The company has offered to acquire 100% of the issued shares in Flinders at A$0.30 cash per share, implying a fully diluted value for Flinders of about A$554m ($550.12m).
The transaction is expected to close in March 2012, subject to regulatory approvals in Australia.
The flagship asset of Flinders, the Pilbara iron ore project (PIOP), is located in the West Pilbara region of Western Australia.
Production at PIOP is expected to start in 2015 with estimated annual volumes of 15 million ton of saleable product.
