Renergen announces interim loss and resolves dispute with Springbok Solar

RENERGEN on Monday warned of a bigger interim loss and announced it has ended a legal dispute with Springbok Solar Power Plant (RF) as the parties have agreed to “mutually beneficial operations in the Free State.”

- EDWARD WEST

Renergen’s share price slipped 1.55% to R14.27 on the JSE in the morning, but the price remains substantially higher than only R3.63 in March this year, before the onshore helium and liquid natural gas producer reached an agreement to merge with Nasdaq and JSE-listed ASP Isotopes, which will ultimately lead to Renergen’s delisting from the JSE.

Following a period of protracted legal proceedings and regulatory review, Renergen and RF said jointly that they have agreed to settlement terms that ensure the protection of Renergen’s subsidiary, Tetra4’s rights to natural gas extraction, and the continued operation of the Springbok Solar Project, in accordance with South African law and the Mineral and Petroleum Resources Development Act (MPRDA).

The agreement follows a recent setting aside of the Section 53 approval relied upon by Springbok Solar for land use by the Director-General of the MPRDA, due to procedural defects.