JOHANNESBURG (miningweekly.com) – Aim-listed Asa Resources has been hit by a legal claim in the High Court of Zimbabwe by Zindico Consortium over an unsigned agreement relating to its Freda Rebecca gold mine.
The group on Thursday announced that it had been served with legal documents requesting it to implement a two-year-old draft, unsigned agreement, allegedly negotiated by former Mwana Africa CEO Kalaa Mpinga, in relation to Zimbabwean indigenisation laws.
Reports by Zimbabwe-based media publication, The Herald, early in January, claimed a group of local investors were embarking on a $20-million lawsuit against Asa for “refusing to acknowledge” a 26% share sale and purchase agreement that had allegedly been signed in 2013.
A signed agreement would have been conditional upon the approval of the then Mwana Africa board of directors. The company maintains the document had not been submitted to the board and had not been approved.
In a statement, Asa Resource said it was seeking legal advice and would update the market in due course.
Asa changed its name from Mwana Africa in October 2015.