Seriti Resources has welcomed the announcement by South32 Ltd that, following a comprehensive and competitive bid process, the companies have entered into exclusive negotiations regarding the sale and acquisition of South32’s South Africa Energy Coal (SAEC) business.
As confirmed by South32, Seriti’s offer includes an up-front cash payment with a deferred payment mechanism whereby both companies will share in any commodity price upside for an agreed period. The operational experience and sector expertise that Seriti would bring to these assets offers a strong base for the long-term sustainability of SAEC, to the benefit of all stakeholders.
Mike Teke, CEO of Seriti, comments: “This is an exciting step forward for Seriti, and we look forward to continued engagement with South32 as we work together towards concluding a binding agreement. Should a sale agreement be reached, these assets would become a further important anchor of Seriti’s domestically focused coal business. This would be a further significant investment in the South African mining sector by South African investors, backed by a proven track record of responsible operation.”
Read the article online at: https://www.worldcoal.com/mining/27082019/seriti-and-south32-enter-into-exclusive-negotiations-regarding-the-acquisition-of-saec/