By:
Natalie Greve
3rd October 2014
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JOHANNESBURG (miningweekly.com) – Sydney-listed Nkwe Platinum has lost its 64% indirect interest in the two farms forming the Tubatse project, in South Africa’s Mpumalanga province, after the Supreme Court set aside an earlier judgment that awarded the prospecting rights for these farms to Nkwe’s black economic-empowerment partner Genorah Resources, in partnership with local communities.
The miner said in a statement on Friday that the prospecting rights to these farms – Eerst Geluk 327KT and Nooitverwacht 324KT – had, over “a long period of time”, been subject to numerous applications to both administrative and legal bodies in South Africa.
In 2011, the Constitutional Court had set aside the prospecting rights to these farms that had previously been held by Genorah, in partnership with the local communities.
Following an application and subsequent review of this application, the Department of Mineral Resources re-issued the prospecting rights to both farms to Genorah and the local communities.
This award, however, became subject to legal challenge and the full court of
the Supreme Court had now set aside the award, resulting in Nkwe Platinum losing its indirect interest in the farms.
Genorah and its local community partners had advised Nkwe Platinum that it intended to appeal this decision.
“It should be made clear that, while the Tubatse project is of value to the company, these two farms are not part of the company’s flagship Garatau, De Kom and Hoepakranz projects, wherein it holds a valid mining right and has completed a substantial bankable feasibility study.
“It is these projects that Nkwe Platinum plans to advance towards production in the most efficient manner,” the company said on Friday.
