Grupo Mexico Offers $300 Million Toward Asarco’s Bankruptcy Exit

WASHINGTON (Dow Jones/AP) – A unit of Mexican conglomerate Grupo Mexico says it’s willing to invest $300 million to finance subsidiary Asarco exit from bankruptcy.

However, the company’s complaining that the mining company is ignoring its offer. In court papers filed in Corpus Christi, the Grupo Mexico unit complained that Asarco has refused to respond to its financing offer.

Asarco has a closed plant in El Paso, and is in the process of settling claims for environmental damages with the federal government and several states.

Grupo Mexico has asked the bankruptcy court for an emergency hearing on its request that Asarco get the parent’s permission before agreeing to settlements worth more than $10 million. The court set a hearing for next week.

(Copyright 2007 by The Associated Press. All Rights Reserved.)

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Edited and Posted for KVIA.com by Miguel Martinez