• Time to join war effort

    It may be time to join Eskom in its War Room efforts, says Matthew le Cordeur.

  • Foreign friends

    Immigrants bring a powerful injection of energy and talent to SA, says Mandi Smallhorne.

  • Top 10 user comments

    Eskom attracts lively commentary, but other issues also stimulated debate.

See More

Kumba turns to court over Sishen rights

May 24 2010 09:59

Company Data


Last traded 20
Change 0
% Change -2
Cumulative volume 587367
Market cap 0

Last Updated: 20-04-2015 at 05:00. Prices are delayed by 15 minutes. Source: McGregor BFA


Last traded 130
Change 0
% Change 0
Cumulative volume 1005875
Market cap 0

Last Updated: 20-04-2015 at 05:00. Prices are delayed by 15 minutes. Source: McGregor BFA

Related Articles

Govt eyes Kumba, Mittal fight

Kumba hikes output by 23%

New earnings highs await Kumba

Johannesburg - Kumba Iron Ore [JSE:KIO] advised its shareholders on Monday Sishen Iron Ore has initiated a review application in the North Gauteng High Court in relation to the department of mineral resources' (DMR) decision to grant a prospecting right to Imperial Crown Trading.
The department granted the prospecting right over the 21.4% interest previously held by ArcelorMittal in the Sishen Mine to Imperial Crown Trading, a little-known black economic-empowerment company, after ArcelorMittal failed to convert its interest in the mine into a new order mining right.

Sishen Iron Ore, as holder of the remaining share of the mining right, had applied for the residual 21.4% mining right previously held by ArcelorMittal but DMR decided to grant it to a third party, Kumba said in March.

At the time, Sishen Iron Ore, lodged an appeal against the granting of the prospecting right to Imperial Crown Trading and said it was engaged in discussions with the department.
"This appeal process remains ongoing," Kumba said on Monday.

It said SIOC has engaged with relevant stakeholders in relation to the grant of a prospecting right to Imperial Crown Trading and is continuing to do so.
"Shareholders are now advised that, in order to protect its interests and to avoid prescription, Sishen Iron Ore company initiated a review application in the North Gauteng High Court on May 21, 2010, in relation to the decision of the department of mineral resources to grant a prospecting right to Imperial Crown Trading," Kumba said.

Halt ArcelorMittal supplies

Meanwhile, Kumba said it may opt to halt supplies of ore to ArcelorMittal's South African unit if the two parties cannot reach an interim agreement over a supply dispute.

Kumba in February terminated the long-term deal which allowed the steelmaker to receive ore from Kumba at a discount and said it would sell to ArcelorMittal South Africa at market rates from March 1.

The unit of ArcelorMittal, the world's top steelmaker, rejected a proposal by Kumba to pay the difference between the discounted and market prices into a separate account until a resolution of the dispute.

"If they cannot come to an interim agreement, Kumba will have to review the supply arrangement ... termination of supply would be an absolute last resort, but at some stage Kumba has to start protecting its rights," a Kumba spokesperson said on Monday.

Kumba wants to charge market rates for iron ore supplies to the unit of the world's top steelmaker, but ArcelorMittal's unit has said a deal with Kumba to supply iron ore at a discount was valid and binding. 

 - Reuters & I-Net Bridge



Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Add your comment
Comment 0 characters remaining

Company Snapshot

We're talking about:


Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.

Karl Lagerfeld spotted with custom gold Apple Watch

Fashion designer Carl Lagerfeld has just proved that fashion and tech can indeed go together!


Luxury living

WATCH: Private luxury island for sale!
The most luxurious dog house!
Must see: The world’s most expensive timepiece
Exciting new luxury SUV arrives in SA!

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

What brand of smartphone has been stolen from you?

Previous results · Suggest a vote