Anglo American: Minister champions sales to locals

ANGLO American and other companies looking to sell some of their mining assets in the country should sell to national champions, or companies owned by local communities and by their workers, the mining minister said on Monday. Anglo American is looking at selling some of its coal assets and has been considering options for its Rustenburg platinum mines. “At the moment, for example, Anglo American is looking to dispose of most of its coal mines in South Africa so I want my people to take over those mines,” Mineral Resources Minister Ngoako Ramatlhodi said, referring to the national champions he was fostering. “In Rustenburg, I would hope we can manage to grab those as well,” he said without specifying what the economic conditions for such an acquisition would be. A steep fall in commodity prices, as well as disruption from labour disputes, plus uncertainty about potential policy changes, has diminished the country’s appeal for mining investments. Ramatlhodi said the idea was to promote a type of company that would include a large percentage of women and young workers and proposed several financing schemes that could be put together through local financial institutions. Shares rose 1.18 percent to R188.19 yesterday. – Reuters