Musings From Abroad

Cancelled Brazil mines contract may cost S’Africa’s Sibanye $522 million

Published

2 months ago

October 15, 2024

Following the cancellation of a $1.2 billion agreement to purchase Appian’s Brazilian nickel and copper mines, investment firm, Appian Capital Advisory, has filed a $522 million compensation claim against South African miner Sibanye Stillwater, the company announced on Monday.

Last week, the London High Court mandated that Sibanye pay Appian for the lost deal, with a hearing scheduled for November 2025 to decide the exact amount of damages.

“Appian currently claims damages of up to $522 million,” Sibanye spokesperson James Wellsted told Reuters. “Sibanye’s case is therefore that Appian is entitled to either no or significantly reduced damages.”

An Appian representative declined to provide a statement.

In what would turn out to be its largest venture into the battery mineral business, Sibanye announced in October 2021 that it would be purchasing the mines owned by affiliates of funds advising them.

It backed out of the deal three months later, claiming that the Santa Rita mine’s instability would have had a significant negative influence on operations going forward.

According to Wellsted, the claims Sibanye obtained include pre-judgment interest, expenditures and expenses related to the mines’ administration and resale procedure, and the difference between the agreed-upon purchase price and the market value of the shares in the mines.

The financial obligations place additional strain on Sibanye CEO Neal Froneman, who is already dealing with growing losses brought on by a decline in the price of platinum group metals.

According to Wellsted, Sibanye intends to contend that Appian violated a fundamental tenet of English contract law, which requires a claimant to take reasonable measures to lessen its losses.

“Appian is required to mitigate its loss by accepting offers for the mines at fair market value and to account for any profits it has made from its continuing ownership of the mines,” he added.

Related Topics:Brazil mines Featured Sibanye-Stillwater South Africa

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Musings From Abroad

Blinken to reveal UN Sudan funding additions

Published

1 day ago

December 20, 2024

Ifeoluwa Dada

Additional financing for humanitarian aid to Sudan and initiatives to strengthen civil society in the nation, where a conflict has killed tens of thousands of people and displaced millions, will be announced by U.S. Secretary of State Antony Blinken at the United Nations on Thursday.

Blinken will make many announcements when he leads a UN Security Council meeting on Sudan on Thursday, which will centre on humanitarian aid and civilian protection, Deputy U.S. Representative to the UN Ned Price told reporters on Wednesday.

According to Price, the announcements would include more money for humanitarian help, initiatives to strengthen civil society, and the return of democracy.

“Sudan, unfortunately, has risked becoming a forgotten conflict,” Price said.

“So part of the reason the secretary … opted to convene a signature event on this very topic is to make sure it remains in the spotlight,” Price said.

For almost 18 months, the paramilitary Rapid Support Forces and Sudan’s army have been engaged in combat, resulting in a severe humanitarian crisis that has forced over 12 million people from their homes and made it difficult for U.N. organisations to provide aid.

A power struggle between the RSF and the Sudanese Armed Forces preceded a planned shift to civilian administration, which sparked the conflict in April 2023.

Although the army declined to join this year’s U.S.-mediated peace negotiations in Geneva, the warring parties did pledge to increase assistance access, which prevented any movement towards a ceasefire.

Price stated that before President Joe Biden’s term ends next month, the United States would keep collaborating with allies to enhance humanitarian access in Sudan and eventually end hostilities.

“We are going to leave nothing on the field in our efforts to work with allies, with partners, with the Sudanese stakeholders themselves, on the issues that matter most – humanitarian access, the provision of humanitarian assistance, ultimately, the process by which we can work to get to a cessation of hostilities, which is most urgently needed,” he said.

Musings From Abroad

Seeking to expand ties in Africa, Indonesia’s Prabowo attends D-8 economic meeting in Egypt

Published

3 days ago

December 18, 2024

Ifeoluwa Dada

According to the government, Indonesian President, Prabowo Subianto, travelled to Egypt on Tuesday to attend meetings of the D-8 Organisation for Economic Cooperation, a group of eight significant Muslim developing nations.

To enhance collaboration between the nations spanning from Southeast Asia to Africa, the D-8 was formed in 1997 and consists of Bangladesh, Egypt, Indonesia, Iran, Malaysia, Nigeria, Pakistan, and Turkey. Beginning in January 2026, Indonesia will serve as the group’s chair.

Prabowo said that he would meet with Abdel Fattah al-Sisi, the president of Egypt.

“Egypt is our close friend, our strategic partner and an important country in the Middle East,” he said before his departure, adding he would also meet the Egyptian business community.

He would go to Malaysia from Egypt and then return to Indonesia.

Since taking office in October, Prabowo has stated that his administration will uphold Indonesia’s long-standing non-alignment foreign policy.

Since winning the presidency earlier this year, he has been to more than 20 nations, including China, the US, Japan, and Russia.