Anglo American welcomes tribunal ruling
04 September, 2003
Anglo American plc (“Anglo American”) welcomes the South African Competition Tribunal ruling released today which will enable Anglo American to proceed with its iron ore strategy in relation to Kumba Resources Limited (“Kumba”).
Anglo American intends to continue discussions with all stakeholders involved in the iron ore industry, including the IDC, to complete a strategy that will unlock the full growth potential of the Northern Cape iron ore assets and supporting infrastructure. Anglo American recognises that individual stakeholders have specific perspectives and will work together to harmonise these.
Tony Trahar, CEO of Anglo American, said “we are pleased with the ruling as it presents all stakeholders with a unique opportunity to work together, within the provisions of the MOU signed with the South African government, to bring about a multi-billion Rand expansion of Kumba's iron ore assets and supporting infrastructure with a view to creating a world class iron ore operation with economic scale to compete internationally. This will also create opportunities for black economic empowerment initiatives and the upliftment of the communities in the Northern Cape region of South Africa.”
Trahar added, “Kumba needs to participate fully in the international growth phase for iron ore. It is our intention to support and encourage Kumba to utilise the window of opportunity currently presented by the strong global demand growth for iron ore, recognising that South Africa's competitors are seeking to fill that demand themselves”.
Anglo American currently has a shareholding of 20,1% in Kumba, with the right to acquire additional shares to take its stake to just under 35%.
Anglo American already has one director on the Kumba board and will be seeking to increase this representation.
Disclaimer:
The information contained in press releases, annual or interim reports, analyst presentations, and financial information should not be deemed accurate or current except as of the date of issue. Anglo American plc does not, does not intend to, and specifically disclaims any duty to, update or correct such information.