DMR lifts Smokey Hills suspension

[miningmx.com] — PLATINUM Australia (PLA) said on Thursday operations at its Smokey Hills mine in Limpopo were once again under way, following the lifting of a suspension notice by the department of mineral resources (DMR).

“PLA is pleased to announce that after discussions with the DMR that the notice under section 93 of the Mineral and Petroleum Development Act has been lifted,’ read a company statement. “Production at Smokey Hills resumed at afternoon shift on 27 July.’

The company’s local subsidiary and holder of the Smokey Hills mining right, Phokathaba Platinum, was issued the notice on Friday for allegedly failing to comply with social and labour plans – specifically pertaining to local enterprise and human resource development.

In a statement issued on Monday, PLA said there were “no reasonable grounds for the DMR claim’. “After receiving legal advice (PLA) believes that the notice.has been served without due process or procedural fairness,’ the statement read.

According to a DMR spokesperson, Phokathaba had made no progress on its social and labour plans since the right was issued in 2007.

PLA didn’t offer guidance on how the suspension affected output.

The group’s shares closed up 2.5 Australian cents at A$0.32 on the Australian Stock Exchange on Thursday; still 12.5% below its closing price of A$0.36 prior to the suspension.