Glencore acquires 80.08% of Namibia's Rosh Pinah Zinc Corp
15 December 2011
Glencore International Plc, the world's largest commodities trader, today acquired an 80.08-per cent stake in Rosh Pinah Zinc Corporation, a zinc and lead miner in Namibia, for an undisclosed sum.
Glencore, headed by the South African-born Ivan Glasenberg, acquired the entire 50.04 per cent held by Exxaro Base Metals and Industrial Holdings in Rosh Pinah and a further 30.04 per cent from PE Minerals (Namibia) and Jaguar Investments Four, taking its stake in Rosh Pinah to 80.08 per cent.
The Rosh Pinah Employee Empowerment Participation Scheme Trust holds the remaining 19.92 per cent.
Although the Baar, Switzerland-based commodities trader did not disclose the deal size, Macquarie First South, South Africa-based equities research firm had said in September that Exxaro's stake could be worth 471 million rands (approximately Rs300 crore / $57 million).
Exxaro had said in 2009 that it would divest its zinc assets in order to focus on its larger core coal and mineral sands assets.
Rosh Pinah operates an underground zinc and lead mine in south-western Namibia, 800km south of Windhoek. The current economic life of mine is eight and a half years based on zinc concentrate production of 95,000 tonnes per annum.
Intensive on-mine exploration is underway to add to the total mineral resource base of 8 million tonnes.
Daniel Maté, co-director of the Zinc / Copper / Lead division of Glencore said, "Rosh Pinah will add further value to Glencore as part of our geographically diverse zinc operations. We look forward to completing this acquisition in due course."