Central Australian Phosphate (ASX: CEN) has received a Joint Venture Proposal from Rum Jungle Resources (ASX: RUM), with CEN granted a trading halt by the ASX today - with its shares placed in pre-open.
Earlier in the month Rum Jungle increased its offer for CEN which is one cent per CEN share plus one RUM share for every 13 CEN shares.
CEN's Arganara phosphate project and Rum Jungle's Barrow Creek 1 are located next to each other about 150 kilometres south of Tennant Creek in Northern Territory.
There is the potential for economies of scale if the projects were combined under one entity.
The halt will last until the earlier of an announcement being made to the market, or the opening of trade on Friday 14th June 2013.
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