BusinessLive reports that the new owners of the distressed Vantage Goldfields and its shuttered Lily and Barbrook mines are hoping to put tragedy behind them as they prepare to revive operations.
Fred Arendse, CEO of the Siyakhula Sonke Empowerment Corporation (the SSC Group), said although the task ahead would be challenging, he believed Vantage Goldfields offered a unique investment opportunity and was "on the brink" of unlocking value. The mines in question are low-grade, but shallow, and produce gold at the lowest dollar cost per ounce in Africa. Vantage Goldfields was pushed into voluntary business rescue after an accident at Lily mine in 2016 that claimed three lives. The SSC Group, with the assistance of a R190m loan from the Industrial Development Corporation, signed a closing agreement in May for its subsidiary, Flaming Silver, to purchase a 74% stake in Vantage Goldfields. The only thing outstanding is the approval of the Department of Mineral Resources to transfer mining rights. Gold production at Lily is only anticipated to start in 2020. Production at Barbrook will start before the end of 2018. Arendse did not promise that the reopening of the mine would lead to the recovery of the bodies of the three workers.
- Read this report by Lisa Steyn in full at BusinessLive
- Read too, New Lily Mine owners set to resume operations after three year hiatus, at Fin24
Get other news reports at the SA Labour News home page