Last checked at 1 Jul 2011 12:01
1 July 2011 Pan African Resources PLC (`Pan African' or the 'Company' or the `Group')
Incorporated and registered in England and Wales under Companies Act 1985 with
the registered number: 3937466 on 25 February 2000 Share Code on AIM: PAF / JSE: PAN ISIN: GB0004300496 Phoenix Platinum Project Ahead of Schedule Concluding Final Commissioning Payment to IFM
Pan African Resources, the African focused precious metals producer, announces that an early settlement payment of ZAR27.29 million (GBP2.5 million) to International Ferro Metals SA (Pty) Ltd (`IFM') has been made.
As announced on 5 November 2010, the agreement to construct the Phoenix Platinum (Pty) Limited Chrome Tailings Retreatment Plant (`CTRP') on IFM's Lesedi property detailed that Pan African would pay the total consideration of ZAR80 million to IFM in four tranches, as follows:
* ZAR25 million (GBP2.24 million) payable upon signature of the agreement. Payment was made on 9 November 2010; * ZAR25 million (GBP2.24 million) payable on commencement of the first bulk earthworks on the site. Payment was made on 22 March 2011; * ZAR29.5 million (GBP2.7 million) payable on the commissioning of the CTRP. An early settlement payment of ZAR27.29 million (GBP2.5 million) was made on 30 June 2011, in accordance with a negotiated 7.5% early settlement discount of ZAR2.21 million (GBP203,000) on the commissioning payment, which payment was scheduled for January 2012; and * A final amount of ZAR500,000 (GBP46,000) for the purchase of the CTRP site is payable upon transfer of the property.
Cold commissioning of the CTRP is ahead of scheduled with first production expected during December 2011.
Enquiries:South Africa UK Pan African RBC Capital Markets Jan Nelson, Chief Executive Officer Martin Eales +27 (0) 11 243 2900 +44 (0) 20 7029 7881 Pan African St James's Corporate Services Limited Nicole Spruijt, Public Relations Phil Dexter +27 (0) 11 243 2900 +44 (0) 20 7499 3916 Macquarie First South Advisers (Pty) Gable Communications Ltd Justine James Yvette Labuschagne/ Annerie Britz/ Melanie de Nysschen +44 (0)20 7193 7463
+27 (0) 11 583 2000
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