SA News

First Uranium says MWS mining right withdrawn

Written by  Mariaan Webb: Edited by Creamer Media Monday, 19 September 2011 03:20
Rate this item
(0 votes)

Shares in First Uranium plunged in Johannesburg late on Friday, after the gold and uranium miner said that the new order mining right for its Mine Waste Solutions (MWS) tailings operation had been “withdrawn”.


Shares fell 15% to R2.50 apiece just before the market closed at 17:00.

First Uranium, which is also listed in Toronto, said the notice from the Mineral Resources Department was “fatally defective”. The company maintained that under South African legislation, reclamation activities, such as MWS, were not classified as a mining project and therefore did not require a mining right.

It also said that South Africa’s Mineral and Petroleum Resources Development Act (MPRDA) did not make provision for a mining right to be withdrawn.

“The MPRDA does make provision for the authorities to take other actions in relation to mining rights provided due process is followed. This includes the serving of notice of the intended action and provides for an opportunity for the recipient to respond, none of which took place in this instance,” it said in a statement.

First Uranium said it had sent correspondence to Mineral Resources Minister Susan Shabangu, requesting her to withdraw the letter about the licence.

“Depending on the Minister’s response, shareholders are advised that legal action may be required in order to protect MWS’ rights,” it said.

MWS consists of 14 tailings deposits from three gold and uranium mines that operated for 50 years of which the Buffelsfontein No.2 and No.4 tailings dams are currently being mined. According to the First Uranium website, these tailings represent in excess of 349-million tons of mineral resources including inferred resources, of which 323-million are mineable reserves estimated to contain 55-million pounds of uranium and 2.9-million ounces of gold.

Meanwhile, First Uranium also said that the notice temporarily suspending operations in the underground workplaces at its Ezulwini mine had been lifted. The Department of Mineral Resources issued the notice on September 13, following the death of a worker in a fall-of-ground incident.

First Uranium traded at C$0.355 a share in Toronto on Friday.




The FSE, in association with Gold Fields’ South Deep Mine, donated 40 white Karee Trees (Searsia penduline) during Arbor Week to the mining affected community of Simunye in the West Rand and participated in the tree planting ceremony with the community of Simunye, the local Municipality and officials from South Deep Mine.  The FSE also delivered a presentation during the ceremony.

"Varkies" gou op hok, maar als nie pluis | Beeld

Article also available for download as an attachment.

Radon Alert - Carte Blanche

Millions of South Africans are exposed to radioactive radon gas in their homes and workplaces every day, as the naturally occurring gas escapes through cracks in the earth. The second leading cause of lung cancer in several countries, radon breaks down and when inhaled, decaying atoms emit alpha radiation that can damage the DNA. There are no safe levels of radon concentration. The United States Environmental Protection Agency emphasises any radon exposure has some risk of causing lung cancer. Carte Blanche investigates why South Africa has no regulations to protect against radon accumulation in the home and what you can do to test your home and prevent lung cancer.   Watch the video here.

WITS Economics & Finance Courses: Mining for Development: The Taxation Linkage

Economics & Finance Courses at the University of the Witwatersrand. Mining for Development: The Taxation Linkage - Understand taxation for development and sustainability in mining. View the course here. Enrolment starts on the 7th of October 2019.


Vaal Inquiry Final Report

View the final report here.

How Relevant are the Vaal Barrage's Catchment Forums

Article in North Star - Vereeniging & Midvaal.Author: Johann Tempelhoff Art...