Coal news and updates

JSE-listed Miranda Mineral Holdings on Monday announced that it had, in conjunction with black women-owned Mochiba, acquired 100% of the issued share capital of Sentula Mining subsidiary Benicon Coal.

 

Following the acquisition, Miranda and Mochiba each held 50% of Benicon.

 

Miranda had bought Benicon for a nominal R1 000; however, another R150-million was still to be paid to Sentula in terms of loan facility agreements between Sentula and Nkomati Anthracite, which operated a mine in eastern Mpumalanga, in which Benicon Coal held 60%.

 

To procure a portion of the initial loan repayment, of R100-million, Miranda would undertake capital raising in due course.

 

The Nkomati mine, which had been placed on care and maintenance in 2011, was in the process of being brought back into production after receiving an integrated water-use licence and the approval for an amended environmental management programme in November.

 

The openpit mine had since been dewatered and the infrastructure refurbished.

 

“Miranda has been reviewing the operations of Nkomati over a period of several months, [has undertaken] the necessary due diligence, identified preferred mining contractors and a plant operator, and is well advanced in the conclusion of an offtake agreement with respect to the entire expected production of the mine,” the company said in a statement.

 

Source: http://www.miningweekly.com/