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General mining & base metals

Bushveld Minerals passes another hurdle en route to Vamteco deal

The waivers were part of the conditions that had to be fulfilled for completion of the transaction.

Bushveld Minerals Limited (LON:BMN) has taken another big step towards the acquisition of the Vametco vanadium mine in South Africa.

Strategic Minerals Corporation and Sojitz Noble Alloy's have agreed to waive their respective pre-emptive rights over shares Bushveld will purchase through the deal

The waivers were part of the conditions that had to be fulfilled for completion of the transaction.

Bushveld will buy a 78.8% stake in Strategic Minerals Corporation, Vametco's owner, from Evraz Group to execute the deal.

A financing package is also making progress and will include transfer of marketing and off-take agreements; key management staying in place and ministerial consent.

Fortune Mojapelo, Bushveld’s chief executive, said confirmation of the waivers of pre-emptive rights by SMC and Sojitz was one of the most important hurdles to cross.

"We look forward to securing the Department of Mineral Resources' Ministerial consent to the Transaction in terms of section 11 of the Mineral and Petroleum Resources Development Act, of 2002."

Shares rose 2% to 4.16p.

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