(Alliance News) - Tharisa PLC on Wednesday said it has extended the option to acquire a 90% shareholding in Salene Chrome Zimbabwe Pvt Ltd to the end of March.
Salene had been handed special grants by the Zimbabwe government covering an area of 9,500 square metres, allowing Salene to mine chrome in those areas.
In September 2018, the South African platinum and chrome miner had restructured its acquisition of a majority stake in Salene. Originally in May 2018, Tharisa had agreed to buy a 90% stake in Salene for an unspecified cost.
The adjusted deal would see Tharisa be granted a call option to acquire the 90% stake at a par value of USD90 each. These options are exercisable upon the completion of the initial exploration programme at the site.
In consideration for the call option, Tharisa agreed to fund and undertake the initial exploration programme at the site, which would see Tharisa spend USD3.2 million to explore the special grant areas held by Salene.
Shares in Tharisa were up 0.4% at 130.00 pence on Wednesday in London, while its Johannesburg shares were down 0.8% at ZAR26.00.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Tharisa (THS)