The funding package will enable Orion to accelerate the development of both of its key base metal production hubs in the Northern Cape, the company said. File picture: Udit Kulshrestha, Bloomberg
ORION Minerals has appointed Philip Kotze as a non-executive director, to serve as a representative of Orion’s new cornerstone investor, the South African mining group Clover Alloys, the company said in a statement.
The share price ratcheted up 5% to 21c on the JSE after the announcement of the appointment.
Clover Alloys subscribed for 444 million shares or R80 million in a capital raising announced on March 15, which was undertaken to investors including existing substantial shareholders Tembo Capital and Delphi Group, as well as Orion non-executive director Tom Borman, chairperson Denis Waddell, and managing director and CEO Errol Smart.
The placement shares included an option package to secure additional equity funding of up to A$60 million (R732.4m).
This funding package will enable Orion to accelerate the development of both of its key base metal production hubs in South Africa’s Northern Cape province, the company said.
Clover Alloys is a group with significant mine development and operational expertise, including a strong track record in modular, capital-efficient metal processing plants at its chrome mines.
“This expertise will be of significant strategic value to Orion as it advances the development of its Prieska Copper-Zinc Project and Okiep Copper Project in South Africa towards production,” the company said.
Kotze has worked for a number of companies including Anglogold Ashanti, Kalgold, Harmony Gold Mining Co, Deloitte and Anooraq Resources Corporation. He has served as a senior executive for listed mining companies since 1996.
Alexander Haller will step down as a non-executive director to focus on his other business interests.
– BUSINESS REPORT