JOHANNESBURG – Kumba Iron Ore has officially transferred the Thabazimbi mine in Limpopo to ArcelorMittal South Africa (Amsa) after all conditions were met, it was announced on Friday.
The employees, assets and liabilities, the mining rights and the assumed liabilities for the mine will be transferred to Amsa for R1 and the liabilities as of November 1.
Some of the conditions that were met included the granting of a Section 11 change of control permit from the Department of Mineral Resources, an Amsa due diligence, and Competition Authority approval.
Amsa chief executive, Kobus Verster, said: “The conclusion of this process allows us to take full ownership of the Thabazimbi Mine and continue with our investigations to decide the future of the operations.”
Thabazimbi was owned and run by Kumba subsidiary Sishen Iron Ore Company (SIOC), but was funded by and supplied ore exclusively to Amsa.
Amsa was, therefore, responsible for 96 percent of the mine’s rehabilitation liability, while SIOC was responsible for the site’s management and the remainder of the liability. The mine was shut in September 2016.