Amplats to conclude Union Mine sale

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BONUS – RUSTENBURG – Platinum producer Anglo American Platinum (Amplats) has confirmed via a statement on its website the completion all conditions precedent in relation to the sale of its 85% interest in Union Mine and its 50.1% interest in MASA Chrome by its wholly owned subsidiary Rustenburg Platinum Mines Limited to a subsidiary of Siyanda Resources Proprietary Limited.

The effective date of completion will be 1 February 2018, when Siyanda will take over ownership, control and management of these operations, stated the company.

“The upfront disposal proceeds of R400 million will be received in the form of cash on 1 February 2018 and used to reduce net debt and further strengthen Anglo American Platinum’s balance sheet.”

“In addition to the sales of Pandora and Rustenburg, with the completion of Union, Anglo American Platinum has executed a core part of its strategy of repositioning the portfolio,” stated Amplats CEO Chris Griffith.

“This Transaction will allow us to focus on our most competitive assets, which are largely open-pit and mechanised operations which will result in higher margin production, a smaller and more highly skilled workforce, safer operations and a less complex organisation.

Our core operations will benefit from dedicated management attention, technical expertise as well as enabling us to focus our capital allocation.”