Aquarius Platinum has completed a deal with the Black Economic Empowerment (BEE) vehicle Savannah Consortium worth R860 million.

Under the terms of the deal Savannah will acquire 29.5 per cent of the issued shares in Aquarius' South African subsidiary, Aquarius Platinum South Africa (AQPSA).

The completion of the agreement comes after shareholders gave their backing to the plan last month, and clears the way for a series of final transactions.

Savannah, which is led by Savannah Platinum in conjunction with Chuma Platinum and Malibongwe Platinum, will initially land 28.6 per cent of the issued shares in AQPSA for a total consideration of R832.9 million by subscribing for 400 new AQPSA shares.

It will then purchase a further 13 shares in AQPSA from Aquarius for R27.1 million, culminating in a 29.5 per cent equity interest.

Aquarius chief executive Stuart Murray hailed the deal and its implications for the company's development.

"It provides Aquarius with the necessary cash injection to commence with the development of the Everest Mine situated on the eastern limb of the Bushveld Complex," he explained.

"We anticipate that Everest will contribute 220,000 pgms to Aquarius' annual production profile from mid 2006."

The Everest Mine will be South Africa's first new mine to begin in the new era of the Mining Charter and its rules governing BEE.