| Wed 1 Jul 2009, 14:30 | | PAN - Pan African Resources plc - Pan African To Manage Barberton Mines And |
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PAN
PAN
PAN - Pan African Resources plc - Pan African To Manage Barberton Mines And
Accelerate Payment For Phoenix Platinum
Pan African Resources plc
(Incorporated and registered in England and Wales under Companies Act 1985
with registered number 3937466 on 25 February 2000)
Share code on AIM: PAF
Share code on JSE: PAN
ISIN: GB0004300496
(`Pan African` or the `Company`)
PAN AFRICAN TO MANAGE BARBERTON MINES AND ACCELERATE PAYMENT FOR PHOENIX
PLATINUM
Pan African announces that, as anticipated in the announcement dated 26 June
2009, it has agreed with Metorex Limited ("Metorex") to an early termination
of the Metorex management agreement in respect of Barberton Mines (Pty)
Limited ("Barberton Mines") dated 2 April 2003 ("management agreement"), with
effect from 1 July 2009.
In exchange for:
- Metorex agreeing to waive the requirement for Pan African to give
Metorex 12 months` written notice of termination of the management
agreement; and
- Pan African agreeing to an acceleration of the payment of the
outstanding consideration in respect of the option to acquire 100% of
Phoenix Platinum Mining (Pty) Limited ("Phoenix Platinum") as provided
for in the amended option agreement between Pan African, Metorex and
Phoenix Platinum dated 19 May 2009,
the parties have agreed to a reduction in the management fees for 2010
payable by Barberton Mines to Metorex in respect of the management agreement
from ZAR7 million (approximately GBP549,500) to ZAR4 million (approximately
GBP314,000).
Pan African will now pay Metorex the total outstanding consideration of
ZAR12,089,536 (approximately GBP949,000) in respect of the option to acquire
100% of Phoenix Platinum by no later than 30 September 2009, rather than on
the agreed pro rata basis over 12 months as was announced on 21 May 2009.
Pan African also announces the appointment of Mr Mario Gericke as Executive
Mining Operations. Mr Gericke has significant experience overseeing and
managing mines, especially in the precious metals arena. He holds a Bachelor
of Engineering from the University of Pretoria and is a registered
professional engineer with the Engineering Council of South Africa. Mr
Gericke has most recently been responsible for the management of Barberton
Mines on behalf of Metorex and has been appointed to oversee all of the
mining operations of Pan African, including new ventures but excluding
Phoenix Platinum, which will continue to be overseen by Mr Ron Holding.
CEO Jan Nelson noted, "The team at Pan African has enjoyed considerable
skills transfer from Metorex and in recent months has increasingly been
managing the mine themselves. The appointment of Mario will further
strengthen our already competent management team."
ENDS
For further information on Pan African Resources plc, please visit the
website at www.panafricanresources.com
Enquiries:
Pan African Resources
Jan Nelson, CEO
+27 (0) 11 243 2900
Keith Spencer, Chairman
+27 (0) 11 880 3155
Nicole Spruijt, Public Relations
+27 (0) 11 243 2900
RBC Capital Markets
Martin Eales
+44 (0) 20 7029 7881
Macquarie First South Advisers (Pty) Limited
Melanie de Nysschen
+ 27 (0) 11 944 5816
St James`s Corporate Services Limited
Phil Dexter
+44 (0) 20 7499 3916
FDBeachhead Media & Investor Relations
Jennifer Cohen
+27 (0) 11 214 2401
Louise Brugman
+27 (0) 83 504 1186
Date: 01/07/2009 14:30:01 Produced by the JSE SENS Department.
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