• BEE News

AUSTRALIA'S SOUTH32 LOOKS TO REDUCE INTEREST IN SA COAL BUSINESS

EWN / 27 NOVEMBER 2017 - 18.00 / STAFF REPORTER

The company also added in the statement that it would invest R4.3 billion ($305.14 million) in SAEC’s Klipspruit Life Extension project.

SYDNEY - Australian miner South32 Ltd on Monday said its South Africa Energy Coal (SAEC) business would be run as a stand-alone unit, with the goal of widening its ownership and possibly listing it on the Johannesburg Stock Exchange.

Surface coal mine transportation. Picture: EWN

“This will present opportunities for Broad-Based Black Economic Empowerment entities, employees and communities,” the company said in a statement.

The South African government made changes to the country’s Mining Charter in June, raising the threshold for black ownership of mining firms to 30%, from 26%, despite protests from the Chamber of Mines, an industry body.

The Mining Charter contains regulations meant to redress imbalances of the nation’s past apartheid rule and stipulates rules for white-owned companies to sell stakes to black businesses.

The company also added in the statement that it would invest R4.3 billion ($305.14 million) in SAEC’s Klipspruit Life Extension project. The investment is intended to extend the project’s life by about 20 years.

While shares in the miner closed about 2.6%-lower in Australia on Monday, they have gained 21.1% so far in 2017.

---------

LINK - http://ewn.co.za/2017/11/27/australia-s-south32-looks-to-reduce-interest-in-sa-coal-business

Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER

1 view

© 2019 BEE Chamber (PTY) Ltd, All Rights Reserved