|
SIM
SIIF
Simmers - Simmers to acquire four shaft assets from Harmony
SIMMER AND JACK MINES LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1924/007778/06)
("Simmers" or "the company")
Share code: SIM
ISIN: ZAE000006722
PRESS RELEASE
Issued by Simmer & Jack Mines, Limited
October 23 2006
SIMMERS TO ACQUIRE FOUR SHAFT ASSETS FROM HARMONY
Simmer & Jack Mines, Limited (Simmers) has concluded an agreement with Harmony
Gold Mining Company Limited (Harmony) to acquire the entire infrastructure
relative to Ezulwini Mine, formerly Randfontein Estates Number Four Shaft, for a
sum of R55-million. The transaction also includes the sale of sufficient land to
construct new processing facilities, operate the mine and dispose of tailings
onto an existing tailings dam.
In 2005, Simmers entered into an agreement with Harmony, the previous holder of
the mining right at Ezulwini Mine, to continue the pumping obligations after
Harmony was given permission by the Department of Minerals and Energy (DME) to
commence its closure plan which included the controlled flooding of Four Shaft.
Simmers received a conditional approval for new order mining rights from the DME
in May this year.
"On conclusion of the conditions precedent to this agreement, Simmers will own
the equipment and infrastructure required to make the mine operational again.
The agreement with Harmony also provides for the transfer of the environmental
liabilities related to the Four Shaft Assets and funds to be used for the
establishment of the new Environmental Trust Fund required by the DME," said
Gordon Miller, CEO of Simmers.
Miller added, "By continuing the pumping obligations, Simmers has managed to
keep the infrastructure dry in order to access the shaft pillar and our
feasibility study confirmed that we have substantial, viable gold and uranium
resources at Ezulwini, which can be mined either separately or as co-products of
each other."
Resource statements compiled by independent consulting firms for the Ezulwini
project are available on the company"s website at www.simmers.co.za.
"These statements are now being independently audited by international experts
ahead of our capital raising exercise to realize the value of the measured and
indicated uranium and gold resources at Ezulwini. In the meantime,
rehabilitation and support of underground shaft stations and pump chambers has
commenced and the contract for shaft support and rehabilitation is being
finalised between Simmers and the preferred bidder for the shaft rehabilitation
project," said Miller.
Simmers expects to begin gold production as soon as the shaft pillar de-stress
stoping commences, currently scheduled for the second quarter of 2007.
For further information, please contact Gail Strauss on 084 777 4060
For more information, please visit www.simmers.co.za
Date: 23/10/2006 12:19:04 PM Produced by the JSE SENS Department
| Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information. | |||||||||||||
| Other Profile Group sites: FundsData Online (unit trust data) | Profile Group corporate site | |||||||||||||
| [ Terms of Use | Privacy Policy | PAIA manual | FAQs/Help | Site Map | © Copyright Reserved 2026 ] | |||||||||||||
|
|||||||||||||
