Goldplat Reaches Settlement With Rand And Looks Forward To Fresh Start

LONDON (Alliance News) - Goldplat PLC said on Friday that Rand Refinery has agreed to settle a ...

Alliance News 12 January, 2018 | 8:50AM
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LONDON (Alliance News) - Goldplat PLC said on Friday that Rand Refinery has agreed to settle a protracted invoice dispute for an undisclosed amount, but that it is less than the full amount Goldplat originally claimed.

Goldplat said that the two companies have now signed a memorandum of understanding, including an agreement by Rand to pay Goldplat the undisclosed amount, following the companies' agreement of an arbitration process in December.

The two companies previously failed to reach a settlement in April, when Rand requested that Goldplat settle with it, which Goldplat described as "completely unacceptable." Goldplat had claimed that it was owed ZAR13.5 million by Rand.

The dispute concerns the processing of silver suphide by Goldplat's 74%-owned subsidiary Goldplat Recovery Ltd on behalf of Rand Refinery. Goldplat said Rand failed to pay some invoices after the refinery disputed them.

"We are very pleased to have been able to progress discussions with Rand Refinery to this point and to have agreed terms for a settlement of the dispute. While the proposed amount is less than the full amount claimed by us, we believe that the proposed settlement and expected consequent expeditious conclusion of the arbitration process will not only alleviate the time and costs of the agreed legal process and free up valuable management time, but it also will allow business between the two parties to resume on the basis of a fresh start with renewed energy and focus in all areas to further strengthen and build the long-standing relationship that exists between the two companies."

Goldplat shares were up 1.4% at 7.99 pence each on Friday.

By Toby Woodall; tobywoodall@alliancenews.com

Copyright 2018 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar
Rating
Goldplat PLC 5.50 GBX 0.00 -
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