Liquidator Enver Motala would not name the Chinese state-owned mining company that will buy 65 percent of Aurora Empowerment Systems for $100-million (R686-million), but said he was confident the deal would give the cash-strapped company a boost.
The Chinese company also promised to employ embattled workers, who are owed bonuses for December 2009 and salaries from March to date.
“These are people with a proven track record. They have indicated that they will preserve jobs by utilising the local workforce. They will bring on board their management staff, which we are happy with,” Motala said.
Motala said the mining company was bigger than most operators in South Africa, with 20 operations in China. “They will introduce their technologically advanced equipment to the mining operations in South Africa so they can make the mines viable,” he said.
Last week the top brass from the Chinese company and liquidators held talks about a 65 percent stake in Aurora and control of its mines, Grootvlei on the East Rand and Orkney in the North West. Both mines have not been in operation since Aurora ran out of funds.
Aurora was appointed as the preferred bidder for Pamodzi Gold assets Grootvlei and Orkney after Pamodzi went into liquidation. The high court has given Aurora until Friday to obtain the necessary funding.
Motala said last week that the liquidators, senior leadership of Aurora and a delegation from the Chinese company including directors and senior compliance, financial and operational officers had held a constructive meeting.
“I can say that a bilateral economic exchange took place. They are going to acquire between (a) 60 and 65 percent stake in Aurora. Every effort has been made to fast-track the process... (an) announcement will be made soon,” he said.
National Union of Mineworkers spokesman Lesiba Seshoka said the deal with the Chinese was meaningless. “These mines have stopped operation and maintenance has long ceased. We will be happy when we see the success of the deal.” - Business Report