Johannesburg - South Africa's Northam Platinum has acquired a mining right from Anglo American Platinum (Amplats) for R1 billion ($72 million), the companies said on Tuesday.
“The proceeds will be used to further reduce net debt and strengthen Anglo American Platinum's balance sheet,” Amplats CEO Chris Griffith said.
The right comprises around 16.7 million ounces and is on the northwestern boundary of Northam's Zondereinde mine. Northam says it will be able to extract higher-grade ore for longer.
The resource is similar in character to that of the Zondereinde ore body.
“A short lead time and limited capital expenditure are required to access the acquired resource from Zondereinde's existing infrastructure,” Northam says.
The transaction remains subject to the consent of the Minister of Mineral Resources.
REUTERS
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