JOHANNESBURG (miningweekly.com) – JSE-listed Waterberg Coal Company (WCC) on Thursday reported that its optimisation and ongoing value engineering on its Eskom project, which would see it supply ten-million tons a year of coal to the State-owned power producer, remained on hold.
The company added that it would continue to focus on its export project until further direction was received from Eskom in terms of advancing the status of negotiations with respect to the coal supply agreement.
“Work has continued on a definitive feasibility study (DFS) for the export project, to be located in the south of the Waterberg Coal project (WCP) area,” WCC said, adding that it anticipated the build-up to four-million tons a year over a six-year period. First coal product was expected in the fourth quarter of 2016.
Accruing from the preliminary results of the DFS, the WCP partners remained in discussions with certain banks to fund the proposed development.
Meanwhile, in the three months to March 31, WCC had also continued to compile and validate exploration data relating to its two tenements in South Australia, which were highly prospective for gold and copper/gold mineralisation.
It was assessing the prospectivity of targets within the licence holdings and had designed work programmes to test these targets.