Johannesburg, 22 July 2010: The Board of Directors of Absolute Holdings (“the Company”) has confirmed that all the conditions precedent have been met for the successful conclusion of the Bauba transaction, whereby the Company will acquire an effective 60% direct and indirect participation in the Bauba Project.
Further to the previous announcements released on the Johannesburg Stock Exchange’s News Service (SENS), the required minimum capital raising closed on Tuesday, 20 July 2010. Irrevocable undertakings with a gross proceeds value of R24 815 590 have been received and, accordingly, 8 005 029 new shares at R3.10 per share will be issued within the shareholders’ authority and existing authorised share capital of the Company.
Chief Executive Officer, Pine Pienaar, commented, “This is an important and exciting milestone for the company as we will now be able to proceed with the next stage of the exploration programme.”
The special resolutions approved at the general meeting of shareholders on 7 June 2010, which include, inter alia, the change of the company’s name to Bauba Platinum Limited and an increase in authorised share capital, will now be lodged for registration with CIPRO.
The following new Board appointments will take place once all the necessary resolutions are registered and the new shares for Bauba’s acquisition have been issued:
Mr Jonathan Best – Independent Non-Executive Chairman;
Mr Pine Pienaar – Chief Executive Officer;
Dr Mathews Phosa – Non-Executive Director;
Mr Kenneth Dicks – Independent Non-Executive Director;
Mr Jonathan Best – Independent Non-Executive Director; and
Mr Sholto Dolamo – Independent Non-Executive Director.
“The capital raised will allow us to continue the drilling work, which will qualify an inferred resource on a portion of Bauba’s southern cluster,” said Pienaar. “We have already intersected platinum group metals mineralisation at the anticipated depths, confirming our original estimations, and are keen to move ahead with the exploration programme.”
NOTE TO EDITORS:
THE BAUBA PROJECT: Bauba holds prospecting rights over eight farms, which are prospective for platinum mineralisation in the Eastern Bushveld Igneous Complex, encompassing an area of approximately 50km in length and 6km in width (approximating 12 700 hectares), collectively the Bauba Project. The farms cover the known down-dip extent of several current development projects and operating mines on the Eastern limb of the Bushveld Igneous Complex. The geological location is expected to reveal both Merensky Reef and UG-2 Chromitite Layer occurrences as extensive exploration programmes have been conducted on the properties neighbouring the Bauba Project.