Asarco requests court OK of bid procedures for $3.65 million El Paso property sale

By Caroline Salls

Pittsburgh, Aug. 11 - Asarco LLC requested court approval of the bidding procedures for its proposed $3.65 million sale of its El Paso, Texas, property to Del Norte Title Co., according to a Thursday filing with the U.S. Bankruptcy Court for the Southern District of Texas.

Del Norte has paid a $67,500 deposit, and competing bids must include the same deposit.

Competing bids must be for at least $150,000 more than Del Norte's bid. Subsequent bids must be for at least $25,000 more than the previous bid.

When bids are being analyzed, Del Norte will receive a $100,000 credit to reflect the fact that the $100,000 would be paid out of bids other than Del Norte's.

The break-up fee will be paid to Del Norte if it is not the winning bidder.

The auction will be held Sept. 18. The company has requested the sale hearing be scheduled for Sept. 22.

Asarco, a Tucson, Ariz., mining company, filed for bankruptcy on Aug. 9, 2005. Its Chapter 11 case number is 05-21207.

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