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Blasting halted at Universal’s Kangala after ‘system failure event’

16th March 2015

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – South Africa-focused coal miner Universal Coal has halted blasting activities at its Kangala colliery, near Witbank, Mpumalanga, after a blasting incident left several employees with minor injuries.

The company said in a statement on Monday that it was disappointed in the “system failure event”, which resulted in the Department of Mineral Resources issuing a Section 54, or mine stoppage notice.

The miner said that it was confident that its corrective measures would be accepted by the government, and would allow for the lifting of the Section 54 notice.

Universal noted that while all operations outside of blasting and explosive use continued unabated, production for the month of March could be affected by the incident.

The Kangala colliery produced about 1.08-million tonnes of run-of-mine (RoM) production during the six months ended December, allowing group revenue for the interim period to rise to A$26.7-million.

Universal sold its first coal from the Kangala colliery in April last year.

RoM costs for the period under review reached A$22.61/t, which while slightly higher than anticipated, were expected to decrease going forward as the operations reached steady-state production.

The project was expected to achieve its 2.4-million-tonne-a-year nameplate capacity in the full year, which would end on June 30.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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