Amplats sale of Rustenburg operations unconditional

19th October 2016 By: Megan van Wyngaardt - Creamer Media Contributing Editor Online

JOHANNESBURG (miningweekly.com) – The R4.5-billion sale of Anglo American Platinum’s (Amplats’) Rustenburg Operations to Sibanye is now unconditional.

This follows, besides other things, the granting of consent in terms of Section 11 of the Mineral and Petroleum Resources Development Act for the sale of the Rustenburg Operations mining right and prospecting right to Sibanye.

As a result, the transaction will complete on November 1, when Sibanye will take over ownership, control and management of the Rustenburg Operations in accordance with the transaction agreements.

The sale forms part of Amplats’ portfolio review in response to the structural changes taking place in the platinum industry, removing 350 000 oz of unprofitable platinum production.

The Rustenburg Operations comprise the Bathopele, Siphumelele and Thembelani mining operations, which include the integrated Khuseleka and Khomanani concessions, two concentrating plants, an on-site chrome recovery plant, the Western Limb tailings retreatment plant and associated surface infrastructure and related assets and liabilities.

Sibanye CEO Neal Froneman said in a statement that the company welcomed the receipt of the consent from the Department of Mineral Resources, which was the last regulatory condition outstanding.

“We look forward to now incorporating the Rustenburg Operations into our platinum division, which will allow us to realise cost savings across the group,” he added.