Platinum group metals (PGMs) and chrome producer Eastern Platinum (Eastplats) says a special committee established to investigate allegations, including of chrome concentrate sales at discounted prices, has found the allegations to be unsubstantiated.
Eastplats in April appointed the committee, comprising independent directors George Graham Dorin and Xin (Alex) Guan, to investigate allegations made by whistleblowers.
The company says the committee, which had assistance from independent counsel and a third-party e-discovery specialist, did not find evidence to establish that the company had entered into any related party transaction pertaining to the sale of chrome concentrate.
It further concluded that the prices of the contracts in respect of the sale of chrome concentrate described in the allegations were within a reasonable range of market price, particularly in the challenging circumstances the company faced in the latter half of 2022 and taking into account delivery terms and the grade of chrome concentrate.
TSX- and JSE-listed Eastplats owns, directly and indirectly, a number of PGM and chrome assets on the western and eastern limbs of the Bushveld Complex, in South Africa.
Operations at the Crocodile River mine currently include re-mining and processing the tailings resource to produce PGM and chrome concentrates from the Barplats Zandfontein tailings dam.