Aquarius receives BEE funding, to build third mine in S.Africa

JOHANNESBURG – Aquarius Platinum will start building its third South African mine after receiving 860 million rand from a black-led group taking a 30 per cent stake in the firm’s local operations, Aquarius said yesterday.

Aquarius, listed in Australia and Britain, said last December it had arranged for a group of black investors to take a stake in the company, allowing financing of the new Everest mine. The black economic empowerment (BEE) consortium made payment last week, Aquarius said in a statement.”It is an achievement on the part of the BEE partners to raise 860 million rand, which will be utilised by AQPSA to build its third mine in South Africa.The Everest team has been mobilised forthwith,” Chief Executive Officer Stuart Murray said.The consortium led by South Africa’s Savannah Resources will now hold a 29,5 per cent stake in Aquarius’ South African operations.Everest South is due to produce 220 000 ounces of platinum group metals per year when it reaches full production in mid-2006.The agreement will allow Aquarius to meet the requirements of South Africa’s mining charter, which demands that miners transfer 26 per cent of their local operations to black-owned groups within 10 years, aiming to help erase the legacy of apartheid that left most of the economy in white hands.Aquarius also has operations in Zimbabwe.South Africa’s Impala Platinum Holdings Ltd (Implats), the world’s second biggest platinum producer, is the biggest shareholder in Aquarius as a whole, owning an 8,8 per cent stake.Aquarius shares in London were 5,11 per cent higher at 252-1/2 pence by 0945 GMT.-Nampa-ReutersThe black economic empowerment (BEE) consortium made payment last week, Aquarius said in a statement.”It is an achievement on the part of the BEE partners to raise 860 million rand, which will be utilised by AQPSA to build its third mine in South Africa.The Everest team has been mobilised forthwith,” Chief Executive Officer Stuart Murray said.The consortium led by South Africa’s Savannah Resources will now hold a 29,5 per cent stake in Aquarius’ South African operations.Everest South is due to produce 220 000 ounces of platinum group metals per year when it reaches full production in mid-2006.The agreement will allow Aquarius to meet the requirements of South Africa’s mining charter, which demands that miners transfer 26 per cent of their local operations to black-owned groups within 10 years, aiming to help erase the legacy of apartheid that left most of the economy in white hands.Aquarius also has operations in Zimbabwe.South Africa’s Impala Platinum Holdings Ltd (Implats), the world’s second biggest platinum producer, is the biggest shareholder in Aquarius as a whole, owning an 8,8 per cent stake.Aquarius shares in London were 5,11 per cent higher at 252-1/2 pence by 0945 GMT.-Nampa-Reuters