2012-11-15 10:24:55 -
Luxembourg, 15 November 2012 - JOINT ANNOUNCEMENT BETWEEN ARCELORMITTAL AND MRS
DAPHNE MASHILE-NKOSI IN RESPECT OF THE AGREED SALE AND PURCHASE OF
ARCELORMITTAL'S 50% STAKE IN KALAGADI MANGANESE (PTY) LIMITED ("KALAGADI
ArcelorMittal and Mrs Daphne Mashile-Nkosi are pleased to announce that a
definitive agreement has been reached whereby Mrs Mashile-Nkosi, or her nominee
(which may be a consortium consisting of some of the existing Kalahari Resources
shareholders and / or other third parties), will acquire ArcelorMittal's 50%
interest in Kalagadi Manganese ("the transaction"). ArcelorMittal will receive a
cash consideration of not less than R3.9 billion (three billion nine hundred
million South African Rand), which is approximately US$447 million, on closing
sale and purchase agreement ("SPA"). The proposed transaction will be
subject to financing arrangements.
The SPA was executed on 14 November 2012, and on completion of the transaction
Kalahari Resources will hold 40% interest in Kalagadi Manganese, Mrs Mashile-
Nkosi, or her nominee, will hold 50% with the remaining 10% interest held by the
Industrial Development Corporation of South Africa Limited. Completion of the
proposed transaction will also be subject to the waiver of preemptive rights of
the other shareholders, customary corporate approvals and various regulatory
Contact information ArcelorMittal Investor Relations
Europe: +352 4792 3198
Americas: +1 312 899 3569
Retail: +44 203 214 2417
SRI: +44 203 214 2854
Bonds/Credit: +33 171 92 10 26
Contact information ArcelorMittal Corporate Communications
Phone: +352 4792 5000
ArcelorMittal Corporate Communications
Giles Read (Head of Media Relations) +44 20 3214 2845
Tobin Postma +44 20 3214 2412
+27 11 268 0616
The Communications Firm on behalf of Kalahari Resources
Director: Corporate Communications
+27 11 463 7550
ArcelorMittal is the world's leading steel and mining company, with a presence
in more than 60 countries.
ArcelorMittal is the leader in all major global carbon steel markets, including
automotive, construction, household appliances and packaging, with leading R&D
and technology. The Group also has a world class mining business with a global
portfolio of over 20 mines in operation and development, and is the world's 4th
largest iron ore producer. With operations in over 22 countries spanning four
continents, the Company covers all of the key industrial markets, from emerging
to mature, and has outstanding distribution networks.
Through its core values of sustainability, quality and leadership, ArcelorMittal
commits to operating in a responsible way with respect to the health, safety and
well-being of its employees, contractors and the communities in which it
operates. It is also committed to the sustainable management of the environment.
It takes a leading role in the industry's efforts to develop breakthrough
steelmaking technologies and is actively researching and developing steel-based
technologies and solutions that contribute to combat climate change.
ArcelorMittal is a member of the FTSE4Good Index and the Dow Jones
Sustainability World Index.
In 2011, ArcelorMittal had revenues of $94.0 billion and crude steel production
of 91.9 million tonnes, representing approximately 6 per cent of world steel
output. The Group's mining operations produced 54 million tonnes of iron ore and
8 million tonnes of metallurgical coal.
ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam (MT),
Paris (MT), and Luxembourg (MT) and on the Spanish stock exchanges of Barcelona,
Bilbao, Madrid and Valencia (MTS).
For more information about ArcelorMittal visit: www.arcelormittal.com
About Kalahari Resources
Kalahari Resources was started with the injection by Daphne Mashile Nkosi,
Executive Chairperson, of R12 million into the project to complete the pre-
Kalahari Resources, a majority black-owned company in which women occupy the top
positions, was founded in 2001 as the result of new mining legislation that gave
historically disadvantaged individuals the opportunity to participate in the
The company's equity is held by more than nine companies, which brings together
a range of women groups, entrepreneurs and beneficiaries.
This Company was established with the intention of gaining access to manganese
resources in the Kalahari Manganese Basin. This was achieved in 2005 when the
company was granted a license to prospect for manganese in the Kalahari Basin,
specifically on the farms Gama, Olivepan and Umtu.
About Kalagadi Manganese
Kalagadi Manganese is a South African manganese player engaging in the
exploration and production of manganese in the Kalahari Manganese basin,
Northern Cape Province, South Africa. The company is jointly held by
ArcelorMittal (50%), Kalahari Resources (40%) and the Industrial Development
Corporation (10%). The three farms on which the company holds new order mining
rights are believed to overly some 960 million tons of manganese ore. The recent
exploration programme has identified 102 million tons of Mineral Resources.
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: ArcelorMittal S.A. via Thomson Reuters ONE