adminBNC shareholders approved the rights offer in June to finance the restart of operations at Trojan Nickel Mine which was put under care and maintenance in late 2008 due to poor nickel prices on the international market, combined with a difficult operating environment obtaining in Zimbabwe at the time.
Recently, the Government accorded the planned restart of Trojan Mine a National Project Status to allow the company to import equipment duty free.
Announcing a revised timetable, BNC said the results of the rights offer which were expected by the end of July would be announced on 22 August.
BNC said the need to reach consensus with staff had necessitated the extension.
“The directors of BNC hereby advise shareholders that the rights offer currently underway has been extended,” reads part of the statement.
“The extension has been made to allow extra time for staff to respond to an offer made by the company to settle backpay liabilities and retrenchment costs.”
The company said it had received a good response from creditors highlighting that there was need to get more acceptance from workers.
“Prior to concluding the rights offer, satisfactory resolution with the creditors and with staff on the settlement of retrenchment and backpay costs is required.
“To date, BNC has received acceptance from many staff members. However, more acceptances are required,” it said.
The African Development Bank (AfDB) recommended in its monthly report the re-opening of the mine to take advantage of firming international nickel prices.
The nickel mining concern owns and operates the Shangani and Trojan Nickel mines, as well as its own smelter and refinery situated in Bindura, all of which are currently on care and maintenance. — New Ziana.
Online Reporter