Limpopo Economic Development Agency fights to retain mining stake after Chinese failure

  • 📰 City_Press
  • ⏱ Reading Time:
  • 33 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 72%

Business Business Headlines News

Business Business Latest News,Business Business Headlines

The Limpopo Economic Development Agency has gone to court to try to protect and retain its 40% stake in a chrome mine after its Chinese partner ran the enterprise into business rescue and the assets were sold to another Chinese company

According to legal correspondence and two high-placed sources from the state-owned company and the Limpopo provincial government, the mineral resources and energy department not only declined to prevent the right from being swallowed by the business rescue process and sold to another Chinese company, the department signed the transfer of the right to the new Chinese owners.

ASA wholly owned and operated Dilokong Chrome Mine, which was placed under business rescue in 2015 and its assets stripped and bought by two Chinese companies, Tubatse Chrome Minerals and Cheetah Chrome. Tubatse bought the smelter for about R350 million and Cheetah bought the mine for an undisclosed amount after Leda’s bid of R450 million failed.

“They ran the mine down only to buy it at business rescue and the government folded its arms,” said one senior executive close to the matter. “These matters are before the courts and we have been reliably advised that until they are resolved, we are unable to comment further,” Monkoe said.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Dribbled again..

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 7. in BUSİNESS

Business Business Latest News, Business Business Headlines