Iron giant Rio Tinto has upped the stakes in the bidding war for a Pilbara iron ore project backed by Rich Lister prospector Mark Creasy which sits on the miner’s doorstep.
Rio Tinto on Thursday entered the fray with an unsolicited $75 million offer for CZR Resources’ Robe Mesa Iron Ore Project in the west Pilbara.
That bid is $2m higher than the Gold Valley Group bid which the CZR board poured cold water over on Thursday morning, and at least $4m higher than Fenix Resources’ first bid.
Rio Tinto’s bid is for CZR's stake in the Robe Mesa project only, meaning CZR Resources would retain its interest in other projects such as the greenfields Ashburton Link port and Croydon Gold project.
Rio would likely haul ore from the project on rail to its existing Cape Lambert port near Wickham.
The other two bids are to absorb CZR Resources as a whole.
The offer comes from the Robe River Joint Venture, which counts Japan’s Mitsui & Co and Nippon Steel Corporation as minority partners alongside Rio Tinto.
“Based on the information contained in the Robe River JV Proposal, the CZR Board has determined in good faith after consultation with its external legal advisors that the Robe River JV Proposal is a potential competing proposal that could reasonably be expected to lead to a superior proposal if it were to be proposed,” CZR Resources said in a statement.
“Accordingly, the CZR Board has determined that the fiduciary exception applies and CZR intends to engage with Robe River JV in relation to the Robe River JV Proposal.”
Rio has offered to pay CZR’s $650,000 break fee should the company opt to exit its exclusive bargaining period with Fenix Resources.
John Welborn’s Mid West iron ore miner and logistics company Fenix kicked off interest in CZR with its $71m bid in late February.
Fenix’s offer implied a value of 26c per share, rising to 30c per share if the miner acquired at least 75 per cent of CZR’s shares.
The company flagged a keen interest in developing the associated Ashburton Link port as a small export hub open to third parties, which would go a long way to unlocking stranded resource assets in the Pilbara.
As of Thursday Fenix had gained approval from about 10 per cent of CZR Resources’ shareholders, and had the backing of the company’s board of directors.
Perth businessman Yuzheng Xie’s Gold Valley late on Wednesday night made his $73m bid for CZR backed by a mystery Swiss trading house, implying a value of 31c per share.
That bid was recommended for rejection by CZR’s board as it lacked evidence of Gold Valley’s ability to stump up the cash.
Rio Tinto’s offer values CZR at 32c per share and is an acquisition of a single asset, rather than the company as whole.
Rio and Gold Valley’s bids are non-binding at present.
Mr Creasy holds 53 per cent of CZR’s shares and an extra 15 per cent the Robe Mesa project through his private company, Zanf.
The sale of CZR or just the Robe Mesa project has him in line for a payday of between $37 and $40 million.
Fortescue is also a minority shareholder.
All three offers are below the $102m bid by Miracle Iron for Robe Mesa which was thwarted by delays from the Foreign Investment Review Board.
14 Oct 2026
01 Oct 2026
