SSC, Vantage Goldfields South Africa face off in court

30th May 2019 By: Simone Liedtke - Creamer Media Social Media Editor & Senior Writer

The Mpumalanga High Court has reserved judgment in one matter brought before it as part of a broader legal battle between Siyakhula Sonke Empowerment Corporation (SSC) and its subsidiary, Flaming Silver Trading – collectively known as SSC Group – and Vantage Goldfields South Africa (VGSA).

An application was brought by SSC, which sought to force VGSA to meet its obligations to enable Flaming Silver to take over the relevant shareholding in Vantage Goldfields (VGL) and Makonjwaan Imperial Mining, which owns the Lily mine, as set out in a sale of shares agreement.

SSC on Thursday said it had wanted to compel VGSA to hand over the share certificates of VGL and Lily mine, together with all other relevant documentation set out in the sale of shares agreement, “which will have the consequent effect of setting aside VGSA’s invalid cancellation of the sale of shares agreement”.

VGSA had previously cancelled the agreement, stating that Flaming Silver had not complied with previously agreed to funding arrangements.

Parties appeared before the court on May 28, during which the judge heard one part of the complaint – former Flaming Silver director and current shareholder Ferdi Dippenaar’s intervention application.

The hearing of Flaming Silver’s application against VGSA is still to follow but remains dependent on the outcome of the intervention application.

To date, SSC Group has been unable to start mine reopening activities, given the dispute with VGSA.