Thabex - Disposal Of 40% Interest In Pioneer Miner
THABEX EXPLORATION LIMITED Young Lions Exploring Africa
("Thabex" or "the Company") Listed on The JSE - Code TBX
Registration No 1988/000763/06 Explore our website:www.thabex.com
E-mail:info@thabex.com
DISPOSAL OF 40% INTEREST IN PIONEER MINERALS (PTY) LTD
Introduction
PSG Investement Bank Ltd is authorised to announce that, Thabex has entered
into an agreement on 15 May 2001 to dispose of its 40% interest in Pioneer
Minerals (Pty) Ltd ("Pioneer") for an amount of R2,6 million to New Hope
Mining (Pty) Ltd ("New Hope") and the repayment of its loan account in
Pioneer of R896 000. The agreement was conditional on the payment being
effected on 11 June 2001. Pioneer is exploring for alluvial diamonds along
the Orange River in the Prieska district in the Northern Cape Province. New
Hope has resently aquired a 60% interest in Pioneer for R2,75 million.
Settlement of dispute
Payment of R3,5 million was received by the Company and cleared on 11 June
2001 as full and final settlement of the dispute between New Hope and Thabex
regarding the acquisition by New Hope of the 60% in Pioneer which was not
owned by the Company. Details of the dispute were contained in Thabex's
Annual Report for the period ended 28 February 2001 dated 8 May 2001.
Benefit to Thabex and future prospects
Thabex will utilise the cash from the disposal to fund on-going exploration
expenditure of the company's wholly owned subsidiary Pure Diamonds Ltd
("Pure Diamonds") in the Taung district in the North West Province along the
Harts River and to further strengthen its marketing of polished diamonds. In
the event that the exploration on the Potgietersrus Platreef project
currently being conducted by Falconbridge Ventures of Africa (Pty) Ltd
("FVA") proves successful, Thabex plans to utilise a substantial portion of
the cash of its disposal of Pioneer towards the Company's required
contribution of the joint venture with FVA. Should FVA proceed with a
bankable feasibility on the project after it has spent R5,2 million during
an option period of three years, which period commenced on 3 October 2000,
Platinexco (Pty) Ltd, a wholly owned subsidiary of Thabex, will be required
to contribute 49% of the cost of this phase or dilute to a 25% interest in
the proposed joint venture. The Company is also planning to pursue
exploration opportunities in other African countries.
Financial effect of the disposal
The effect of the disposal as at 28 February 2001 would have been:
Before After % Change
Profit/(loss) per share (cents) (12,10) 11,30 193,39
Headline Earnings/(loss) per
share (cents) (9,73) 11,75 220,76
Weighted average number of
shares in issue 14 958 767 14 958 767 -
Net asset value per share (cents) 55,77 76,35 36,90
Number of shares in issue as
at 28 February 2001 17 006 887 17 006 887 -
Full details of the disposal agreement will be contained in a circular to
shareholders, which will be dispatched in due course.
Withdrawal of Cautionary Announcement
The cautionary announcement of 15 May 2001 is herewith withdrawn.
By order of the board
Johannesburg
12 June 2001
Sponsor Attorneys
PSG Investment Bank Ltd Brink Cohen Le Roux & Roodt Inc
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