Tawana - Strategic Alliance - Guma Resources Release Date: 10/11/2006 09:13:15 Code(s): TAW
Tawana - Strategic Alliance - Guma Resources
Tawana Resources NL
(Incorporated in Australia)
(Registration number ACN 085 166 721)
Share code on the JSE Limited: TAW & ISIN: AU000000TAW7
Share code on the Australian Stock Exchange Limited: TAW & ISIN: AU000000TAW7
("Tawana" or "the Company")
10 November 2006
Strategic Alliance - Guma Resources
The Company is pleased to advise that it has formed a strategic alliance with
Guma Resources (Proprietary) Limited ("Guma Resources"), a subsidiary of Guma
Capital (Proprietary) Limited ("Guma"). The Guma group of companies is a
diversified investment group based in Johannesburg that is black owned and
managed. The Guma group was established in 1997 by successful South African
entrepreneur Robert Matana Gumede.
Guma focuses on multi-faceted businesses where it can add value and assist in
their growth potential. In addition to several private investments in
diversified sectors, Guma owns 36.6% of GijimaAST, that is one of South Africa"s
largest IT companies and is listed on the JSE Limited. GijimaAST posted
revenues of R1.95 billion (A$344.4 million) in the last financial year and
received 8th place overall in the Financial Mail/Empowerdex Top 200 Empowerment
Companies Survey 2006. In 2005, Robert Gumede, chairman of Guma, was runner up
in the South African Chapter of the World Entrepreneur of the Year.
The strategic alliance provides Tawana with a black-controlled business partner
with the ability to leverage of its sizeable net asset base and introduce
resource projects via its strong networks throughout Africa.
The purpose of the strategic alliance is to combine the exploration and mining
skills of Tawana with the financial, entrepreneurial, accounting and business
skills of Guma to explore for, develop and mine diamond and other mineral
deposits in South Africa, Botswana, Namibia, Mozambique and other countries as
agreed by the parties.
The alliance will comprise two stages. The first will be to identify, assess and
acquire mineral rights to projects deemed to be worthy of progressing. The
second stage will involve the formation of joint ventures on a project by
project basis with the aim to confirm the economic merit of the projects via the
completion of definitive feasibility studies adequate to secure debt financing.
The participation in Stage One will be on a 50:50 basis and thereafter the
participating interests will be dependent on the nature of the specific
projects. Tawana will lead the alliance with Guma"s hands-on involvement.
Tawana"s long standing relationship with Seven Falls will continue on the
existing projects in South Africa and Botswana and will be further strengthened
with the appointment of Seven Falls Chairman, Thabo Makweya (former MEC for
Economic Affairs in the Northern Cape), as CEO of Guma Resources.
The Managing Director of Tawana, Wolf Marx said: "We are delighted to form this
alliance with one of the most successful companies to emerge in the New South
Africa and are pleased to be chosen by Guma to be its partner in developing
resources in Southern Africa. This alliance again demonstrates Tawana"s
commitment to South Africa and to be part of the Region"s mining future."
The CEO of the Guma group, Cheslyn Mostert said: "Guma Resources is excited at
the prospect of partnering Tawana to explore, develop and mine potential
deposits in the Southern African region. By selecting Tawana as its technical
partner, the combination of each company"s complementary expertise and skills
can only result in a successful relationship. We look forward to our business
The Guma group Chairman, Robert Gumede added: "Tawana represents our first
strategic alliance in the mining sector and we are hopeful that Guma Resources
will grow from strength to strength with Tawana as well as other mining groups,
who seek value adding partners."
For further information on Tawana and Guma visit: www.tawana.com.au and
Wolf Marx Basil Tambanis
Tel: +61 (0)3 98635222 Tel: +61 (0)3 98635222
Mob: +61 (0)428 398446 Mob: +61 (0)414 434339
Thabo Makweya Cheslyn Mostert
Tel: +27 (0)53 832 5271 Tel: +27 (0)11 548 0000
Mob: +27 (0)84 463 6367 Mob: +27 (0)82 523 4552
Email: email@example.com firstname.lastname@example.org
Sponsor to Tawana: PricewaterhouseCoopers Corporate Finance (Pty) Limited
All press releases and announcements may be inspected on the Company"s web site,
Date: 10/11/2006 09:13:19 AM Supplied by www.sharenet.co.za
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