PwC called in as Ebola-hit London Mining collapses
PwC joint administrators appointed as London Mining collapses into administration
PWC has been called into London Mining, the steel mining company operating in Ebola-hit Sierra Leone, after it collapsed into administration.
Russell Downs and Peter Dickens of PwC have been appointed as joint administrators of London Mining after the company, which employs around 1,400 people in the west African state, collapsed after failing to find a buyer for its business and plug a funding gap.
The business said it filed for administration following “severe liquidity issues caused” by a combination of high costs, falling iron ore prices and the impact of Ebola virus in Sierra Leone.
PwC administrators have been appointed to run the company and try and find a bidder for its Marampa Mine. Advanced discussions have recently been held with several potential bidders and there are hopes a sale of can n be concluded quickly, with operations continuing and the workforce protected, the company said.
“Our focus is to ensure that a buyer is found for the Marampa Mine operations given it is such an important part of the Sierra Leone economy. We are liaising with key stakeholders and asking for a short window of forbearance as we look to conclude a transaction,” said Russell Downs.