[miningmx.com] — AURORA Empowerment Systems is seemingly losing a race against time to secure the backing of Chinese investors for the acquisition of Pamodzi Gold’s former assets.
In December, the South Gauteng High Court gave Aurora an extension until February 28 to secure funding guarantees for the purchase of Pamodzi Gold’s former assets.
Aurora’s commercial director Thulani Ngubane on Friday refused to divulge how far the company’s negotiations with the Chinese had come.
“Why do we have to talk about this now?’ asked Ngubane. “Let’s talk about this on Monday after the court has made its ruling,’ he said
Attempts by Miningmx to get a hold of the liquidator’s team, headed by Enver Motala, were not fruitful either.
National Union of Mineworkers (Num) said it was “doubtful’ that Aurora had secured any funds.
Num’s national spokesperson Lesiba Seshoka said there would be no investor interested in mines left to decay.
“Buying these assets would be a costly exercise for any investor to come on board,’ said Seshoka.
He said Aurora management had been treated with “soft’ gloves by the government.
“To us this whole Aurora situation is not different from the mafia stories we see on television,’ Seshoka added.
He said the lavish lifestyles led by the politically connected owners were proof that they did not care about either their employees or the environment.
“We are sick and tired of their lies. This whole process was never about liquidation,’ said Seshoka.
“The owners of Aurora know what they want and they clearly have been getting it.’ Water pipes, steel cables and other material had been sold as scrap, said Seshoka.
Solidarity spokesperson Gideon du Plessis said the trade union would oppose any further extensions.
“It’s been long overdue for Aurora to part with the mine,’ said Solidarity spokesperson Gideon du Plessis.
He said Aurora had failed to secure funding from the Chinese who were still doing due diligence and seemingly prepared to take on a 35% stake of the assets.
“Aurora has caused tremendous damage to the value of the assets.’
Du Plessis said Solidarity would be suing Aurora for an extra R1.5m on behalf of its employees whom the company has failed to remunerate since March last year. This law suit would come on top of an earlier R3.1m claim.
“We will not allow any extension purely to assist Aurora to come up with the required funds. We will oppose it unless another buyer who is experienced in this field bids to buy the assets.
“I have a feeling that somebody else will want to buy the mine seeing that the price tag on the assets has dropped. It would be a steal.’
While the legal proceedings drag on, the plants – especially Grootvlei in the East Rand – are deteriorating.
According to the senior regional manager at the department of water affairs, Marius Keet, no pumping of water had taken place at the mines recently.
“The last time they pumped at the Grootvlei mine was on January 31,’ said Keet.
