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Minergy coal to hit market next year

03 Dec 2018

 Stakeholders, among them investors and members of the media, were on November 27 taken on a guided tour of the Medie Minergy Coal, led by the managing director, Mr Martin Bartle.Minergy Coal, an open cast mine, is said to have started construction three months ago and is reportedly making significant progress with first production expected in February next year.

The mine, that has been licensed for 25 years, has employed around 120 people in the first three months of its operations out of an anticipated 400.

In an interview chief executive officer (CEO), Mr Andre Boje said the mine has the capacity to produce 1.2 million tonnes of salable coal per annum, and that the number was likely to double to 2.4 million in the next year depending on the stability of the agreed market price.

The CEO highlighted that Botswana has the opportunity to develop a coal industry that would allow annual supply of 20 million tonnes in the next four years. He noted that the country has over 200 billion tonnes of coal reserves which remain unused.

He cited the need to address existing impediments such as improving the mine line between Botswana and South Africa through completion of the Limpopo Bridge in South Africa, which is said to have been funded by the Chinese government.

Mr Boje stated that since coal was in high demand in most South African provinces, there was no market problem. The envisaged coal mine, he said, would have access to rail infrastructure near Tshele Hill as the loading bay.

He said as part of the mine’s social responsibility, it would give support to the Medie community, stating that they had already contributed by connecting electricity to local institutions such as the village kgotla and the school as well as ensuring regular grading of the road connecting Medie and Lentsweletau.

The coal mine, according to Mr Bartle, was challenged by power sources as the area was lagging behind in connectivity, but he said they had already constructed three power stations for the supply of power for mine operations.

Two companies of Jargon and Giant and John Dee Mineral Processing, he said, had been engaged to carry major undertakings at the mine such as mining and coal processing to create employment opportunities for over 120 people.

Mr Bartle said they would rely on two boreholes situated between 600 metres and six kilometres from the mining area. Minergy coal, fully owned by Masama project in the Mmamabula coalfield, will be the supplier of coal to industrial customers and power utilities across Southern Africa, he said.

Mr Kenalemang Tawana, the mining manager, stated that they currently have enough machinery for the mine and were likely to increase in number to meet the increasing future coal demand. ENDS

Source : BOPA

Author : Kebaeditse Baitlotli

Location : Medie

Event : Interview

Date : 03 Dec 2018