Kangala Colliery

The greater project consists of two properties — Wolvenfontein (location of Kangala) and Middelbult located near several coal-fired power stations and benefits from excellent road, rail and power infrastructure. VIEW MAP

Location

Witbank Coalfield, Mpumalanga province

Coal resource (JORC compliant) 98.69Mt Resource (gross tonnes in-situ) inclusive of 28.3Mt Reserve
Ownership 70.5%
Operation Open pit, truck and shovel
Number of employees 62
Sales 2Mtpa off-take agreement with Eskom, until 2023, export sales at spot market pricing
Current LoM 1 year with the potential to exceed 20 years when including the Eloff Project and Middelbult extensions

An eight-year Coal Supply Agreement with the major South African power utility Eskom is valid until 2023.

The operation is being run on an outsource model managed by an Universal Coal on-mine management team, with Stefanutti Stocks Mining Services supplying both the mining fleet and skill set to run Wolvenfontein pit, operating a fleet of 100t trucks, 85t and 120t excavators and supporting equipment. The dual circuit processing facility, a 350tph crushing and screening circuit plus the 320tph DMS washing plant is owned by Universal with the operation thereof outsourced to Mineral Resource Development (Pty) Ltd.