Great Basin Gold Ltd. (fka GBGLF)

[goldenpolarbear]

Wellsted said that cash constraints within the company meant that it had to slow the development of Burnstone, a new project on which it is working in the Mpumalanga province. “That cash that Cooke lost, between R400m to R600m this year, could have been put into a project that will create sustainable employment,” he said.

The National Union of Mineworkers NUM) criticised Sibanye-Stillwater yesterday, saying that the firm had decided to pump R20bn into offshore operations (it’s actually R31bn) instead of investing in local operations. “We have been through a process with the NUM in terms of the Labour Relations Act,” said Wellsted.

The Cooke surface processing plant would continue to operate for as long as there was sufficient feed material for it to be profitable, said Sibanye-Stillwater. Through this, some 132 employees would be retained. An additional 620 employees will replace contractors providing non-critical activities across the group. In total, 3,601 contractors have been laid off by the company.

http://www.miningmx.com/news/gold/30834-sibanye-stillwater-confirms-7000-employees-cut-cooke/

”...Johannesburg - A court order relating to a business rescue plan for Southgold Exploration has “significant ramifications” for the banking and business restructuring industries, law firm Bowman Gilfillan said on Wednesday.

A declaratory order was granted by the High Court in Johannesburg last week, according to Claire van Zuylen, a director at the law firm.

It meant Southgold's failure to formally notify one group of creditors did not nullify the company's business rescue,

“Had the court order not been granted, lenders to Southgold would not have been prepared to advance further funding, because the validity of the business rescue would have been in doubt,” she said.

https://www.iol.co.za/business-report/companies/rescue-ruling-significant-1481944

VALID Reasons? Frustrating!

https://home.kpmg.com/content/dam/kpmg/pdf/2016/05/reasons-for-judgment-oct-1-2012.pdf

“...representative transactions
- Acted for numerous mineral resource companies in connection with equity financings by way of prospectus, both within Canada and Canada-US including Great Basin Gold,
http://mcmillan.ca/mining-industry