Local collieries hit 'rich seam' in SA

Friday, September 27, 2019

Masama Mine is ramping up to 100,000 tonnes per month

The country's two coal producers have hit a rich seam in South Africa, where a supply shortfall has seen desperate industrial consumers such as cement, steel and brick makers lining up at the Botswana collieries.

Minergy’s Masama Mine, which went commercial in September, this week put the final touches on a P240 million, three-year deal with an SA producer for the supply of about a third of its 70,000 tonne per month production.

Minergy expects to pump up to 1.2 million tonnes per annum (mtpa) into South Africa from next year when it ramps up its production to 100,000 tonnes. Morupule Coal Mine (MCM), meanwhile, expects to be sending through one million tonnes per annum to SA from March 2021 when it completes the ongoing expansion of its mine near Palapye.

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Local collieries hit 'rich seam' in SA

The country's two coal producers have hit a rich seam in South Africa, where a supply shortfall has seen desperate industrial consumers such as cement, steel and brick makers lining up at the Botswana collieries.