JOHANNESBURG, South Africa, June 7, 2006 (PRIMEZONE) -- Impala Platinum Holdings Limited (Implats) announced today, 7 June 2006, the signing of the agreements relating to the acquisition of a stake in Marula Platinum Mine (Pty) Ltd by the Tubatse Platinum (Pty) Ltd and the Marula Community Trust.
Implats acquired Marula Platinum mine (previously the Winnaarshoek project), situated on the Eastern Limb of the Bushveld Complex, in December 2000, as a result of its acquisition of Toronto-listed Platexco Inc. To improve the economic viability of the project and broaden the mineral resource base, Implats also entered into an agreement with Anglo Platinum regarding the right to mine portions of the contiguous Driekop property. The adjacent Clapham and portions of the Forest Hill property have also been incorporated into the project.
In terms of the HDSA ownership transaction, both Tubatse Platinum and the Marula Community Trust will each acquire a 7.5% equity stake in Marula Platinum effective 1 July 2006, subject to the finalisation of the funding agreement. Implats will provide a full guarantee for the Marula Community Trust debt and will also guarantee Tubatse Platinum's debt until December 2014. The 15% black economic ownership in Marula Platinum is in line with the five year targets of the Mining Charter.
Tubatse Platinum is a broad based HDSA empowerment consortium from local business (incorporating over 20 business groups and is majority women-owned) in the Limpopo Region (in which the mine operates). The Marula Community Trust will ensure sustainable benefit flows to the local community over the life of the mine and beyond.
Les Paton, Implats Executive Director responsible for Marula Platinum says "Marula is a vital part of Implats' growth strategy. Tubatse Platinum's investment along with that of the Trust will facilitate the development of the mine and will ensure that our commitment to the building of a viable business relationship with previously disadvantaged communities is met."
Danny Msiza, Chairman of Tubatse Platinum, says "We appreciate Implats' initiative in including local community and identifiable business representation in the mining operation. This serves to advance economic independence and self sufficiency of marginalised indigenous communities thus creating opportunities for wealth creation and sharing."
In concurring with the agreement Howard Maimela, one of the trustees of the Marula Community Trust, said "This opportunity will assist the community in identifying and acting on initiatives for the economic and social development of the community at large."
Discussions are ongoing with Mmakau Mining in connection with that company's participation in the project and Implats is looking forward to a positive outcome.
Production of 29,800 ounces of platinum in concentrate was achieved in financial year 2005 with full production of 140,000 ounces scheduled for 2009.
For further information, please contact
Implats Tubatse Platinum Marula Community Trust
Les Paton Danny Msiza Howard Maimela
(011) 481 3916 (015) 293 0357 082-969-0049
082 448 7102 082 808 3191
Rob Dey Kinesh Pather
(011) 481-3916 Avalanche Capital
082 448 2539 (Corporate and legal
advisors to Tubatse
and the Trust)
082 377 3086