The Crocodile River platinum-mine in South Africa is to be reopened after a consortium headed by mining entrepreneur, Loucas Pouroulis, purchased a majority share of the mine.

The consortium acquired Impala Platinum's 83.2 per cent interest in Barplats Investments for R390 million, whose sole operating asset is the Crocodile River mine.

Pouroulis was the original owner of Barplats (initially called Lefkochrysos), which started operations at Crocodile River in 1987.

However, after failing to reach anticipated production targets Rand Mines brought Lefkochrysos in 1988, only to fail itself in making the mine profitable.

The mine was then acquired by the world's second-largest platinum producer Impala in 1997, who also failed to turn the mine around. The site has been closed since December 2003.

However, Pouroulis, under his Salene group of companies and a new board of directors, now believes Crocodile River can be reopened successfully.

David Salter the new managing director of Barplats stated: "Work on reopening of the Crocodile River mine has begun.

"It is planned to recapitalise the mine and return it to rated capacity within three years. Financing requirements are being finalised."