Anglo American Platinum confirms the completion of the acquisition of both Glencore Operations South Africa Proprietary Limited’s (“Glencore”) 40.2% interest and Kagiso Platinum Ventures Proprietary Limited’s (“Kagiso”) 9.8% interest in the Mototolo joint venture (“Mototolo JV”). With effect from 1 November 2018, Mototolo will become a wholly-owned operation of Anglo American Platinum.
The upfront purchase consideration to Glencore is c.R0.9 billion and a deferred consideration will be settled monthly over a six-year period and will be determined based on the Rand PGM prices over the Mototolo JV life of mine to 2024.
A total purchase consideration of R267 million was paid to Kagiso, with no further deferred consideration being payable.
Chris Griffith, CEO of Anglo American Platinum commented on the Transaction: “The acquisition of the Glencore and Kagiso interests in the Mototolo JV results in Anglo American Platinum wholly-owning a mechanised, low-cost, high quality resource, creating another major PGM hub for the Company.
The Transaction unlocks significant optionality for the Company in its adjacent wholly-owned Der Brochen resource, and will increase the life-of-mine to over 30-years creating material value for Anglo American Platinum”Please refer to the announcement of the transaction dated 23 July 2018 for further information.