34 RELATED PARTIES
 

Transactions with related parties are concluded at arm’s length and under similar terms and conditions to third parties.

The following entities were identified as related parties to the group:

African Mining and Trust Company Limited (AMT) Subsidiary company
Assmang Proprietary Limited (Assmang) Joint-venture entity
Assore Employee Trust (AET) Controlled empowerment entity
Boleng Trust (Boleng) Controlled empowerment entity
Cato Ridge Alloys Proprietary Limited (Cato Ridge JV) Joint-venture of Assmang
Ceramox Proprietary Limited (deregistered 28 June 2019) Subsidiary company
Dakot Wear Ceramics Proprietary Limited (Dakot) (2018 shareholding: 40%, disposed of 29 April 2018) Associate
Dwarsrivier Chrome Mine Proprietary Limited (Dwarsrivier) Subsidiary company
Erf 1263 Parkview Extension 1 Proprietary Limited (Parkview) Subsidiary company
Erven 27 and 28 Illovo Proprietary Limited (Erven 27 & 28) Subsidiary company
Erven 40 and 41 Illovo Proprietary Limited (Erven 40 & 41) Subsidiary company
Fricker Road Trust (Fricker) Controlled empowerment entity
General Nominees Proprietary Limited (General Nominees) Subsidiary company
Group Line Projects Proprietary Limited (Groupline) Subsidiary company
IronRidge Resources Limited (IronRidge) (shareholding: 31,12% (2018: 28,91%)) Foreign associate
Krantzberg Mines Limited (Krantzberg) Subsidiary company
Main Street 350 Proprietary Limited (Main Street 350) Controlled empowerment entity
Main Street 460 Proprietary Limited (Main Street 460) Controlled empowerment entity
Main Street 904 Proprietary Limited (Main Street 904) Controlled empowerment entity
Minerais Holdings Proprietary Limited (Minerais Holdings) Subsidiary company
Minerais U.S. LLC (Minerais U.S.) Foreign subsidiary company
Ore & Metal Company Limited (Ore & Metal) Subsidiary company
Oresteel Investments Proprietary Limited (Oresteel) Ultimate holding company
Rustenburg Minerals Development Company Proprietary Limited (Rustenburg Minerals) (shareholding: 56% (2018: 56%)) Subsidiary company
Sakura Ferroalloys SDN BHD (Sakura) Joint-venture of Assmang
Sumitomo Corporation (Sumitomo) Investor in ultimate holding company
Wonderstone Limited (Wonderstone) Subsidiary company
Wonderstone 1937 Limited (deregistered 28 June 2019) Subsidiary company
Xertech Proprietary Limited (Xertech) Subsidiary company
Zeerust Chrome Mines Limited (Zeerust) (disposed of 15 November 2018) Subsidiary company

 
34.1  Details of significant transactions with related parties                            
               2019 
R’000 		          2018  
R’000  		   
   AMT  Commissions received from Assmang        558 183           418 368*    
      Technical fees received from Assmang        21 264           14 722*    
      Technical fees received from Sakura        10 681           10 361#    
   Assmang  Commissions paid to Minerais U.S. (through Ore & Metal)         31 856             22 401     
   Ore & Metal  Commissions received from Assmang        564 422           425 448*    
      Commissions received from Cato Ridge JV        38 083           32 053*    
      Commissions received from Sakura        34 372           33 515*    
      Interest income on loan to Sakura        7 447           —     
      Management fee received from Sakura        3 497           —     
   Sakura  Commissions paid to Minerais U.S.        15 579           8 229#    
   Sumitomo  Commissions paid by Ore & Metal        296 757           204 412     
   Key management personnel                            
   — directors of the holding company  Directors’ fees for services to Assore          3 025             118 361^    
      Directors’ fees from other group companies        108           108#    
      Other remuneration*        68 049           60 333^    
   — other members of key management of the holding company  Directors’ fees from other companies          72             72#    
   — members of key management personnel of subsidiary companies    Remuneration, including directors’ fees          114 698             118 361^    
      Post-employment benefits        12 752           12 914     
34.2  Amounts payable to/receivable balances from related parties                           
   AMT  Amount receivable from Assmang        7 266           7 170#    
      Amount receivable from Sakura        748           1 361#    
   Assmang  Amount payable to Ore & Metal        2 310           506#    
   Cato Ridge JV  Amount payable to Ore & Metal        21 859           18 668#    
   Minerais U.S.  Amount payable to Assmang, including Cato Ridge JV (through Ore & Metal)         153 790             115 959#    
   Ore & Metal  Amounts payable to Assmang        791 964           549 082*    
      Amount payable to/(receivable from) Cato Ridge JV        47 458           (30 027)*   
      Amount receivable from Sakura        6 341           18 077*    
      Loan to Sakura including accrued interest        98 510           —     
   Sakura  Amount receivable from Minerais U.S.        140 607           177 605#    
   Sumitomo  Amounts receivable from Assmang (through Ore & Metal)         58 641             18 576     
  * These balances were disaggregated from the prior year to separately disclose commissions on sales and technical fees received from Assmang as well as totals and balances from/to Assmang, Sakura and Cato Ridge JV.
  # Related-party transactions or balances have been disclosed as additional information in the current financial year, for which comparatives were included accordingly.
  ^ Remuneration (including executive directors) to subsidiary companies was disaggregated in the current year to disclose directors’ fees for services to Assore, other remuneration and remuneration, including directors’ fees, separately, with comparative amounts being restated accordingly.

 

34.3.1 Subsidiary with a material non-controlling interest                         
  

Minerais U.S. LLC (Minerais) a limited liability company registered in the state of New Jersey in the United States and Canada. Minerais is responsible for the marketing and sales administration of the group's products in these countries. The group holds a 51% (2018: 51%) interest in Minerais.

 		   
            2019 
R’000 		          2018 
R’000 		   
   Abridged income statement of Minerais U.S. LLC                         
   Turnover          2 549 423             2 400 838    
   Total comprehensive profit (group interest therein 51% (2018: 51%))       29 945           62 120    
   Abridged statement of financial position of Minerais U.S. LLC                         
   Non-current assets        2 240           2 220    
   Current assets                         
   Inventories        1 422 152           738 902    
    Trade and other receivables        429 345           508 698    
    Cash resources        17 606           11 990    
   Total assets        1 871 343           1 261 810    
   Current liabilities                         
    Trade and other payables        183 340           485 875    
    Ore and Metal Agency balance        153 790           115 988    
    Overdrafts        1 391 564           584 472    
   Total liabilities        1 728 694           1 186 335    
   Net assets        142 649           75 474    
   Proportion of the group’s ownership (%)       51,0           51,0    
   Accumulated non-controlling interest (at 49%)       69 898           40 337    
34.3.2 Subsidiary with a material non-controlling interest                         
   Rustenburg Minerals Development Company Proprietary Limited (Rustenburg Minerals), the principal business of which is the mining of chrome ores in the vicinity of Rustenburg, is a subsidiary of AMT. The group holds a 56% (2018: 56%) interest in Rustenburg Minerals.                         
   Abridged income statement of Rustenburg Minerals                         
   Turnover        —           —    
   Total comprehensive profit (group interest therein 56% (2018: 56%))       (3 913)          (9 116)   
   Abridged statement of financial position of Rustenburg Minerals                         
   Current assets                         
   Inventories        —           545    
    Trade and other receivables        287           259    
    Cash resources        1           273    
   Total assets        288           1 077    
   Long-term provisions        —           9 950    
   Share-payment liability        —           2 907    
   Loans from group companies        190 429           181 456    
   Current liabilities                         
    Short-term provisions        —           250    
    Trade and other payables        651           4 293    
   Total liabilities        191 080           198 856    
   Net liabilities        (190 792)          (197 779)   
   Proportion of the group’s ownership (%)       56,0           56,0    
   Accumulated non-controlling interest (at 44%)       (83 948)          (87 023)