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Competition Commission approves Navachab Gold Mine sale…..With conditions

Home Business Competition Commission approves Navachab Gold Mine sale…..With conditions

WINDHOEK – The Namibian Competition Commission (NaCC) has given its approval to Guinea Fowl Investments Twenty Six for the acquisition of the Navachab Gold Mine, near the town of Karibib. However, Chief Executive Officer of the NaCC, Mihe Gaomab II, said the approval is granted provided that no employees are retrenched at the mine for at least two years from the date of sale.

“The Commission’s decision to approve the sale is based on grounds that the proposed transaction is not likely to prevent or lessen competition. The Commission was ,however,concerned about the effect of the sale on employment, hence the imposition of the above condition”, said Gaomab II in a statement released on Wednesday this week.

Gaomab II explained that the commission received a notification in terms of section 44 of the Competition Act from the law firm, Engling Stritter and Partners on the proposed acquisition of AngloGold Ashanti Namibia (AGAN) by Guinea Fowl Investments Twenty Six. The transaction entails Guinea Fowl acquiring the entire issued share capital of AGAN. The NaCC investigated the proposed transaction in accordance with section 47 of the Competition Act.

Guinea Fowl Investments Twenty Six is registered as a Namibian company and is a wholly-owned subsidiary of the QKR Corporation, which is incorporated in accordance with the laws of Guernsey, a British crown dependency.

AGAN, the owner of the Navachab Mine, is a private Namibian company and is a wholly-owned subsidiary of South African company AngloGold Ashanti Limited. For many years Navachab Mine was the only gold mine in the country, until Canadian miner B2Gold commenced with the establishment of their gold mining operation last year. B2Gold’s Otjikoto gold mine is situated in the Otjozondjupa Region.

By Edgar Brandt