Chrome and Platinum Mine
Umnotho weSizwe Resources (Pty) Ltd (“UWR”), based in South Africa, owns and operates a chrome and platinum group metals mine with proven reserves of 20 million tons of premium grade chrome.
UWR began developing the mine in 2010 and started production in April 2011. However operational challenges as well as poor commodity prices led the shareholder to place the company into Business Rescue during February 2013, in terms of Section 131 of Chapter 6 of the Companies Act.
A refinance agreement was put in place to settle all pre-commencement claims and fund the ongoing running of the mine whilst the business rescue plan was implemented. Operational changes to the mine were implemented including, as well as finding a new investor and restructuring the existing bank debt.
The mine has now changed name and is currently operational and profitable and contributing to the local economy in a meaningful manner.