Sibanye-Stillwater Secures Mt Lyell Copper Mine
A Strategic Acquisition
Sibanye-Stillwater has confirmed its acquisition of the Mt Lyell copper mine located in Tasmania, Australia. The decision came ahead of the 5 November 2023 option expiry. Notably, the Mt Lyell mine, established in 1894, ceased operations in 2014 and is currently under assessment for potential reopening.
Background of the Deal
The acquisition entails a full 100% purchase of Copper Mines of Tasmania for a sum of US$10 million, a deal initially inked with Vedanta Limited. This move follows Sibanye-Stillwater's acquisition of New Century Resources Limited, disclosed on 27 October 2021.
Copper in Clean Energy Transition
Neal Froneman, the CEO of Sibanye-Stillwater, emphasized copper's crucial role in the clean energy shift and expressed the company's keen interest in the opportunities that Mt Lyell mine offers.
Financial Facets
For the acquisition's financial component, Sibanye-Stillwater has lined up loan funding specific to the Mt Lyell deal. The company has also restructured its acquisition financing internally. Shareholders have been alerted that the monetary assistance provided surpasses a specified portion of the company's overall net worth.
About Sibanye-Stillwater
Sibanye-Stillwater operates globally in the mining and metals processing sectors. Their portfolio includes mining and processing of metals such as platinum, palladium, rhodium, gold, and more. Recently, the company has also delved into the battery metals industry.
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