Photo by: Duane Daws
JOHANNESBURG (miningweekly.com) – Wescoal Mining’s proposed R42.5-million acquisition of Muhanga Mines's coal processing plant has become unconditional in all respects, the company said on Friday.
The deal would see Wescoal acquiring the Muhanga processing plant, which comprised Portion 6 of the farm Goedenhoop, access servitude, a coal washing plant, as well as certain assets and liabilities directly relating to the plant.
The acquisition would provide it with a fully-fledged beneficiation asset that was currently operational and had all the necessary regulatory approvals, as well as extensive infrastructure to allow for a multiproduct operation, while regulatory approvals were awaited for its Elandspruit colliery, in Mpumalanga.
“The development of the Elandspruit mineral asset to a fully-fledged multiproduct mine has been prioritised and the establishment of the colliery is currently programmed for the last quarter of the year.
“The current and expected regulatory approvals for the project do not allow for the commissioning of a washing plant at Elandspruit and revised applications are required to amend this, [a process that could take] up to three years,” it outlined.