PAM - Palabora Mining Company Limited - Approval and granting of new order

PAM - Palabora Mining Company Limited - Approval and granting of new order      
mining rights                                                                   
PALABORA MINING COMPANY LIMITED                                                 
(Incorporated in the Republic of South Africa)                                  
(Registration number 1956/002134/06)                                            
JSE code: PAM  ISIN: ZAE000005245                                               
("Palabora")                                                                    
APPROVAL AND GRANTING OF NEW ORDER MINING RIGHTS                                
Palabora is pleased to advise that on Thursday, 15 December 2011, the           
Department of Minerals Resources (DMR) approved and granted the conversion      
of its old order mining rights into new order mining rights in terms of the     
Minerals and Petroleum Resources Development Act (MPRDA) Act 28 of 2002.        
Whilst seven of Palabora`s existing eight old order mining rights have been     
converted, a final mining right is subject to a dispute resolution process.     
Tony Lennox, Palabora`s managing director welcomed the DMR`s decision "The      
granting of Palabora`s new mining rights enables Palabora to move forward       
with its Broad Based Black Economic Empowerment (BBBEE) transaction and         
provides long term stability for the business."                                 
"The granted mining rights and the commitments therein will also ensure that    
significant development will continue to be made within the communities of      
Ba-Phalaborwa where our operations are located. The local economic              
development projects and programmes identified in our social and labour         
plans will go a long way to contribute to creating a better life for all        
concerned."                                                                     
The signing and execution of converted mining rights will start in early        
2012. The granting of the new order Palabora mining rights is the               
culmination of the journey that Palabora, the Unions and the DMR have           
travelled to ensure compliance with various aspects of the MPRDA which          
include the development of employees; mine community and rural development;     
improving housing, living conditions and nutrition for employees;               
preferential procurement and enterprise development as well as promoting        
BBBEE ownership. The focus now shifts to implementation of the BBBEE            
transaction, the commitments and undertakings made and continuous compliance    
with the MPRDA.                                                                 
Phalaborwa                                                                      
19 December 2011                                                                
Sponsor:                                                                        
One Capital                                                                     
Date: 19/12/2011 10:37:00 Supplied by www.sharenet.co.za                     
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