SA steps in as deadline for Zimplats grab nears

- 02 March 2012

Peter Leon, a partner at Webber Wentzel, was quoted in an article in Business Day that reviewed the current discussions between the Department of International Relations and Co-operation and the Zimbabwean government over the bilateral investment agreement for Implats, the world’s second-largest platinum miner.

Implats, a South African company, was given notice last week that it had 14 days to transfer 51% of its Zimplats subsidiary to a government-nominated fund. The stake is worth R2,5bn.

Leon commented that while a tribunal might rule in a company’s favour against Zimbabwe, a significant challenge was “prising any financial award from the Zimbabwean government”.He also said that "Implats would have remedy under this agreement because, on the face of it, the developments look like expropriation. The problem is that there has been an award against Zimbabwe which has not been paid."

- Business Day