JOHANNESBURG (miningweekly.com) – Barplats Investments’ shareholders have rejected the sale of Barplats Mines to China-based precious metals mining services provider Hebei Zhongheng Tianda Platinum (HZT), dual-listed Eastern Platinum (Eastplats) said on Monday.
In December, HZT hit Eastplats and several of its subsidiaries with a notice of civil claim in the British Columbia Supreme Court over an alleged repudiation and breach of a share purchase agreement (SPA) entered into between Eastplats’ former management and HZT in June 2016.
Eastplats, following the election of a new board in July 2016, had embarked on the review of several agreements and transactions entered into by the former board of directors, including the proposed sale of Eastplats’ South Africa subsidiary Barplats Mines and associated intercorporate investments and loans to HZT for $50-million.
Last week, Barplats shareholders rejected a special resolution submitted to the meeting seeking approval of the sale of the subsidiary, which holds the Crocodile River mine.
Further information regarding the implications of the vote on the SPA and the outstanding lawsuit commenced by HZT is expected to be communicated in due course.