Anglo American Platinum unit Rustenburg Platinum Mines Limited has signed a ZAR1bn ($63m) deal to sell Northam Platinum mineral resources within the Amandelbult mining right, and surface properties surrounding the South African mine.
The Amandelbult mining right in South Africa covers an area of Merensky and UG2 resources, containing approximately 16.7 million 4E ounces, bordering the west side of Northam’s Zondereinde mine.
This mine is long-dated and outside of Anglo American Platinum’s long term life-of-mine plans. As a result, this agreement will not impact any present or future mining plans.
The deal also does not restrict next-generation options for the Amandelbult mine that has several shallow and less capital intensive life extension options.
As the agreement covers an ancillary mineral resource on the north-west corner of the Zondereinde mining right, this area provides Anglo American Platinum the flexibility to place mining infrastructure, including options for next-generation replacement or expansion plans at Amandelbult.
Anglo American Platinum CEO Chris Griffith said: “We are pleased to announce the disposal of certain long-dated mineral resources within the Amandelbult mining right to Northam. The transaction is mutually beneficial and allows us to exit resources for value which are outside of our life-of-mine plans and do not impact current mining or the future potential of Amandelbult.
“We have also secured an ancillary contiguous resource that provides us further flexibility for our future plans for the mine. The proceeds will be used to further reduce net debt and strengthen Anglo American Platinum’s balance sheet.”
The deal requires consent from the Minister of Mineral Resources, including approval under Section 102 of the Mineral and Petroleum Resources Development Act.