Lonmin to embrace AfriOre

first_imgThe South African Competition Commission (SACC) has approved the proposed transaction between Lonmin and AfriOre. An application for merger approval was made to the SACC by Lonmin and AfriOre on November 24, 2006 in accordance with Chapter 3 of the South African Competition Act. A Merger Clearance Certificate from the SACC has now been issued to Lonmin and AfriOre. In their ruling the SACC approved the proposed transaction without conditions.Mr. Warren Newfield, President and CEO of AfriOre, said: “We are very pleased to have received unconditional approval by the SACC in regard to the proposed transaction with Lonmin. We commend the SACC for their prompt and efficient handing of the application.”AfriOre, listed on both the Toronto Stock Exchange and the AIM of the London Stock Exchange, is focused on its 74%-owned, 4,095 ha Akanani platinum project, located on the Northern Limb of South Africa’s Bushveld Complex. In February 2006, the company commissioned a Pre-Feasibility Study (“PFS”) at Akanani, the results of which are expected by early 2007. Concurrent with the PFS, AfriOre has commenced preliminary engineering studies, which include metallurgical, smelter, water, environmental, and conceptual mine studies.In September 2006, AfriOre announced the results of an updated, independent mineral resource estimate for Akanani of 249.1 Mt at a grade of 4.2 g/t of Pt, Pd, Rh plus Au (collectively 3PGM+Au), plus 0.24% Ni and 0.14% Cu in the inferred category, which equates to 33.7 Moz of 3PGM+Au. This updated mineral resource estimate was prepared by Snowden Mining Industry Consultants for the P2 mineralized unit in the Southern Priority Area (SPA) of the project. The P2 unit is the well-developed, upper mineralized zone within the Platreef, and in the updated mineral resource area the P2 unit dips to the west at between 15° and 25° in the south of the area, increasing to approximately 45° in the northwest of the area. The updated mineral resource extends from some 800 m depth along the eastern project boundary to a selected depth of 2,000 m in the west. www.afriore.com.Lonmin is the third largest platinum producer in the world.Domiciled in the UK, the company is listed on both the London and Johannesburg Stock Exchanges, capitalized at approximately $9 billion and is a constituent of the FTSE 100. In the year to September 30 2006, Lonmin’s South African operations produced 947,795 oz of platinum and 1,807,044 oz of total PGMs. On October 9, 2006, Lonmin became the first platinum major to convert its old order mining rights into new order mining rights for the group’s Marikana operations, ensuring the viable future of these operations which currently constitute around 95% of Lonmin’s annual production.last_img

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