Capital raising back for reviving platinum, AngloGold pays Pamodzi Orkney wages, commercial gold from under Golden City

Midtier platinum-miner Aquarius Platinum plans to raise between $233-million and $249-million through an equity capital raising and a convertible bond issue to help fund its proposed acquisition of Ridge Mining.

Read on page 39 of this edition of Mining Weekly of Aquarius planning to place 46,3-million new common shares, representing 14,2% of the company’s issued shares, at $0,05 a share.

The placing was to be with new and existing institutional investors on March 31 and April 1 to raise £125- million. Further, the company plans to place senior secured convertible bonds on May 11 to raise R500-million, which could potentially increase the amount of convertible bonds issued to R650-million.

The minimum denomination of the convertible bonds, which will be listed only on the JSE, will be R1-million. Aquarius expects the capital raising and convertible bond issue to be completed by May.

Gold major AngloGold Ashanti has provided R10-million for wages at Pamodzi Gold’s provisionally liquidated Orkney gold mine. Read on page 11 of this edition of Mining Weekly of AngloGold also undertaking a tech-nical study into the impact of a possible closure of the Orkney mine.

The Orkney gold mine is on care and maintenance and AngloGold is reportedly owed some R98-million for toll-treating gold ore from Orkney for Pamodzi Gold. Provisional liquidation of Pamodzi Gold’s President Steyn mine, in the Free State, and its East Rand operations has also been applied for.

The production of the first commercial gold from under the Golden City of Johannesburg is on track for mid-2009.

Read on page 16 of this edition of Mining Weekly of the plan to be producing at a rate of 100 000 oz/y by the end of 2009, using cash from the November 2007 initial public offering and from revenue earned during the course of 2009.

Initial ore throughputs were lower than expected owing to a proliferation of clay, but a new flotation unit is improving the recovery rate.

Once the carbon-in-leach plant has been commissioned, total recoveries are expected to rise to some 80%.

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