Global law firm Norton Rose Fulbright has advised RFW Lonmin on the unwind of a US$ 50-million Metals Purchase Agreement implemented in 2016, the settlement of amounts owing, and the release and cancellation of the associated agreements and securities.

The law firm acted on behalf of the metals purchaser, RFW Lonmin Investments Limited to advise on, draft and negotiate the agreement with Sibanye Stillwater, and then to secure the settlement payment as would allow for the release and cancellation of the associated agreements and securities.

The early settlement of the long-term streaming facility will be funded through a new short-term platinum prepay facility, entered into with Merrill Lynch International. 

Georg Kahle, Norton Rose Fulbright’s Head of Mining in South Africa who led the deal, commented:

“We are delighted to have been part of the team involved in this transaction in assisting our client with the legal requirements to close this transaction. Streaming transactions are becoming more and more prevalent in mine financing globally and South Africa is no exception in this trend.”

The multi-specialist team in South Africa comprised; Georg Kahle, Steve Chemaly, Raghemah Hendricks, Carina van Vuuren and Nick Gordon.

Steve Chemaly, Norton Rose Fulbright Head of Financial Institutions for South Africa concluded:

“This was a win-win outcome for all involved.”