Asarco looks to extend exclusivity to Dec. 31 to allow confirmation

By Caroline Salls

Pittsburgh, Sept. 16 - Asarco LLC requested an extension to its exclusive period to solicit votes on its plan of reorganization to Dec. 31 from Sept. 30, according to a Wednesday filing with the U.S. Bankruptcy Court for the Southern District of Texas.

As previously reported, the bankruptcy court has recommended that the U.S. District Court for the Southern District of Texas confirm the plan submitted by Asarco parents Americas Mining Corp. and Asarco Inc. and deny confirmation of the company's plan.

However, the company said the district court still has not handed down a ruling on confirmation of either plan.

As a result, Asarco said it believes it would be prudent to extend exclusivity until a plan takes effect.

In addition, the company said its failure to request an exclusivity extension could trigger a termination right under the asset purchase agreement with Sterlite Industries (India) Ltd.

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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