Nkwe Platinum has concluded a substantial black economic empowerment (BEE) transaction with Blue Nightingale.

As a result of the deal, Blue Nightingale has acquired a 30 per cent equity interest in Nkwe.

The deal means that Nkwe is now fully compliant with the BEE equity and ownership rules set out by the South African government.

The Broad-Based Socio-Economic Empowerment Charter for the South African mining industry dictates that companies must meet certain BEE criteria in order for old order mining rights to be converted into new order rights.

Nkwe and Blue Nightingale are now meeting with the department of minerals and energy to obtain new order prospecting rights at its flagship De Wildt Project in the country.

The companies will then be able to commence the exploration and feasibility plans required to commercialise the project.

The agreement replaces an aborted deal with the Tiego Moseneke company announced in 2004.

If that transaction had been successful, Moseneke would have bought 28 per cent of Nkwe Platinum.

Ÿ Adfero Ltd