The final legal opinion regarding PurePlay® Instruments’ compliance with the Mineral and Petroleum Resources Development Act, 2002 ("MPRDA"); and Precious Metals Act, 2005 (the "PMA") and the Precious Metals Regulations issued under such Act (the "PMR") is in. Peter Leon at Webber Wentzel states that the PurePlay® Instrument “does not contravene any provision” of each of the MPRDA, the PMA or the PMR.

Advanced Draft Legal Opinion received from Peter Leon at Webber Wentzel was circulated dealing with the compliance of PurePlay® Instruments with the Mineral and Petroleum Resources Development Act, 2002, and the Precious Metals Act, 2005 and the Precious Metals Regulations issued under such Act. Technical teams will prepare comment but no legal problems are expected for the PurePlay® Project at this stage.

The PurePlay® Instrument is a unique and novel new design which requires that PurePlay Holdings (Pty) Ltd has to submit a Class Ruling request to the SA Revenue Services for clarity on its VAT treatment. We have prepared the application as well as a macro-economic evaluation of the country and social benefits flowing from the introduction of PurePlay® Instruments, said management. The application will be submitted before the end of March 2014, KPMG advised.

All comments, corrections and inputs have been submitted by technical team members to the First Draft IFRS Accounting Opinion on PurePlay Instruments. Next the KPMG Technical team will digest and coordinate all inputs whereafter a second Draft will be prepared. These processes are often seen as slow and overly conservative, the PurePlay team said, but we cannot compromise on quality during the validation process.

The First Draft of the IFRS International Accounting Opinion on PurePlay® Instruments was circulated by KPMG today. All technical team members will now vet the document and add comments and suggestions. The tax section is still open as it will be harmonized with the South African Tax opinion, said one of the technical team members. We can attend to all the accounting matters in the mean time, he added.

The management of PurePlay Holdings has been advised by KPMG that the technical teams have reached the stage where they are now preparing the International Accounting and SA Tax treatment opinions. It is expected that the opinions will be ready in the first half of March 2014.

PurePlay Holdings have been advised that the EU CTM trademarks have been accepted and are now lying for inspection and objection for a period of three months.