Logistics inefficiencies in South Africa are the single-biggest reason why junior mining companies are likely to fail, said midtier coal producer Ndalamo Resources. Ndalamo CEO Shammy Luvhengo participated in a junior coal mining panel at Joburg Indaba, which was held on May 21 and 22, highlighting the biggest challenge for this sector as being Transnet’s inefficiency and saying this was creating an imbalance in the system.
Huge manganese value-add opportunity reiterated at Junior Indaba
The huge opportunity that South Africa has to add value to its rich endowment of manganese through local processing was reiterated during the second day of Wednesday’s Junior Indaba. “Specific to manganese, we’re certainly very bullish,” Manganese Metal Co (MMC) CEO Louis Nel said in response to questioning by Fluor sales director Kudakwashe Maramba during a panel discussion.
Anglo shoots down BHP’s third attempt, agrees to one-week extension
The world’s top diversified miner BHP has made a third unsolicited conditional takeover proposal for smaller rival Anglo American on Wednesday, only hours before its initial deadline for a firm intention to make an offer expired.
The board of London-listed Anglo American rejected the latest proposal of £29.34 a share, but agreed to a one-week extension to the ‘put up, or shut up (PUSU)’ deadline under UK Takeover rules.
Top Anglo investor says BHP bid requires ‘meaningful revision’
South African state-owned asset manager the Public Investment Corporation (PIC) said on Wednesday that it would require a “meaningful revision” of BHP Group’s bid for rival miner Anglo American.
Anglo rebuffed BHP’s initial $39-billion all-share proposal made on April 25, dismissing it as opportunistic.
It subsequently rejected a revised offer of $43-billion saying the world’s largest listed miner “continues to significantly undervalue” the company and that its difficult to execute.
More funding mechanisms needed to support juniors in early stage exploration, panel says
South Africa needs more funding mechanisms to support junior mining at an early stage of exploration, Bedrock Capital CEO Messu Mwaniki said on May 21 at the Junior Indaba in Johannesburg. “I think by now we should have much more junior mining funds available, which can be seen to come on board, from a private equity perspective. As a junior miner, at best, your mindset should be on private equity,” he said.
Expert suggests new ways junior miners can classify resources
A key issue with all mineral projects is the quantification of risk and uncertainty, which has always been narrowed down to grade estimation issues; however, just basing the mineral resource category on drill spacing and a competent person’s judgment on resource boundaries is no longer good enough. Rather, it should be statistically based, since juniors could not afford to undertake vast amounts of drilling, EY natural resource principal technical consultant Andy Clay said during the Joburg Indaba, held on May 21 and 22.
Edison increases its valuation of Pan African despite lower production forecast
Analyst Edison Investment Research has increased its valuation of South African gold miner Pan African Resources to $0.48 a share, from $0.41 previously. London- and Johannesburg-listed Pan African earlier this month announced that it had revised its 2024 full-year production guidance to between 186 000 oz and 190 000 oz, compared with previous guidance of 180 000 oz to 190 000 oz, owing to it having ceased the processing of marginal surface sources at Evander Gold Mines.
Westwell to retire as Sasol chairperson
Stephen Westwell will, on June 1, retire as nonexectutive director and chairperson of chemicals and energy group Sasol, after having served on the board for 12 years. Lead independent director Muriel Dube will take up the position of acting chairperson until a full-time successor is appointed.
BHP-Anglo prospects flag more M&A ahead for miners
BHP’s bid for Anglo American underlines the growing appetite for energy transition metals like copper from miners who must become more aggressive to secure new projects or risk missing out, investors and mining CEOs said on Wednesday. The bid by the world’s biggest listed miner for Anglo is expected to whet appetite for more deals in the sector whether it goes ahead or not, they said.
Clock runs down on BHP’s $43bn bid for Anglo American
BHP Group has just hours to launch a blockbuster bid to buy smaller mining rival Anglo American — or put its audacious takeover plan on the shelf.
The proposal by the world’s biggest miner to spin off two units and then buy the remainder of Anglo would create a global copper behemoth, heralding the industry’s return to mega—deals after more than a decade. Anglo has already rejected two non-binding offers from BHP — the last worth $43-billion — and unveiled its own plans for a radical restructuring.