UPDATE 2-OZ Minerals gets debt rollover, China bid looms

* Wins further debt rollover from banks, shares jump 18 pct

* $1.7 bln rescue bid from China's Minmetals on track

* Posts year loss of A$2.48 bln

(Adds fresh quote, asset sale comment, updates shares)

SYDNEY, Feb 27 - Australian-listed OZ Minerals Ltd , the world's second-largest zinc miner, has won another debt rollover from its banks, the firm said on Friday, ensuring that a $1.7 billion rescue bid from China remains on track.

Shares in the miner, owner of the giant Century zinc mine in Australia, jumped 18 percent to a high of 66 cents on the news.

The takeover bid from Chinese state-owned metals trader Minmetals could have collapsed if banks went ahead and called in a A$140 million ($91 million) loan due to be repaid by OZ Minerals later on Friday.

"Today is a very important next step for us towards securing our future," Chief Executive Andrew Michelmore told analysts in a briefing, describing the rollover as a vote of support by its banks for the Minmetals offer.

OZ Minerals, in posting a year loss of A$2.48 billion ($1.63 billion) on plunging metal prices, said its banks had agreed to defer repayment to March 31, but noted that one more rollover would be needed to give the deal time to be completed.

The miner's shares have fallen 87 percent since their 2007 peak, when commodity markets were still booming. Minmetals is offering 82.5 cents cash.

OZ Minerals' bankers will be repaid if the agreed takeover goes through, but Minmetals still needs foreign investment approval from the government amid some political hostility to major consumer countries taking over Australian mines.

Some Australian politicians are wary of handing control of local miners, which make up the nation's biggest export industry, to China, which is its biggest export customer. They argue that it is in China's interests to keep Australian export prices low.

OZ Minerals said the Foreign Investment Review Board was "seeking lots of information" from the company and from its suitor, Minmetals, but hoped the board would approve the deal by March 21, within the 30-day initial waiting period for a ruling.

The board, which advises the Australian Treasurer who in turn makes the final decision, can extend the process to 90 days.

OZ Minerals is also looking to sell some mines, including Australian base and precious metals mine Golden Grove and the suspended Indonesian gold-silver mine Martabe. It could announce one or two sales within the next week, it said on Friday.

Cash from these sales would enable it to remain solvent even if some banks refuse a further debt rollover, keeping the Minmetals takeover on track, it added.

OZ Minerals' loss included asset writedowns of A$2.3 billion.

"This result was impacted by falls in prices across our major commodities, significant impairment of assets and other asset write downs," Michelmore said.

But he added there were signs that weaker demand from China, one of the firm's biggest export customers, was bottoming out. ($1=1.533 Australian Dollar)