NEWS
NON-FERROUS  

South African court clears way for Sibanye’s acquisition of Lonmin

South Africa's Competition Appeal Court said Friday that Sibanye-Stillwater's (JSE:SGL) (NYSE:SBGL) planned takeover of Lonmin (LON:LMI) could go ahead, clearing the way for shareholders to vote on the transaction that would create the world's second-largest platinum producer.

The country’s Competition Tribunal had approved the deal in November last year, but Lonmin's main mining union, the Association of Mineworkers and Construction Union (AMCU), filed an appeal to try to block it or have it re-examined. The move was an effort to avoid some of inevitable layoffs, originally estimated at 3,000, that will take place after the business combination.

“We welcome this decision as it clears the way towards the shareholder votes on 28 May,” Ben Magara, chief executive of Lonmin, said in the statement. “The combination creates a larger and more diversified company,which we believe is in the best interest of Lonmin shareholders and other stakeholders.”

The all-share offer has been considered a rescue deal for Lonmin, severely hit by weak platinum prices during the 2016-2017 downturn, costs related to the strengthening rand, a large labour force and expensive deep-level mines.

For Sibanye, is just one more of many deals struck by chief executive officer, Neal Froneman, who has transformed the gold miner by expanding its operations into the platinum-group metals sector.

News No: 4582
Date: 2019/05/19 - 21:54
News Source: MINING.COM

South African  platinum  transaction  AMCU  mining 

Comments:

Leave a Comment:

   
   
   
 

Argentina’s mining sector holds off investments as presidential election looms

Argentina’s mining industry is following closely what opposition candidate Alberto Fernández, the front-runner for October’s presidential election, has to say when it comes to resources exploitation and foreign investment, as worries about the potential Peronist government turning to protectionist measures and populist policies.
 

Chilean miner Mantos Copper secures $250m to finance concentrator expansion

Private Chilean copper producer Mantos Copper has secured $250 million to fund the expansion of the sulphides concentrator at its Mantos Blancos operation, which will extend the life of the open-pit mine until 2035 and reduce costs.
 

Eldorado finds first Canadian mine may be richer than thought

Canadian bullion producer Eldorado Gold (TSX:ELD)(NYSE:EGO) said on Thursday that exploration carried out at its Quebec’s Lamaque mine so far this year revealed high grade mineralization beyond the 2018 resource model in the lower portion of the deposit, as well as more ore clusters.
 

BHP investors file resolution to cut funding for Australian coal lobby groups

Several BHP Group shareholders, including the Church of England pension fund, are recommending the company suspend its membership in industry groups that advocate for policies inconsistent with the Paris climate change agreement.
 

Chilean legislators reject lithium expropriation

Chilean legislators have rejected a bill allowing the expropriation of private companies involved in lithium mining in the country, which would have left the door open for the state to take over firms such as Albemarle and SQM, the world’s No. 1 and second largest producers of the battery metal.
 

PELLEX Down by INR100/WMT

PELLEX decreased to INR 6,050/WMT (DAP Raipur) on reduced domestic offers. No significant transaction was reported during this publication window.
Upcoming Events
Publications
 Mines & Metals

Mine & Business Today

 Scrap & Recycling

Ahangan

Our partners