DMR approval for Northam’s Tumela acquisition
transaction to be concluded in due course
Johannesburg, Friday 25 August 2017. Northam is pleased to announce that the DMR has approved the company’s intended acquisition of a portion of the Amandelbult mining right. The section 102 consent, issued in terms of the MPRDA mining licence amendment process, will provide Northam’s Zondereinde mine access to an additional resource of 16.7Moz.
Northam chief executive Paul Dunne said today, “Northam is pleased to have achieved this significant milestone and looks forward to concluding the transaction in due course. The incorporation of Tumela will increase Zondereinde’s life expectancy to beyond 30 years, it provides significant operating synergies for Zondereinde, delivering flexibility and optionality and allows the mine to continue mining higher-grade Merensky reef at little incremental cost.”
The section 102 consent fulfils one of the key conditions precedent to the transaction, which is valued at R1 billion in cash.
Distributed by R & A Strategic Communications
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