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The move has been a a success, with two auctions already lined up.
Tiger was appointed by advisory firm McGrathNicol as receivers and managers of Midwest Vanadium to help sell several millions of dollars’ worth of processing and refurbishment materials associated with the troubled Windimurra vanadium and iron ore mine in Western Australia.
Midwest Vanadium, a subsidiary of Atlantic, went into voluntary administration in February. Its processing and refurbishment materials are currently stored in third party logistics warehouses in Kewdale and Geraldton and will go on public tender from this week until May 7.
In addition, Tiger will help McGrathNicol sell more than $85 million worth of drilling and support equipment following the collapse of Nitro Drilling in Queensland’s Bowen Basin.
The sale will comprise more than 700 assets, including Sandvik multipurpose drill rigs, a Schramm gas drill rig and associated equipment, Mercedes Benz 8x8 support trucks, Atlas Copco air compressors and a 30 man portable drilling camp.
With previous Nitro Drilling clients including the BHP Billiton Mitsubishi Alliance, Anglo American, Rio Tinto, Peabody Energy and Arrow, Tiger said its fleet represented an “unprecedented offering of late model, low hour, tier-one drilling equipment”.
“There is definitely lots of money looking for a home,” Tiger director restructuring and finance Ben Gibson said.
“Buyers are currently seeing a unique opportunity to buy quality assets – the type that normally does not become available at auction.
“The environment is presenting some excellent buying opportunities for educated buyers.”
Gibson expects buyers will be parties which have cashed in during the mining boom and are now looking to position themselves ahead of the game for when the market picks up.
“We are also seeing private equity firms and funds from Asia supporting management teams and former owners of previously successful mining services businesses,” he added.
Tiger’s new WA business is headquartered on St Georges Terrace in the Perth CBD.
