https://www.miningweekly.com

Struggling Sable Platinum piling up losses, burning cash

6th December 2013

By: Martin Creamer

Creamer Media Editor

  

Font size: - +

JSE-listed exploration company Sable Platinum, which has accumulated financial losses of R79-million, is burning cash at a rate of R550 000 a month.

Current cash will be sufficient to cover expenses until January 2014.

Sable has a cash balance of R1 680 586 and has been using its own capital to fund exploration.

Sable CEO James Allan, who has had to dip into his own pocket and chip in a loan of R1-million for operational expenses, has not drawn a salary from the company since February, and executive director René Hochreiter has sacrificed half of his salary since December 2012.

Executive director David Levithan has sacrificed 44% of his retainer since December 2012 and financial director Marietjie van Tonder has sacrificed 20% of her salary since December 2012.

Other staff members have also sacrificed 20% of their salaries since February, raising the amount forfeited to R2.8-million.

The group says in a Stock Exchange News Service announcement that it is currently rais-ing capital in order to continue its exploration programme and to cover all general and administration costs.

Internal restructuring, which is under way to reflect the company’s spread beyond platinum into vanadium and iron-ore and steel at Selebi Phikwe, in Botswana, will result in a company name change to Sable Metals & Minerals, as well as a move from the platinum and precious metals sector to the general mining sector.

The company, which is negotiating a further private placement of shares, has the go-ahead to place 15% of its issued share capital at a discount of not more than 10%.

Sable’s application for a prospecting right for vanadium, iron-ore and rutile has been granted at Doornpoort, in the Cullinan district, and at Leeuwkopje, in the Thabazimbi district.

A technical due diligence study on the Selebi Phikwe steel project has been completed and the legal due diligence should be completed by year-end.

Edited by Creamer Media Reporter

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Willard
Willard

Rooted in the hearts of South Africans, combining technology and a quest for perfection to bring you a battery of peerless standing. Willard...

VISIT SHOWROOM 
SafeQuip
SafeQuip

SafeQuip is a leading distributor and manufacturer of fire safety solutions, offering a comprehensive range of products designed to meet all...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

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?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.042 0.795s - 110pq - 2rq
Subscribe Now