African Rainbow Minerals (ARM) secured a legal win in a $195 million case against Pula Group, but the company now faces a separate legal challenge from Assore South Africa concerning control of their shared mining ventures. The Tanzanian High Court rejected Pula’s claims on 9 October, closing a prolonged conflict over a confidentiality agreement linked to a graphite initiative.
The original dispute arose in October 2019, when ARM and Pula signed a confidentiality and non-compete pact during ARM’s evaluation of an investment in Pula’s Ruangwa graphite project in southern Tanzania. Pula accused ARM, its founder Patrice Motsepe, and African Rainbow Capital of breaching the agreement by disclosing confidential information to benefit Evolution Energy Minerals’ competing Chilalo graphite project. ARM countered that the agreement only bound its own operations and denied any wrongdoing.
The case had been removed from the Tanzanian court’s docket in August 2026 due to procedural errors by Pula, which then launched an appeal. ARM’s legal representatives at Bowmans successfully defended the company in both the Gauteng High Court, where a ruling in April 2026 cleared African Rainbow Capital of liability, and the Tanzanian court. In a public statement, ARM described the outcome as a victory while reserving the right to take further action if necessary.
While resolving the Pula dispute, ARM is now addressing a new legal battle with Assore South Africa, a subsidiary of the global Assore Group. The conflict centers on Assmang Proprietary Ltd, their jointly owned mining operation. Assmang manages key iron ore and manganese mines in South Africa’s Northern Cape, including the Nchwaning and Gloria manganese mines, as well as the Khumani iron ore mine.
The disagreement revolves around ARM’s authority to appoint senior executives at Assmang and its access to operational records. ARM maintains it is operating within its contractual rights and rejects Assore’s allegations as unfounded. ARM intends to defend the proceedings and bring its own counterclaims against Assore. Notwithstanding the matters in dispute, ARM will continue to manage Assmang in accordance with its contractual rights and obligations.
In unrelated legal developments, the ICC International Court of Arbitration recently determined that Nigeria does not owe $680 million in a dispute over the Mambilla hydropower plant construction, closing another legal case in Africa’s energy sector. For ARM, however, the immediate priority remains defending its position in the Assore dispute while ensuring stability in its core mining activities.