Kumba and IDC sign MOU regarding the Northern Cape
Kumba Resources Limited ("Kumba")
ISIN: ZAE000034310
Share code: KMB
Metals and mining company Kumba Resources Limited ("Kumba") is pleased to
announce the signing of a Memorandum of Understanding ("MOU") with the
Industrial Development Corporation of South Africa Limited ("IDC") (the
"Parties") regarding the optimal development of the Northern Cape iron ore
industry.
As the largest iron ore operator in the country, Kumba has a pivotal role to
play in any plan to improve the effective delivery of value from the Northern
Cape iron ore resources whilst IDC has an important interest in the South
African iron ore industry in terms of its development mandate and flowing from
this, the importance that the State places on the future operational and
ownership structure of this substantial South African industry.
In this regard Kumba is of the view, that a single, consolidated and
rationalised iron ore mining venture offers the most potential to optimise value
for South Africa, including meaningful and broad-based participation by
previously disadvantaged South Africans and also in benefiting communities in
the region. Kumba also recognises that for the optimal development of the
region to proceed, all stakeholders, including IDC, need to subscribe to
whatever plan is adopted. It is therefore essential to consider all
alternatives in order to finalise an outcome that would be fully supported.
In terms of this MOU the Parties recognise that they have significant areas of
common interest in terms of their respective objectives regarding the Northern
Cape iron ore industry and will thus work together in order to establish agreed
goals and mechanisms through which these objectives may be fulfilled.
In order to pursue the objectives of the MOU, the Parties have agreed on a
working procedure to identify objectives and to create a framework for these
objectives to be achieved within an agreed timetable.
ends
Note:
Kumba Resources Ltd, one of the largest South African-based mining companies
listed on the JSE Securities Exchange, is a focused metals and mining company
with a diverse commodity portfolio consisting of iron ore, heavy minerals, coal,
base metals and industrial minerals. www.kumbaresources.com
Contacts:
Trevor Arran
General Manager: Investor Relations
Tel: 012 - 307-3292
Mobile: 083 609 1444
Pat Mdoda
General Manager Corporate Affairs
Tel: 012 - 307-4553
Mobile: 083 609 1204
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