Kumba Iron Ore Faleme Statement
23 February, 2007
Arcelor Mittal has issued a press release today indicating that it has signed agreements for the development of iron ore deposits at Faleme in Senegal.
Kumba exercised its option to acquire a controlling interest in the Faleme project some time ago. In 2005 the Senegalese government put this interest in dispute. Since then, and as recently as a fortnight ago, Kumba has been involved in negotiations with the Government of Senegal to find an amicable solution.
Kumba has accordingly requested the Government of Senegal for urgent clarification. If in fact Kumba has been denied its rightful participation in the Faleme project, the company will take all legal actions necessary to preserve its contractual rights including international arbitration.
Issued by Kumba Iron Ore
Ras Myburgh, CEO
012 683 7000