministerial or Government approval? If so, will it be forthcoming? Does he see any alteration in the operations of Tara Mines under Outokumpu?
I believe that an application by Outokumpu will be necessary under the Mergers Act, 1978. I have not studied the matter in detail because I have not studied the application but from the point of view of mining policy I would see no difficulty with Outokumpu's becoming a mining company in this country, having acquired shares in Tara Exploration. I did not catch the second part of the Deputy's question.
Will approval be forthcoming?
Yes.
Does the Minister envisage any change in the operations of Tara Mines?
No, I do not envisage any change.
Has the Minister received any information from the receiver about the situation in Bula? The Minister is, after all, a 49 per cent shareholder. How many applications has the receiver had to purchase? Is there an application from Outokumpu, as one would logically expect in view of their take-over of Tara, and when does the receiver expect to dispose of Bula Mines?
It would not be possible to say at this stage when the receiver expects to dispose of Bula Mines? I am sure the Deputy is aware that the receiver has publicised the assets on a worldwide basis and he is open to discussion with any potential buyers of these assets.
Has he received many application from potential buyers?
I do not have a list of the potential buyers.
Are the Department keeping in touch with the receiver in relation to the disposal since it is of vital interest to the State? The taxpayers are 49 per cent shareholders in that disastrous investment by a former Labour Party Minister.
I do not accept the Deputy's statement that it was a disastrous enterprise. It is a matter of argument and record. If the Deputy and his party had been somewhat more constructive it might have been a happier situation. The receiver has been in contact with my Department and will continue this contact on a regular basis.
When does he expect the final decision to be made as to the disposal?
It is not possible at this stage to give a final date.
But the receiver himself is on record as saying that he would be making a final decision in February or March.
The month of February has already gone. Perhaps the receiver should learn a lesson from this House not to give commitments as to time.
The Minister could have said that the final decision will be made over the next two months but obviously he does not have the information. Would the Minister be in favour, from a policy point of view, of Bula Mines being acquired by Outokumpu in the present circumstances?
I wish to keep an open mind on that subject at this stage.
Would the Minister buy it himself? Does he envisage any role for the proposed NDC, which is not fully born yet, in mining in this country in view of the fact that a Finnish state mining company is becoming involved here? Does the Minister envisage the NDC becoming involved in Bula, Tara or by way of partnership?
I would not rule out any helpful suggestions the Deputy is making in relation to the development of mining.
I am not making them. I am asking if the Minister has any plans or policies for the involvement of the NDC. Yes or no?
That concludes Question Time.