| Decision number | 200710011 |
|---|---|
| Application number | 200620097 |
| Date | 20 February 2007 |
| Offeror/applicant | Takitimu Coal Limited |
| Ultimate applicant beneficial ownership | 100 percent - Australia, Eastern Corporation Limited |
| Beneficial overseas ownership | |
| - Asset current | 0 percent |
| - Asset proposed | 100 percent |
| - Share current | N/A |
| - Share proposed | N/A |
| Offeree(s)/seller(s) | Southland District Council of New Zealand |
| Business activities | Mining - Coal |
| Details of land involved | 76.3 hectares of leasehold situated at Ohai, Nightcaps, Southland being part CT SL122/292A (Southland Registry). |
| Regions involved | Southland |
| Total consideration | $136,585 |
| Consent sought | To acquire an interest in land which, either alone or together with any associated land of that type, exceeds 0.4 ha and is or includes land that a district plan or proposed district plan under the Resource Management Act 1991 provides is to be used as a reserve, as a public park, for recreation purposes, or as open space. |
| Rationale | The application has been approved as it met the criteria. The Overseas Investment Office is satisfied that the individuals with control of the Applicant collectively have business experience and acumen relevant to the overseas investment, and that the Applicant has demonstrated financial commitment towards the overseas investment. The Overseas Investment Office is further satisfied that each individual that exercises control over the Applicant is of good character and is not an individual of the kind referred to in section 7(1) of the Immigration Act 1987. Takitimu Coal Limited (Takitimu), a subsidiary of Eastern Corporation Limited (Eastern) a company listed on the Australian Stock Exchange, proposes to enter into a lease of the land. Takitimu views the proposal as complementary to its recent acquisition being the purchase of the Nightcaps Mining business from Straith Industries Limited and Ohai Coals Limited. Takitimu has secured a transfer of Coal Mining Licence 37079 which provides Takitimu a right of access over the land to carry out mining operations. Takitimu advises that entering into the lease will complement its existing rights provided for under the Licence and ensure the sustained and long-term investment. Takitimu proposes to re-establish mining operations at the Nightcaps Mine which has been dormant for many years and investigate the possible re-commencement of mining at the Mossbank Mine. The proposal is likely to result in the following benefits:
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| Contact | Elliot Goldman Macalister Todd Phillips Bodkins PO Box 653 QUEENSTOWN |