Fin24

Exxaro sells stake in Namibian mine

2011-12-15 10:13

Johannesburg - South African miner Exxaro Resources [JSE:EXX] said on Thursday it has sold its 50% stake in the Rosh Pinah zinc and lead mine in Namibia to commodities trader Glencore for an undisclosed amount.

The diversified miner also said Glencore has acquired a further 30% stake in the mine from other shareholders, bringing its total stake to 80.08%.

Namibian empowerment groups and other shareholders will hold the remainder of the mine, Exxaro said.

The deal is subject to regulatory approvals from Namibia and South Africa.

Reuters reported on the pending deal between Exxaro and Glencore last month.

Exxaro said in July it wanted to exit the zinc business and focus on more lucrative parts of operations such as coal and iron ore.

Rosh Pinah zinc and lead mine is situated in southwestern Namibia, 800km south of Windhoek.