Inside the plant at
Atlatsa’s Bokoni
platinum mine
 
Johannesburg, South Africa — 28 March 2013 – Anglo American Platinum (Amplats) says it is to acquire two mining assets and inject capital into Atlatsa Resources as part of a R3.5 billion restructuring of the debt-laden miner.

Fin24 reports that Atlatsa, a platinum miner 26% owned by Amplats, will sell two assets “’ the eastern section of the Ga-Phasha project and the Boikgantsho project “’ to Amplats for R1.7 billion. It will also sell 125 million new shares to Amplats for R750 million.

The proceeds from both deals will be used to reduce Atlatsa debt owed to Amplats by 75%.

Amplats will also provide a new loan of R720 million to the company and a working capital facility of R90 million.

In order to simplify Atlatsa’s capital structure, which currently includes preference shares, Amplats will sell some of its stake in Atlatsa back to the company, reducing its share holding to 22.6%.

It added that its Bokoni platinum mine would be expanded to increase its mining operations from 100,000 to 160,000tpm. Bokoni is 49% owned by Amplats in a joint venture with Atlatsa.

Shares of Amplats, a unit of global miner Anglo American, fell nearly 4%.

Source: Fin24. For more information, click here.