Australia's Oxiana offers shares for Zinifex

SYDNEY, March 3 (Reuters) - Australia's Oxiana Ltd OXR.AX said on Monday it would merge with Zinifex Ltd ZFX.AX to create the world's No. 2 zinc producer.

Oxiana is offering 3.2 of its shares for each Zinifex share. The new entity would be equally held by shareholders of each company, it said.

The new firm would have combined earnings before interest, tax, depreciation and amortisation (EBITDA) of A$1.7 billion ($1.6 billion), and a cash balance of A$1.9 billion. ($1=A$1.07)