Business Report writes that Flaming Silver Trading, the new owner of Lily Mine, has approached the Mpumalanga High Court in Nelspruit to compel former owners Vantage Goldfields SA to live up to the sale-of-shares agreement.
Flaming Silver accused Australia-domiciled Vantage Goldfields and business rescue practitioners of frustrating its plans to reopen the Lily and Barbrook mines. Chief executive Fred Arendse had previously indicated that Flaming Silver would open the mines, and it would start a recruitment drive. Arendse claimed on Wednesday that Flaming Silver was unable to resume operations, despite providing proof that it had secured sufficient funds to reopen the mines and backing to allow proceeds to flow from creditors. “We have a very straightforward six-month implementation rescue plan, with defined funding and timelines, and cannot execute our plan if Vantage Goldfields SA refuses to complete the transaction,” he claimed. The Department of Mineral Resources granted approval in December for Flaming Silver to acquire the shares. Vantage Goldfields and the business rescue practitioners were not immediately available for comment. Lily and Barbrook were put in care and maintenance after three employees were trapped in an underground container, and operations at the mines ground to a halt three years ago.
- Read the full original of Dineo Faku’s report on the above at Business Report
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