Nickel Company In Colombia Acquired By South African Corporation

The Government shares in Cerromatoso S.A., a company dedicated to the nickel exploitation were sold in past days. Gencor International Nickel Limited, a South African corporation, acquired 46.58% represented by $178.492 million pesos, obtaining 98.09% of the total shares of Cerromatoso S.A.

Gencor was the owner of 46.88% of the shares in said corporation, before the sale program initiated by the State, and now it has almost the total amount of its share participation. The remaining percentage which was also offered in sale, was acquired by the workers of the mine, obtaining 1.11% of the shares in such corporation. Cerromotoso S.A. produces 65 million pounds of nickel, being sold the major part to foreign countries.

The next mining exploitation corporation that would be privatized is Carbocol S.A. , a company dedicated to the exploitation of coal.

Prepared by Juliana Gomez P. from Gomez Pinzon & Asociados.

These notes are intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

GOMEZ PINZON & ASOCIADOS
Carrera 9 No. 73-24 Pisos 1,2,3 y 5
Santafe de Bogota, Colombia

Telephone : 571- 3107055/ 5066
Facsimile : 571- 3106646/6657
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