Eastplats seeks to dismiss lawsuit

Johannesburg –

Dual-listed junior miner says it is seeking to have a claim against it

dismissed with costs.

This comes after

Hebei Zhongheng Tianda Platinum Company in December filed a civil claim against

it.

In a statement

at the time, the dual-listed miner says HZT has filed a claim against it and

several of its subsidiaries in the British Columbia Supreme Court because of an

alleged repudiation and breach of a share purchase agreement.

On Tuesday,

Eastplats said it had filed its response against the claim.

This agreement

dates back to June 28 and was signed by Eastplats’ former management.

The law suit

seeks, among other relief, to force Eastplats to comply with the purchase

agreement.

Failing which,

HZT wants damages and costs.

“The company

intends to vigorously defend against the action and to refute many of the facts

and allegations made in the claim.

“Once the

company and its subsidiaries have been formally served with the claim they will

respond in due course.”

In June, Eastplats

said it had agreed to sell Crocodile River Mine and associated intercorporated

investments and loans for $50 million to the Chinese company.

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to buy out minority shareholders

As part of this

deal, it would also buy out certain minority interests.

“The company

announces that it has reached agreement with certain holders of the minority

interests to buy their interests in all the company’s projects, including but

not limited to, the Crocodile River Mine for a total of $13 million,” it said.

In the 6 months

to June, its loss widened to 29c a share from 5c a share.

BUSINESS REPORT ONLINE