[miningmx.com] – PATRICE Motsepe, executive chairman of African Rainbow Minerals (ARM), reiterated his company’s interest in buying additional platinum mines, according to a report by Bloomberg News.
“Platinum is a key sector for us,’ Motsepe, told the newswire service. “We’ve been looking for the last few years and there are good opportunities,’ he added. He was commenting while attending the World Economic Forum at Davos, Switzerland.
Motsepe’s comments come amid distress in the platinum sector which saw some 3,332 workers dismissed in the sector last year, according to Bloomberg News which cited government statistics.
Most recently, Anglo American Platinum (Amplats) said that it wanted to idle four shafts in Rustenburg and sell its Union mine – a step that would affect 14,000 jobs and lower group productive capacity by some 400,000 ounces.
In September, Motsepe told Miningmx that distress in the sector was an opportunity for acquisitions. “There’s blood on the floor in platinum,’ Motsepe said. “When there’s pain, our focus on acquisitions enhances. We wouldn’t have been where we were today if it wasn’t for pain.’
In the financial year ended June 2012, ARM reported a heavy decline in the contribution of platinum to the group’s earnings. The division posted R60m in attributable earnings, a decline of R455m.
ARM is in joint venture with Amplats at the Modikwa Deeps project.
