Eastplats to seek order to strike application in South Africa related to 2007 agreement
Monday, Mar 20, 2017
Eastern Platinum Limited announces that it has taken steps to oppose and have struck as frivolous and vexatious, a claim recently filed in South Africa made by Alpha Global Capital Inc. ("Alpha Global").
As previously disclosed in 2007 and thereafter, in connection with the Company's acquisition of an additional 5% interest in Barplats Investments Limited (which indirectly holds the Crocodile River Mine in South Africa), Eastplats International Inc. ("EII"), a wholly-owned subsidiary of the Company, entered into an agreement under which Alpha Global was to receive ZAR 30,797,464 (Cdn.$3,220,243 translated at a current exchange rate of Cdn.$1.00:ZAR9.86) upon the closing of a "Fundamental Transaction". Alpha Global is now seeking payment of and other relief in connection with that agreement.
The Company is of the view that no amount is currently owing to Alpha Global and as a result it is not entitled to any remedy in connection with its alleged claim. The Company has taken steps to oppose the claim and to have it struck as frivolous and vexatious and is seeking costs against Alpha Global.
For more information, please visit: http://www.eastplats.com