| Mon 2 Nov 2009, 8:54 | | MMH - Miranda - Burnside Mining Right Application Accepted by DMR |
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MMH
MMH
MMH - Miranda - Burnside Mining Right Application Accepted by DMR
MIRANDA MINERAL HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1998/001940/06)
Share code: MMH ISIN: ZAE000074019
("Miranda" or "the company" or "the group")
Burnside Mining Right Application Accepted by DMR
(on SAMREC resource of 35.5mt)
The Miranda board is pleased to announce that the application for a coal mining
right on Miranda Coal`s Burnside project has been accepted by the Department of
Minerals Resources ("DMR"). The application was made in terms of section 22 of
the Minerals and Petroleum Resources Development Act, 2002 ("the MPRDA") by
Miranda Coal`s 60%-owned subsidiary Street Spirit Trading 54 (Pty) Ltd ("Street
Spirit").
In terms of the MPRDA, Street Spirit will now:
* Submit a scoping report by mid-November 2009;
* Conduct an environmental impact assessment and submit an Environmental
Management Program for approval by April 2010; and
* Consult with the interested and affected parties by April 2010.
Situated in the Glencoe region of northern KZN, the project spans 4,540ha with
an indicated resource of 18.9mt and inferred resource of 16.6mt as detailed in
the SENS announcement of 15 April 2009.
Miranda Coal intends to drill a further 10 boreholes in 2010, which will suffice
to upgrade its resource status to measured in terms of the SAMREC Code. Coal
quality has been confirmed as lean and bituminous with coking properties.
A pre-feasibility study will be commissioned in 2010 to confirm management`s
internal assessment of the project`s financial viability. Mining at Burnside
Colliery is targeted to commence by mid-2011 with 25% of the resource expected
to be exploitable via open-cast mining techniques.
CEO Ron Nel commented, "Burnside is contiguous to Uithoek and is the third and
largest of Miranda Coal`s KZN projects to apply for a coal mining right. At
Sesikhona, we are expecting to make an announcement on our chosen mining
contractor and off-take agreement before year end and at Uithoek, we are
expecting the mining right to be granted by early 2010. We then plan to place
the colliery into production in the second half of 2010".
"Management has spent much of 2009 laying foundations for a strategy of building
`one mine a year`. If all goes according to our schedule, Sesikhona will come
into production first, then Uithoek in 2010 and Burnside in 2011", concluded
Nel.
Centurion
2 November 2009
Sponsor
PricewaterhouseCoopers Corporate Finance (Pty) Ltd
Corporate adviser
Touchstone Capital (Pty) Ltd
Date: 02/11/2009 08:54:01 Produced by the JSE SENS Department.
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