impondo

What do people know about Impondo? The name has become a bit more prominent lately as their subsidiary sold assets into KAB, a company run by Jason Brewer. I think it would be worth asking CCC at the meeting what work Impondo does for CCC. If the work done by Impondo is material I think it would be worthwhile for CCC to discuss their role with investors, even if they are not legally require to do so. I set out some of my thoughts below.

If you look at Impondos website, they appear to be pretty much Okap in South Africa. See link:

http://www.impondo.com/Partnerships.html

And yet Impondo is never mentioned by any of the Okap linked companies as far as I can tell. Of course, they do not have to mention it if Impondo is not a related party by the legal definition of that term.

I still wonder how much of the consulting fees that we've seen with CCC may have been paid to Impondo. There appears to be one incidence at least. Apparently Impondo did arrange the Vanmag sale. In the CCC accounts it says there is a 5% facilitation fee payable on the sale of Vanmag. On Impondo's web site, that becomes at 10% fee payable to Impondo. From the same link above:

"VANMAG
Vanmag is a Magnetite/ Vanadium mine with a new order Mining License situated in Mokopane (Potgietersrus). Continental Coal, an ASX listed company, holds 66%, LIMDEV 26% and Local Community 8% of the shareholding in this company. Impondo Mining Resource Consultants (Pty) Ltd holds a 10% indirect share in the sale of Vanmag. Impondo is responsible for production, sales and day to day management of Vanmag."

Impondo do seem to provide the type of services used by CCC. Arranging finance, mine planning, arranging BEE participations etc. Even coal trading:

http://www.impondo.com/services.html

On the home page, Impondo also says they provide logistics services. We know CCC has paid specifically for logistics services in the past:

http://www.conticoal.com/_content/documents/345.pdf

Anyway, perhaps CCC can explain whatever relationship does exist between CCC and Impondo at the meeting.