Hey genius,
This one is for you:
De Beers reply to Mail & Guardian article.
De Beers: The fatal flaw in the article, "De Beers took my mine" (June 5 to 11) is the assumption that SouthernEra Resources ever held prospecting or mining rights over certain portions of the farm, Marsfontein.
When, earlier this year, the lawful owners of the mineral rights became aware that prospecting work was being undertaken on their mineral right holdings without their knowledge or consent, they immediately took the necessary legal steps to protect their interests.
They subsequently approached several companies, and invited each to make a bid to buy the rights. The fact that another mining company had decided to prospect on this land without the appropriate authority is not relevant to the owners' right to deal with their mineral rights in whatever manner they saw fit.
With a view to consolidating its various mineral rights holdings in the area, De Beers made a business decision to bid for the rights, and entered into a straightforward commercial transaction. De Beers was delighted when its bid was accepted in preference to bids by others, and, early in April, a prospecting agreement with an option to purchase was signed. Subject to due diligence being completed, De Beers will mine the deposit together with other nearby diamond properties.
In order to prospect lawfully for minerals in South Africa, a prospector is required to be the holder of the mineral rights or to have the written consent of the holder, as well as to be in possession of a valid prospecting permit. It is a fact that SouthernEra did not comply on any count. So the alleged expenditure such as reported by SouthernEra in "preparing the field", can confer upon that company neither the ownership of mineral rights, nor any "rights to mine".
De Beers has well over 80 joint ventures with junior mining companies and mineral rights holders, including state corporations, around the world. We are pleased that like the others, the owners of the Marsfontein mineral rights decided to do business with De Beers.
The innuendo, half-truths and accusations in the article are not only misleading, but are contrary to De Beers's proven reputation as the international partner of first choice. -
Andrew Cumine, corporate communications, De Beers |
