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of its “joint ventures” with the Zimbabwe Mining Development Corporation because it is not urgent and lacked merit.
Amari, the SA-based resource firm, and ZMDC are partners in two mining projects – Zimari Nickel and Zimari Platinum.
Amari sought an interim relief to stop ZMDC from amending, altering or changing the shareholding and share registers of the Zimari Platinum and Zimari Nickel, pending ruling by the International Court of Arbitration.
This was after ZMDC had cancelled the partnership agreements with Amari in November last year. They had argued that the agreements had lapsed and also that they were entered into without Government approval.
ZMDC has further argued that there were bona fide joint venture agreements in place between ZMDC and Amari. Only Memoranda of Understanding were signed, of which the nickel one had expired.
Before the High Court application, Amari had demanded an undertaking from ZMDC not to “disturb the presently existing legal relationship as established by the MoUs”.
If no such undertaking is given pending the negotiations between ZMDC and Amari and the outcome of the arbitration before the ICA, it would become necessary for an urgent interim interdict to be brought before the appropriate Zimbabwean court to preserve the Amari Group’s rights.
But ZMDC indicated on December 21 in a letter to Amari Holdings that no such undertaking would ever be given.
The ZMDC further alleged that the partnership deals were tainted with corruption since one of Amari Holdings directors had a “corrupt” relationship with its former chief executive, Mr Dominic Mubaiwa.
Justice J. Mutema ruled that Amari should have made the application soon after ZMDC had indicated its unwillingness to provide the undertaking they had demanded.
“It was only on January 18, 2011 that this urgent application was filed. No explanation has been proffered for the delay to act, at least, if one were to be benevolent to applicants, from December 21 2010,” said the judge.
“In the event, on totality of foregoing, the present application has failed to scale insurmountable hurdle besetting it for it to qualify for the urgency contemplated by rules.”
ZMDC was represented by Farai Mutamangira of Mutamangira and Associates.
ZMDC and Amari were developing a US$200 million platinum mine in Selous, about 70km southwest of Harare.
The Serui platinum project, with an estimated resource of 15 million ounces of 3PGE, was expected to be fully operational by 2014.
Amari had already invested substantial amounts into the Serui project.
The Serui Platinum Mine was to become Zimbabwe’s fourth platinum mine after Zimplats, Mimosa and Unki Platinum.