[miningmx.com] — THE North Gauteng Court tomorrow will decide the destiny of a 21.4% prospecting right in Sishen Iron Ore Company (SIOC), currently awarded to Imperial Crown Trading (ICT) in which Jagdish Parekh (pictured) is a shareholder.
According to an analyst inteviewed by Bloomberg News, the likelihood was that ICT was set to lose the prospecting right awarded by government’s Department of Mineral Resources last year.
“It will go against anyone’s logic if ICT gets the right,’ Mohamed Kharva, an analyst at Nedgroup Securities, told Bloomberg News.
If ICT’s prospecting licence is revoked by the High Court, SIOC owner Kumba Iron Ore will have an undivided right in its subsidiary.
This will then leave it to negotiate next year another dispute regarding the pricing of iron ore by it to ArcelorMittal SA.
