Ivanhoe Mines challenges media report alleging coercive tactics in S Africa – by Henry Lazenby (MiningWeekly.com – January 12, 2015)

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TORONTO (miningweekly.com) – South Africa-focused project development Ivanhoe Mines on Monday lashed out at journalists at one of Canada’s premier national newspapers for publishing a story on Friday alleging the company used illegal coercive tactics to obtain the necessary permits for its Platreef polymetallic mine, near Mokopane, on the northern limb of the country’s mineral-rich Bushveld Complex.

Senior management of TSX-listed Ivanhoe and its subsidiary, Ivanplats, published an open letter challenging The Globe and Mail’s editor of the Report on Business Paul Waldie and Africa correspondent Geoffrey York, charging the cover story was “blighted by false allegations and misrepresentations, and gratuitous exaggerations”.

Among the examples cited in the article, two men, including an official from Ivanhoe, told an 82-year-old villager to give up her land or stand to lose her monthly pension of about $450/m. In the open letter, the companies point out that they were never given an opportunity by The Globe to comment on this specific allegation before it was published.

The letter also stated: “For the record, the company now does challenge and deny the allegation presented by The Globe concerning use of what would be an unacceptable negotiating tactic. It already is a matter of record that well known Platreef critics previously have made similar allegations of pressure tactics as a ploy against other business entities, which also have been unfounded.”

The story also alleged that Ivanhoe used “hardball” tactics against the South African government when it announced that it wanted to initiate consultations on staffing with the labour unions, which would have included a review of alternatives to layoffs in order to conserve cash resources, while waiting on South Africa’s Department of Mineral Resources (DMR) to execute its mining permit.

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