SETTLEMENT OF DISPUTE WITH MINING CONTRACTORPLA is pleased to...

SETTLEMENT OF DISPUTE WITH MINING CONTRACTOR
PLA is pleased to announce that a settlement has been agreed between PhokaThaba Platinum {Pty} Ltd (“PTP”), a South African subsidiary of PLA, and Redpath Mining (South Africa) {Pty} Ltd (“Redpath”) to resolve a dispute between PTP and Redpath relating to an Underground Mining Contract at the Smokey Hills Mine, which was terminated on 11 October 2010.
Both PLA and Redpath consider the outcome to be sensible in the circumstances. In terms of the settlement, an amount of ZAR88 million will be paid to Redpath from a ZAR106 million bank guarantee that was initially provided as security for Redpath’s claim. The settlement constitutes the full and final settlement of all disputes between PTP and Redpath.
The dispute with Redpath was a major impediment in the initial phase of the Administration and the resolution of this matter is a positive outcome.
FINANCIAL REPORTING RELIEF
PLA has sought to rely on the Australian Securities and Investment Commission (“ASIC”) Class Order 03/392 which enables the Company to obtain relief for a period of up to six months from the Company’s obligations to prepare, lodge and have audited the annual financial report and directors’ report for the financial year ended 30 June 2012.
The Administrator is also in the process of formally applying to the ASIC for either an exemption or to obtain relief from the Company’s requirement to hold the 2012 Annual General Meeting, for a period of up to nine months. I will update shareholders via a company announcement once I receive notification of the outcome of this application.
In accordance with Class Order 03/392, members are welcome to address any reasonable inquiries about the consequences of the administration prior to the lodgement of the Company’s annual financial report to Mr Michael Flower of Pitcher Partners on (08) 9429 5926. I suggest members refer to the Administrator’s updates made via ASX announcements in the first instance, prior contacting the Administrator’s office. Please also initially refer to the following link to the ASIC website which provides general information for shareholders regarding the voluntary administration process.