Sydney  -  Sinosteel is set to become the first Chinese company to take over an Australian resources firm after iron ore miner Midwest Corporation recommended acceptance of a sweetened takeover bid.

Perth-based Midwest said Tuesday the deal was contingent on Sinosteel securing more than half of Midwest shares.

Midwest operates the 1-million-ton-a-year Koolanooka mine 200 kilometres east of Geraldton in Western Australia. (dpa)