| Fri 6 Aug 2010, 15:31 | | CZA - Coal of Africa Limited - Interaction with Department of Environmental |
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CZA
CZA
CZA - Coal of Africa Limited - Interaction with Department of Environmental
Affairs
Coal of Africa Limited
(previously, "GVM Metals Limited")
(Incorporated and registered in Australia)
(Registration number ABN 008 905 388)
JSE Share code: CZA
ASX Share code: CZA
ISIN AU000000CZA6
("CoAL" or the "Company")
INTERACTION WITH DEPARTMENT OF ENVIRONMENTAL AFFAIRS
Further to the Company announcement of 2 August 2010, in response to comments
made by the South African Minister of Water and Environmental Affairs on the
Company`s Vele Colliery, Coal of Africa Limited ("CoAL" or "the Company")
advises that the management of CoAL have now met with various senior
representatives of the Department of Environmental Affairs ("DEA"). Following
this meeting, which took place on Monday 2 August, the DEA has provided formal
notification to CoAL of the various activities which the DEA believes are being
undertaken without the appropriate authority.
The Company and the DEA have agreed to meet again on Tuesday, 10 August 2010, to
discuss in detail each of the concerns identified by the DEA. The Company is
confident that each matter can be adequately resolved to the satisfaction of
both parties and will advise the market as appropriate in due course.
Authorised by:
JOHN WALLINGTON
Chief Executive Officer
6 August 2010
JSE Sponsor
Macquarie First South Advisers
CoAL
Simon Farrell Tel: +61 (0) 417 985 383
Blair Sergeant Tel: +27 (0) 11 459 2840
Evolution Securities Tel: +44 (0) 20 7071 4300
Simon Edwards
Chris Sim
Conduit PR Tel: +44 (0) 20 7429 6603
Jos Simson
Leesa Peters
Macquarie First South Advisers Tel: +27 (0) 11 583 2000
Melanie de Nysschen
Annerie Britz
About CoAL
CoAL is an AIM/ASX/JSE listed coal mining and development company operating in
South Africa. CoAL`s key projects include the Woestalleen Colliery, the
Mooiplaats thermal coal mine, the Vele coking coal project and the Makhado
coking coal project.
The Mooiplaats coal mine commenced production in 2008 and is currently ramping
up to produce 2 million tonnes per annum ("Mtpa"). CoAL`s Vele and Makhado
coking coal projects are expected to start production in Q3 2010 and 2012
respectively, collectively producing an initial 2 Mtpa rising to a combined
annual output of 10 Mtpa of coking coal.
In 2010, CoAL completed the ZAR467m acquisition of NuCoal Mining (Pty) Limited
("NuCoal"), a thermal coal producer with assets in South Africa in close
proximity to CoAL`s Mooiplaats mine. NuCoal owns the Woestalleen Colliery, which
has a number of off-take contracts in place and processes approximately 2.5Mtpa
of saleable coal for domestic and export markets. NuCoal also owns two
beneficiation plants, one fully operational mine producing approximately 300kt
per month of ROM coal and has recently commenced production at a second mine.
CoAL currently has 1 Mtpa export capacity at the Matola Terminal in Maputo,
Mozambique, increasing to 3 Mtpa on completion of the next phase of expansion at
the terminal. CoAL also has the option to participate in further expansion at
the Matola Terminal, which is expected to increase the capacity at the terminal
by an additional 10 Mtpa.
Date: 06/08/2010 15:31:01 Produced by the JSE SENS Department.
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