Modern Mining February 2020

MINING News

Certainty prevails in Koornfontein coal mine sale halt the sale process.

ferring the mine to Black Royalty Minerals. The interdicts were argued in front of Judge Matojane on 27 January 2020. Judgment was passed on 28 January 2020 with Judge Matojane dismissing all three interdict applications with costs. Makole Group’s chairman Ndavhe Mareda says Black Royalty Minerals is relieved that the court cases have been finalised and legal certainty prevailed. He says the business rescue practitioners can now be left to continue with their work of transferring the mine in terms of the approved business rescue plan. “BRM is ready to operationalise the mine, for the benefit of workers, the sur- rounding community and businesses as well as for the advancement of local eco- nomic activity. Now that the cases are behind us, the real work of getting the mine operational again can begin.” 

Since the Makole Group’s Black Royalty Minerals was announced as the preferred bidder for the acquisition of Koornfontein coal mine in late October 2019, it has been inundated with numerous inter- dicts and court applications to disrupt or

Lurco Group, Charles King SA and West­ dawn Investments approached the South Gauteng High Court on an urgent basis in order to interdict Koornfontein Mines’ Business Rescue Practitioners from trans-

Black Royalty Minerals is ready to operationalise the mine.

Shanta Gold to acquire Barrick’s Kenya gold projects East Africa-focused gold producer Shanta Gold (AIM: SHG) has entered into a defini- tive agreement pursuant to which it will purchase 100% of the shares of Barrick’s subsidiary, Acacia Exploration (Kenya) Ltd. (AEKL) from two subsidiaries of Barrick Gold Corporation. AEKL’s primary asset is a 100% participating interest in licences held by Afriore, which includes an existing high- grade resource, West Kenya project.

mining method. One of Shanta’s competi- tive advantages is being able to operate Long Hole Open Stoping operations more efficiently than its peers, which lends itself well to the advancement of the West Kenya Project,” adds Zurrin. The project has an Inferred Mineral Resource Estimate of 1 182 000 ounces of gold with a grading of 12,6 g/t, believed to be one of the highest grading +1 Moz gold deposits in Africa. It covers 1 161 km² within the Lake Victoria greenstone gold field located in north west Tanzania and south west Kenya, and home to Global Tier 1 assets including North Mara and Geita Gold Mine. The project requires in-fill drilling and technical studies prior to construction decision. A Fully financed purchase price totalling US$7-million cash, US$7,5-million

“The West Kenya acquisition is sig- nificant for Shanta Gold, creating an East African gold mining champion with real- isable growth prospects and high asset quality across three attractive gold projects,” comments Eric Zurrin, CEO of Shanta Gold. “Shanta has successfully operated in East Africa for nearly 20 years and this acquisition is a natural extension in terms of geographic footprint, skillset, size and

shares in Shanta Gold Limited has been issued to Barrick, as well as a 2% life of mine net smelter return (NSR) royalty over the project. As a result, Barrick will become Shanta Gold’s fifth-largest shareholder with a 6,4% interest.  Eric Zurrin, CEO of Shanta Gold.

6  MODERN MINING  February 2020