R175m for Mapela community

MAPELA – Mining giant, Anglo American Platinum, through its operating company, Rustenburg Platinum Mines Limited (RPM) has signed a settlement agreement which will see R175-million paid over to the Mapela Traditional Community (MTC).
The MTC consists of 42 villages and communities adjacent to Mogalakwena Mine just outside Mokopane. The mine leases land from the community for some of its mining activities. RPM and the MTC have recently signed a Settlement Agreement in terms of which R175 million will be paid to the MTC to settle a number of legacy issues unrelated to the leases. These funds will provide seed capital for creating sustainable, long-term and diversified growth for the community.
MTC will establish a corporate structure to manage its mining, social and commercial interest to benefit the community. The governance structure will consist of a controlling trust – the Mapela Trust – whose beneficiaries are the members of the MTC community; a fully-owned holding company – the MTC Holding Company – and several operating companies to commercialise its investments.
The Mapela Trust will be managed by a board of trustees chaired by its traditional leader Kgoshi David Kgabagare Langa and will include one trustee appointed by the Traditional Council, one appointed by the Council of Headmen, two Independent Trustees, and two trustees elected by the community.
The first R90 million of the settlement amount has already been paid into a trust account and will be paid over to the MTC when the corporate governance structure has been established, to be followed by a final payment of R85 million thereafter. The corporate governance structure is scheduled to be established before end-June 2016.