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Trading Symbol: ELR (TSX); EPS (JSE)
VANCOUVER, Nov. 8, 2017 /CNW/ - Eastern Platinum Limited
("Eastplats" or the "Company") reports that it has
been advised by certain third-party shareholders (the "BEE
shareholders") of Gubevu Consortium Investment Holdings (Pty)
Ltd. ("Gubevu") and Lion's Head Platinum (Pty) Ltd.
("Lion's Head") that they have purportedly relinquished
their interests in those companies in varying amounts to either
Serina Services AG ("Serina") or Ingwenya Incorporated
("Ingwenya"). Gubevu is the Company's Black Economic
Empowerment ("BEE") partner in Barplats Investment Limited
and Lion's Head is a BEE compliant corporation in the Company's
Mareesburg project. The Company has been advised that the BEE
shareholders originally acquired these shares from Serina and
Ingwenya, and these shares have purportedly now reverted to them.
Neither the Company nor its subsidiaries were parties to these
purported transactions and we have not been provided with direct
confirmation of or further information regarding these
transactions.
On June 30, 2016, two days
following the announcement of the proposed sale of the Crocodile
River Mine, former management purportedly caused the Company to
enter into certain "Share Purchase Agreements" with Serina and
Ingwenya. Those agreements contemplated payment by Eastplats
of approximately US$13.4 million upon
the change of control of the Company at the 2016 AGM and former
management caused the funds to be paid. (see News Release of
July 4, 2016 issued by the former
management and the December 31, 2016
MD&A).
The Company has met and discussed the above issues with the
Department of Mineral Resources in South Africa. As
previously disclosed, South African mining regulations require
certain levels of black economic empowerment in respect of mining
rights. The Company is working to understand the nature and
possible implications of the above transactions and, if necessary,
to reorganize or remedy its BEE arrangements.
Cautionary Statement Regarding Forward-Looking
Information
This press release contains "forward-looking statements" or
"forward-looking information" (collectively referred to herein as
"forward-looking statements") within the meaning of
applicable securities legislation. Such forward-looking
statements include, without limitation, forecasts, estimates,
expectations and objectives for future operations that are subject
to a number of assumptions, risks and uncertainties, many of which
are beyond the control of the Company. Forward-looking
statements are statements that are not historical facts and are
generally, but not always, identified by the words "will", "plan",
"intends", "may", "will", "could", "expects", "anticipates" and
similar expressions. Further disclosure of the risks and
uncertainties facing the Company and other forward-looking
statements are discussed in the Company's Annual Information Form
and Management's Discussion and Analysis which are available under
the Company's profile on www.sedar.com.
In particular, this press release contains forward-looking
statements pertaining to: current compliance with South African
regulations, the status of mining rights, uncertainty with the
entitlement of the underlying mining rights and the Company's
ability to reorganize or rectify any possible deficiencies. These
forward-looking statements are based on assumptions made by and
information currently available to the Company. Although
management considers these assumptions to be reasonable based on
information currently available to it, they may prove to be
incorrect. By their very nature, forward-looking statements
involve inherent risks and uncertainties and readers are cautioned
not to place undue reliance on these statements as a number of
factors could cause actual results to differ materially from the
beliefs, plans, objectives, expectations, estimates and intentions
expressed in such forward-looking statements. These factors
include, but are not limited to, commodity prices, lower than
expected grades and quantities of resources, needs for additional
funding, availability of such additional funding and that funding
will be on acceptable terms, economic conditions, currency
fluctuations, competition and regulations, legal proceedings and
risks related to operations in foreign countries.
The forward-looking statements in this press release are made as
of the date they are given and, except as required by applicable
securities laws, the Company disclaims any intention or obligation
to publicly update or revise any forward-looking statements,
whether as a result of new information, future events or
otherwise.
No stock exchange, securities commission or other
regulatory authority has approved or disapproved the information
contained herein.
SOURCE Eastern Platinum Limited