Further to the joint announcement, dated 12 February 2004, by the company and Mvelaphanda Resources Limited (“Mvela Resources”) regarding the proposed acquisition, by the company from Mvela Resources, of a 50% Joint Venture interest (“the JV interest”) in the Booysendal Platinum Project, the company announces that Messrs A J Wright and K W Maxwell, both of whom have extensive experience in the mining industry, have been appointed, together with Mr M E Beckett, a director of the company, to serve on an independent sub-committee of the board to consider the terms pertaining to the proposed acquisition of the JV interest and to advise the board in this regard.
Mr Alan Wright, previously Chief Executive Officer of Gold Fields of South Africa Limited, is a former Chairman of Northam and is currently the Deputy Chairman of Gold Fields Limited.
Mr Ken Maxwell, who previously held the positions of Managing Director of Rustenburg Platinum Mines Limited, Chairman of the JCI Gold Division and President of the Chamber of Mines of South Africa, is currently a Non-Executive Director (and former Chairman) of Anglovaal Mining Limited.
The JV interest includes 38,4 million attributable resource ounces on the UG2 horizon and 23,8 million attributable resource ounces on the Merensky horizon. The proposed consideration, which is to be settled by a combination of cash, new Northam ordinary shares and Northam deferred ordinary shares, is equivalent to R11,99 (US$1,74 at an exchange rate of R6,90 per US$) per UG2 resource ounce and R7,38 (US$1,07 at an exchange rate of R6,90 per US$) per combined Merensky and UG2 resource ounce.
Barnard Jacobs Mellet Corporate Finance (Pty) Limited