Johannesburg (miningweekly.com) – Coal mining and marketing company Wescoal said on Thursday that it would be acquiring the assets, liabilities and employees of the Arnot coal mine in Mpumulanga from Exxaro, in partnership with Innovators Resources, the shareholders of which are previous Exxaro employees retrenched during the shutdown of the operation in 2015.
Wescoal interim CEO Dr Humphrey Mathe said in a release to Mining Weekly Online that the acquisition would quicken the re-start of mining at Arnot, following Section 11 ownership transfer approval from the Department of Mineral Resources.
The transaction secures employment and provides workers and communities around the mine, with equity participation as is specified in Mining Charter III.
Coal from Arnot will be delivered to Eskom's Arnot power station by conveyor belt, resulting in a cost competitive advantage with minimum carbon tax impact.
The supply and offtake of coal from the Arnot mine ended with its shutdown.