DRD - DRDGOLD - Sale Of DRDGOLD`S Interest In Porg
DRD
DRDD
DRD - DRDGOLD - Sale Of DRDGOLD`S Interest In Porgera To Barrick And Further
Cautionary Announcement
DRDGOLD LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1895/000926/06)
ARBN: 086 277 616
JSE trading symbol: DRD
ISIN: ZAE000058723
Issuer code: DUSM
Nasdaq trading symbol: DROOY
("DRDGOLD")
SALE OF DRDGOLD`S INTEREST IN PORGERA TO BARRICK AND FURTHER CAUTIONARY
ANNOUNCEMENT
DRDGOLD`s Australian subsidiary, Emperor Mines Limited ("Emperor") announced
today that it has entered into an agreement to sell its 20% interest in the
Porgera Joint Venture ("Porgera") to Barrick Gold Corporation ("Barrick") ("the
transaction").
The total consideration for the transaction is US$250 million plus an additional
adjustment amount, to be paid in cash. The effective date of the transaction is
1 April 2007 and completion is expected to occur within four months (subject to
the timing of receipt of the relevant regulatory approvals).
The transaction is subject to the approval of Emperor and DRDGOLD shareholders,
as well as certain regulatory approvals and the approval of Emperor`s
financiers, Australia and New Zealand Banking Group Limited. The board of
DRDGOLD is supportive of the transaction.
John Sayers, CEO of DRDGOLD commented: "The transaction delivers significant
value to all shareholders of Emperor, including DRDGOLD. The sale price
represents a full price for Emperor`s interest in Porgera. Importantly,
proceeds from the divestment of Porgera will allow Emperor to repay debt."
Following the sale of Porgera, Emperor`s key assets will include the wholly-
owned Tolukuma gold mine, as well as a significant Papua New Guinea gold and
copper/gold exploration portfolio. In due course, Emperor expects to make a more
detailed announcement in relation to its future strategy.
For further information, please refer to Emperor`s announcement to the
Australian Securities Exchange, as published by DRDGOLD on SENS today, 12 April
2007.
As a result of the above, DRDGOLD shareholders are referred to the cautionary
announcement published on SENS on 26 March 2007 and are advised to continue to
exercise caution when dealing in DRDGOLD`s securities until a full announcement
is made.
Johannesburg
12 April 2007
Sponsor
Standard Bank
Date: 12/04/2007 16:17:01 Produced by the JSE SENS Department.
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