Last checked at 13 Jan 2016 10:00
ANNOUNCEMENT 13 JANUARY 2016
VELE COLLIERY'S APPLICATIONS TO RENEW AND AMEND THE INTEGRATED WATER USE LICENCE GRANTED
Coal of Africa Limited ("CoAL" or the" Company") is pleased to advise that the Integrated Water Use Licence (IWUL) for its Vele Colliery in the Limpopo Province has been renewed for a further twenty years. In March 2011, Vele's original IWUL was granted for a period of five years.
Furthermore, the IWUL has been amended in line with the requirements for the Plant Modification Project (PMP) at the Colliery. During H2 2015, the Company commenced a process to obtain approval relating to a non-perennial stream diversion. This decision is anticipated in H2 2016. Once this regulatory approval in respect of the Colliery has been received, the final decision to proceed with the PMP will be placed before the board, which will include an assessment of forecast global coal prices.
Commenting on the announcement David Brown, CEO of Coal of Africa said, "We welcome this decision by the Department of Water and Sanitation (DWS) as a confirmation of the progress made in the implementation of the co-existence model implemented at Vele Colliery, which seeks co-operation between mining, agriculture and heritage land uses. We continue to assess opportunities to bring the Vele Mine back into production".
AUTHORISED BY:
David Brown
For more information contact:
David Brown | Chief Executive Officer | Coal of Africa | +27 10 003 8000 |
De Wet Schutte | Chief Financial Officer | Coal of Africa | +27 10 003 8000 |
Celeste Riekert | Investor Relations | Coal of Africa | +27 10 003 8000 |
Tony Bevan | Company Secretary | Endeavour Corporate Services | +61 08 9316 9100 |
Company advisors:
Jos Simson/Emily Fenton | Financial PR (United Kingdom) | Tavistock | +44 20 7920 3150 |
Matthew Armitt/Ross Allister | Nominated Adviser and Broker | Peel Hunt LLP
| +44 20 7418 8900 |
Charmane Russell/Olwen Auret | Financial PR (South Africa) | Russell & Associates | +27 11 880 3924 or +27 82 372 5816 |
Investec Bank Limited is the nominated JSE Sponsor
About CoAL:
CoAL is an AIM/ASX/JSE listed coal exploration, development and mining company operating in South Africa. CoAL's key projects include the Vele Colliery (coking and thermal coal), the Greater Soutpansberg Project /MbeuYashu, including CoAL's Makhado Project (coking and thermal coal).