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Universal Coal to acquire new colliery

World Coal,

Universal Coal has entered into a binding sale of assets agreement with Exxaro Resources, the South African mining giant, to acquire all the assets of the New Clydesdale Colliery (NCC). The colliery is located adjacent to Universal Coal’s Roodekop deposit in the Witbank coalfield.


Universal Coal CEO, Tony Weber, commented: “The acquisition of NCC marks a major step forward to becoming a leading mid-tier coal producer, expediting development of our second operation immediately on the heels of commissioning our first operation, Kangala mine near Johannesburg.

“Our Roodekop deposit contains an 84 million t coal resource, 82.9 million t of which is measured, and is awaiting only the granting of a water use licence before development activities can commence. In combination with NCC’s established operation and infrastructure, the path forward to bringing our next mine on stream has certainly been fast tracked.”

New Clydesdale Colliery

NCC is one of the oldest coal mines in South Africa, and is located approximately 34 km south of Emalahleni, in the Mpumalanga Province. Historically, the mine has produced approximately 717 000 tpa of thermal coal from both underground and open pit operation, primarily for the export markets through the Richard’s Bay Coal Terminal. The mine has an extensive resource base, and coal beneficiation facility with a ROM throughput capacity of approximately 2 million tpa.

Road and rail infrastructure

NCC is fully equipped with machinery and infrastructure able to operate three underground mining sections. The mine is located near to both established road and rail infrastructure, with a private railway connection with Transnet Freight Rail, allowing for direct export of its coal.

Adapted from press release by Katie Woodward

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