Fairstar increases stake in Golden West, extends offer

The bitter takeover battle for Golden West Resources is set to continue after Fairstar Resources extended its takeover offer for the group until February 13.

The move came after Fairstar increased its holding in Golden West from 25.8 per cent to 33 per cent.

Golden West has firmly rejected Fairstar's advances, arguing that the value of Fairstar scrip is highly uncertain and volatile and that Fairstar adds nothing to the planned Wiluna West iron ore project.

Fairstar shares fell 8 per cent to 29 cents while Golden West was 1.8 per cent higher at $2.20.