Gilbertson blasts min­ing char­ter

CityPress - - Business -

The lat­est ver­sion of the Min­ing Char­ter is a disaster that will scare off for­eign in­vest­ment, Pallinghurst Re­sources chair­man Brian Gilbertson said this week.

“The Min­ing Char­ter is a disaster. In­vestors will not come in to in­vest into any­thing like this,” he told City Press dur­ing an event by Nt­sim­bin­tle Min­ing at Kathu in the North­ern Cape.

When the char­ter was gazetted and an­nounced ear­lier this month, JSE min­ing com­pa­nies’ share prices fell sharply and all the ma­jor min­ing com­pa­nies lost bil­lions in col­lec­tive market value.

Gilbertson said there were five or six el­e­ments of the min­ing char­ter that no in­ter­na­tional in­vestor would tol­er­ate.

How­ever, there was cause for cel­e­bra­tion at the event, par­tic­u­larly among Nt­sim­bin­tle’s grass roots share­hold­ers, af­ter the com­pany’s lat­est div­i­dend pay­ment of R300 mil­lion in April.

Saki Ma­co­zoma, Nt­sim­bin­tle chair­man, said: “On a night such as this, we see how deep trans­for­ma­tion can truly run when we, as key players in the min­ing in­dus­try, hon­our our communities, par­tic­u­larly those sur­round­ing the mine.”

Nt­sim­bin­tle is a man­ganese min­ing and ex­plo­ration busi­ness. The metal has im­por­tant in­dus­trial metal al­loy uses, par­tic­u­larly in stain­less steel.

In 2003, nine black eco­nomic em­pow­er­ment groups formed Nt­sim­bin­tle to cre­ate a com­pany to pur­sue man­ganese op­por­tu­ni­ties in South Africa.

Pallinghurst has a 49.9% in Tshipi é Ntle Man­ganese Min­ing and the bal­ance of 50.1% of Tshipi’s shares is held by an em­pow­er­ment con­sor­tium that in­cludes Nt­sim­bin­tle.

Tshipi é Ntle owns Tshipi Borwa, which is a shal­low open­cast mine with ac­cess to an es­ti­mated 418 mil­lion tons of man­ganese ore. The mine is es­ti­mated to be one of the five largest man­ganese ex­porters world­wide and the largest man­ganese mine in South Africa.

– Sil­ver Sibiya

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