Impala Platinum has moved to further assuage fears that government legislation forcing foreign-owned firms to sell shares to indigenous Zimbabweans would jeopardise its interests in the country.

Following a statement that the firm was confident that agreements it already has in place with the government left it well placed to comply with the laws, Impala Platinum has since announced that it had security of tenure to produce at least one million ounces of platinum from its Zimbabwean mines for 50 years.

The firm also said that a 2006 agreement which saw it sell a third of its subsidiary Zimplats' mineral resources to President Mugabe's administration will be taken into account by the government when the laws are implemented.

Under the terms of the deal, Zimplats agreed that it would receive 19.5 per cent of localisation credits and $51 million in cash, or 29.25 per cent in the event of no cash payment.

Since no cash payment has been forthcoming, Impala Platinum says that it assumes that its localisation credits now stand at 29.25 per cent, MiningMX reports.

Both Impala Platinum and Zimplats are believed to be seeking talks with the Zimbabwean administration.

Sources:

Impala stands behind 2006 Zim pact, 28/09/07
http://www.miningmx.com/platinum/593520.htm

Impala, Aquarius seek discussions on Zimbabwe law, 28/09/07
http://www.moneyweb.co.za/mw/view/mw/en/page1329?oid=163194&sn=Detail

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