DMR welcomes sale of Tegeta to Swiss-based company
The Department of Mineral Resources (DMR) has welcomed the sale of Tegeta Exploration and Resources by Gupta-owned Oakbay Investments to a foreign-owned company for close to R3-billion.
This comes after Oakbay Investments announced on Wednesday that it had agreed to sell its interest in Tegeta to the little-known Swiss-based Charles King SA for R2.97-billion in a bid “to save employees’ jobs”.
Tegeta, comprising of Optimum, Koornfontein, and Optimum Coal Terminal, is under scrutiny after Finance Minister Malusi Gigaba ordered National Treasury to do a forensic probe into its coal contract with Eskom.
The sale of Tegeta, which is owned by President Jacob Zuma’s son Duduzane and the Gupta family, is subject to regulatory requirements and fulfilment of conditions in the agreement which is expected to be completed within 12 months.
DMR said in a statement that it had been duly informed by Oakbay of the effective sale and welcomed the undertaking to save employees’ jobs in Tegeta’s various operations.
“The department continues to work with all stakeholders on the stability and sustainability of the industry, and welcomes all initiatives by current and potential investors to curb job losses,” DMR said.
“The purchaser has committed to a minimum level of 30 percent BEE compliance. The transaction will be concluded in line with provisions in the Mineral and Petroleum Resources Development Act.”
Charles King owner, Amin Al Zarooni, said that South African mining opportunities were an “extremely attractive” proposition and that his company had been looking for a long time to invest in the country.
“And once we have bought the business we will, of course, be looking for a Black Economic Empowerment partner,” Al Zarooni said.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
At SMS group, we have made it our mission to create a carbon-neutral and sustainable metals industry.
VISIT SHOWROOM
FlameBlock is a proudly South African company that engineers, manufactures and supplies fire intumescent and retardant products to the fire...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
