Aveng Limited - Update on Marikana Dispute
AVENG LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1944/018119/06)
ISIN: ZAE000018081 CODE: AEG
("Aveng" or the "company")
The Annual Report to shareholders provided details of a dispute between Moolman
Mining, a division of Grinaker-LTA Limited, and Aquarius Platinum South Africa
(Pty) Limited ("Aquarius") regarding the application of the terms of the "rise
and fall" price adjustment mechanism in the open-cast mining contract between
Moolman Mining and Aquarius ("the dispute"). In particular, it was reported
that independent auditors had been appointed to conduct an audit of the costs
incurred in relation to the contract and, based thereon, to calculate and
determine the weightings of the cost elements.
The independent auditors have now finalised and issued their Assurance Report
relating to the contract expenditure and the actual weightings of the cost
elements in respect of the dispute. Based on these cost weightings, a revised
claim of approximately R169.3 million (excluding VAT) has been submitted to
Aquarius for the period May 2002 to September 2005. In addition, a claim has
been submitted in respect of interest thereon for the corresponding period.
Aveng and Aquarius continue to hold discussions to resolve this dispute, but may
return to arbitration should these discussions fail.
Sandton
18 October 2005
Sponsor
J.P. Morgan Equities Limited
Date: 18/10/2005 02:47:07 PM Produced by the JSE SENS Department
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