6 July 2017
International Ferro Metals Limited
("IFL" or the "Company")
Department of Mineral Resources Approval of Lesedi Mining Right Transfer
Further to the announcement released by the Company on 1 November 2016, IFL
announces that the Department of Mineral Resources has approved the transfer of
IFL's South African subsidiary International Ferro Metals (SA) (Pty) Limited's
("IFMSA") Lesedi mining right to Samancor Chrome Limited ("Samancor"). The
purchase consideration of ZAR140 million will become payable by Samancor upon
registration of the cession of the Lesedi mining right at the Mineral and
Petroleum Titles Registration Office, which is expected to take four to eight
weeks. The proceeds will be distributed to creditors of IFMSA in accordance
with the amended business rescue plan.
The remaining transaction, for which conditions are in the process of being
fulfilled, is for the sale of IFL's 80% equity interest in Sky Chrome Mining
(Pty) Limited ("Sky Chrome") for ZAR100 and IFMSA's claims against Sky Chrome
for ZAR70 million.
The outstanding conditions include obtaining regulatory approvals, specifically
ministerial approval for the transfer of the Sky Chrome mining right, and
consents of other parties to certain material contracts, which are usual for
transactions of this nature.
The Company reiterates that it is not likely that IFL shareholders would
receive any distribution from the conclusion of the business rescue process.
Further announcements in relation to the Business Rescue process will be
released in due course.
- ENDS-
For further information please visit http://www.ifml.com/ or contact:
International Ferro Metals Limited
Jannie Muller, Finance Director +27 82 785 1364
Wayne Kernaghan, Company Secretary +61 407 233 153
About International Ferro Metals:
International Ferro Metals produces ferrochrome, the essential ingredient in
stainless steel, from its integrated chromite mine and ferrochrome processing
operations in South Africa. International Ferro Metals is listed on the London
Stock Exchange under the symbol IFL.
Forward Looking Statements
This announcement contains certain forward looking statements which by nature,
contain risk and uncertainty because they relate to future events and depend on
circumstances that occur in the future. There are a number of factors that
could cause actual results or developments to differ materially from those
expressed or implied by these forward looking statements.