Wesizwe Secures $877m from JNMC and CADF

22 December 2010 (Last Updated December 22nd, 2010 18:30)

South Africa's Wesizwe Platinum has secured $877m in project financing from Chinese non-ferrous mining firm Jinchuan Mining Group (JNMC), and the China-Africa Development Fund (CADF). The deal will be China's biggest investment in the South African mining sector, according to domain-b.com

South Africa's Wesizwe Platinum has secured $877m in project financing from Chinese non-ferrous mining firm Jinchuan Mining Group (JNMC), and the China-Africa Development Fund (CADF).

The deal will be China's biggest investment in the South African mining sector, according to domain-b.com.

Under the financing, JNMC and CADF will invest $227m in the equity of Wesizwe Platinum by staking 45% in the company or by subscribing to 732 million shares.

The consortium will secure a further $650m for the completion of the company's Frischgewaagd-Ledig project, which has the potential to produce around 350,000oz of platinum group metals a year.