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Celframe announces ZAR 1.5 Billion investment plan in South Africa
Celframe plans to invest 1.5 billion Rand ($186 million) in Mineral Rich country particularly South Africa, Celframe Public Relations office reported Friday.
Close to the heels of their recent announcement that Celframe will be investing in Natural Resources sector, this investment seems to be the first step. Celframe is flush with cash from its hugely lucrative technology business and now entering the highly controlled mining Industry.
Celframe President Arun Pudur when asked why invest in Mining and that too in South Africa said “We look at South Africa as the gateway to rest of Africa. This investment will be our first step in this vast continent which remains largely untapped and we would bring our expertise to forge partnerships with people rather than just investing.”
He continued “This initial investment of ZAR1.5Billion will be predominantly in the resources sector, as the technology sector needs very little investment as the products are market ready.”
William Wilson, Celframe CFO commented, “We have been putting together some of the best minds in Africa to help us in this endeavour and a Special Purpose Vehicle has been setup to enable this investment into the country.” William added “We are already in the final stages of negotiations to acquire rights for two mines in South Africa, which holds an estimated valuation of 277 Billion Rand ($36 Billion) in various mineral and precious stone deposits.”
Celframe Africa Head, Rhulani Garrine said, “Both the projects we are presently engaging we want to strike a balance to promote rights of the local tribes, empower previously dis-advantaged people and as well work with local communities to improve their lives. This is keeping in line with Celframe’s philosophy of community based business development and want to set a new standard in mining sector.”
He also continues, “We have plans to operate in an environmentally friendly way by using latest Micro-fine technology which will use non-harmful substances for extraction and also the output per tonne will be 20% higher than traditional technologies”
Apart from these two project sites Celframe is presently discussing with various other mine owners all over Africa and has decided to even further invest into Africa if the need arises. Celframe previously stated that its privately held company may get listed if it is within the company's interest and a conservative market cap for its technology business alone will be in the range of $38 – 45 Billion and if the plans for the mining sector adds up it may end up with a $75 Billion market capital making it bigger than most mining and technology listed companies.
- Prema Sanders, Mining Ventures News, Singapore
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