On Thursday three bidders who participated in the recent public auction of the defunct Lerala mine showed keen interest, but failed to part with P2 million required as deposit for the auction.
This is after the mine had gone for an online auction May this year and a highest bidder pledged P80 million but failed to raise the money. The mine had to go back to traditional auctioning and last week the liquidator Kopanang Thekiso advertised the auction on newspapers. Buyers showed interest but could not pay the P2 million deposit. “It is true sir the mine is failing to find a buyer. It is also true that people who came forth this week have not paid the USD 200 000 (P2 million) deposit for the auction,” confirmed Thekiso in an interview.
Those who stand to lose big in this botched sale of the mine remain the twenty creditors who are owed P359 million and148 former employees awaiting payments amounting to close to P9 million by Lerala Diamond mine. Information received by this publication is that some buyers went even down to trying to buy the mine for P2 million while other wanted to pay P5 million. Everyone wanted to buy the mine cheaper and the liquidator admitted to this publication that the mine is going to be sold for a song. But the creditors will be given whatever the market offers, said the liquidator.
Also, the value of the mine is not known. Thekiso said they could not afford the money for valuation and they are just letting buyers to compete for the mine. Lerala mine auction included mining and water rights, five Kimberlite pipes ranging from 0.16 hectares to 2.35 hectares in area, a 200 metric tonnes per hour processing plant and a 4.2-megawatt diesel generator, among other assets.
The new buyer will get transfer of the mining license and rights; a complete processing plant, which includes a 200 t/h conventional fines plant and a course dense medium separation plant; final integrated X-ray recovery house; primary jaw crusher; secondary cone crusher; high-pressure roll crusher; scrubbers; material reticulation of conveyors; screens; bins; thickener plant and tailing dams; diesel generator plant; electrical reticulation; workshops; offices; and a mining camp.
Before the recent public auction Lerala used the online auctioneer GoIndustry DoveBid to sell the mine, but the efforts hit a snag after the attempted buyers failed to pay the money they promised. The Lerala Mine was opened in 2008 and had to be shut twice due to weak sales, until it finally was placed under judicial management in May last year, leaving 130 people out of work and millions in unpaid bills.
China’s Gross Domestic Product (GDP) expanded by 3% year-on-year to 121.02 trillion yuan ($17.93 trillion) in 2022 despite being mired in various growth pressures, according to data from the National Bureau Statistics.
The annual growth rate beat a median economist forecast of 2.8% as polled by Reuters. The country’s fourth-quarter GDP growth of 2.9% also surpassed expectations for a 1.8% increase.
In 2022, the Chinese economy encountered more difficulties and challenges than was expected amid a complex domestic and international situation. However, NBS said economic growth stabilized after various measures were taken to shore up growth.
Industrial output rose 3.6% in 2022 over the previous year, while retail sales slightly shrank by 0.2% data show that fixed-asset investment increased 5.1% over 2021, with a 9.1% hike in manufacturing investment but a 10% fall in property investment.
China created 12.06 million new jobs in urban regions throughout the year, surpassing its annual target of 11 million, and officials have stressed the importance of continuing an employment-first policy in 2023.
Meanwhile, China tourism market is a step closer to robust recovery. Tourism operators are in high spirits because the market saw a good chance of a robust recovery during the Spring Festival holiday amid relaxed COVID-19 travel policies.
On January 27, the last day of the seven-day break, the Ministry of Culture and Tourism published an encouraging performance report of the tourism market. It said that domestic destinations and attractions received 308 million visits, up 23.1% year-on-year. The number is roughly 88.6% of that in 2019, they year before the pandemic hit.
According to the report, tourism-related revenue generated during the seven-day period was about 375.8 billion yuan ($55.41 billion), a year-on-year rise of 30%. The revenue was about 73% of that in 2019, the Ministry said.
The state of the art jewellery manufacturing plant that has been set up by international diamond and cutting company, KGK Diamonds Botswana will create over 100 jobs, of which 89 percent will be localized.
Local diamond and metal exploration company Tsodilo Resources Limited has negotiated a non-brokered private placement of 2,200, 914 units of the company at a price per unit of 0.20 US Dollars, which will provide gross proceeds to the company in the amount of C$440, 188. 20.
According to a statement from the group, proceeds from the private placement will be used for the betterment of the Xaudum iron formation project in Botswana and general corporate purposes.
The statement says every unit of the company will consist of a common share in the capital of the company and one Common Share purchase warrant of the company.
Each warrant will enable a holder to make a single purchase for the period of 24 months at an amount of $0.20. As per regularity requirements, the group indicates that the common shares and warrants will be subject to a four month plus a day hold period from date of closure.
Tsodilo is exempt from the formal valuation and minority shareholder approval requirements. This is for the reason that the fair market value of the private placement, insofar as it involves the director, is not more than 25% of the company’s market capitalization.
Tsodilo Resources Limited is an international diamond and metals exploration company engaged in the search for economic diamond and metal deposits at its Bosoto Limited and Gcwihaba Resources projects in Botswana. The company has a 100% stake in Bosoto which holds the BK16 kimberlite project in the Orapa Kimberlite Field (OKF) in Botswana.