According to a statement issued by Anglo Platinum, the joint venture will be sold to the platinum miner for a total of R1.863 billion.
Chris Griffith, CEO, Anglo American Platinum commented on the transaction and said, “Anglo American Platinum has accepted an offer from Royal Bafokeng Platinum for our 33% interest in the BRPM JV, whilst retaining the BRPM JV purchase of concentrate.
“The transaction allows RBPlat to increase its attributable resource and reserve base in BRPM, and furthers empowerment in the PGM industry with RBPlat fully owning and operating low cost, high quality assets with attractive growth optionality at Styldrift.”
Griffith noted that the disposal of interest in the BRPM JV would allow Anglo to focus its capital allocation into its own-managed mines and projects.
“Exiting the BRPM JV allows Anglo American Platinum to focus its capital into its own-managed mines and projects rather than into non-managed operations where it holds minority interests.
Griffith said Anglo would retain its right to process 50% of the BRPM JV concentrate for the life of mine, while RBPlat would retain its termination right on the remaining 50% of BRPM JV concentrate every five years, with the earliest termination being in August 2022.