• Sibanye-Stillwater signed an agreement to pay Appian Capital Advisory $215 million to settle a long-running legal dispute.

• The dispute originated from Sibanye's $1.2 billion broken agreement in 2022 to acquire copper and nickel assets from Appian.

• The settlement occurs just hours before a judicial hearing that would determine the final indemnity amount owed by Sibanye.

The South African mining group Sibanye-Stillwater announced on Monday, November 10, the signing of an amicable agreement. Sibanye will pay $215 million to Appian Capital Advisory. This resolution closes a dispute concerning the $1.2 billion deal rupture in 2022.

This announcement precedes a judicial hearing scheduled to determine the financial indemnity amount Appian would receive. Appian sued and successfully condemned the South African group last October in a British court.

A few months ago, Appian stated the London High Court deemed Sibanye-Stillwater "violated its contract by unlawfully cancelling the acquisition of Atlantic Nickel and Mineração Vale Verde." Sibanye initially signed an agreement in October 2021 to acquire two Brazilian copper and nickel mines from Appian. However, Sibanye retracted the deal in January 2022, citing a geotechnical event at one of the sites.

Sibanye-Stillwater executives previously estimated the potential indemnity following the judicial decision at $522 million. Richard Stewart, Sibanye-Stillwater's CEO for the past few weeks, explained the group's position: "The board and group management believe settling this long-running dispute is in the best interests of the Group and all its stakeholders. We are pleased with the commercial settlement, which avoids further legal proceedings and the associated costs."

The aborted acquisition of Appian's assets initially fit within Sibanye's diversification strategy toward critical minerals. The company, primarily recognized as a gold and Platinum Group Metals (PGM) producer, developed its portfolio in energy transition metals, particularly lithium, in recent years. With the conclusion of the Appian dispute, analysts will observe what other projects the group will now target.

This article was initially published in French by Emiliano Tossou

Adapted in English by Ange Jason Quenum