ASSET AUGMENTATION African Exploration Mining and Finance Corporation is developing its underground torbanite and thermal coal T-project, north-west of Kinross, in Mpumalanga
Photo by: Duane Daws
Leveraging the ongoing success of its existing Vlakfontein colliery, near Ogies, in Mpumalanga, State-owned mining company African Exploration Mining & Finance Corporation (AEMFC) plans to expand its project portfolio, AEMFC corporate strategy and planning GM Sicelo Sikakane informed Mining Weekly during a visit to Vlakfontein last month.
“We have secured several prospecting and mining rights,” he said.
Sikakane pointed out that the company was developing its underground torbanite (Seam 5) and thermal coal (Seam 4) T-project, north-west of Kinross, in Mpumalanga.
The T-project will cost aR2.5-billion to R3-billion to develop and is expected to process about 3.5-million tons a year of Seam 4 thermal coal, which is suitable for use at State-owned power utility Eskom’s fleet of coal-fired power stations.
AEMFC’s other development asset is the Klippoortjie project, in the Emalahleni local municipality, about 20 km from Vlakfontein mine.
Klippoortjie is estimated to cost about R350-million to develop and entails the mining of coal using the boxcut, opencast mining method, after which excavators and haul trucks will transport the ore to the processing plant.
“We aim to have both projects on stream by the third or fourth quarter of 2017. However, the exact timeframe depends entirely on how quickly we can raise the required capital,” stated Sikakane.
Additionally, the company is targeting the acquisitions of several unnamed operating assets that are imminently available in the market mainly from the private sector, with support of its shareholder.
“Some of these have been in the media [and will] soon be made available. This includes any other assets that will soon be available in future which is to be part of the growth beyond our exploration programme that we seek for AEMFC,” Sikakane confirmed.
Further, he pointed out that the company was also interested in other commodities, such as iron-ore, limestone and manganese.
“We are drilling several potential iron-ore sites in Piet Retief, in Mpumalanga, and in the North West province.
Moreover, our long-term aim is to promote upstream and downstream local mineral beneficiation.”