A women-led black economic empowerment (BEE) vehicle and Sasol Mining in October announced a transaction, which should see thousands of rural and periurban women participating in a major BEE transaction for the first time.

The deal, valued at almost R1,9-billion, will see Wiphold, through a new entity called WIPCoal Investments,, becoming the BEE partner to Sasol Mining.

WIPCoal Investments will be a 51% shareholder in a newly created black-women controlled coal mining company called Ixia Coal  Ixia Coal will hold 20% in Sasol Mining.

The shareholders of WIPCoal Investments include Wiphold and a new entrant created by Wiphold called Mining Women Investments. Mining Women Investments is comprised of thousands of rural and periurban black women who have not previously participated in BEE transactions. The women are drawn from the provinces of the Free State, Mpumalanga and Limpopo, where Sasol Mining has operations and coal reserves.

Wiphold CEO Louisa Mojela explained that Mining Women Investments was formed following a series of workshops with women in the three provinces. The workshops were held in Odendalsrus (incorporating the neighbouring towns of Koppies, Viljoenskroen, Welkom, Virginia, Kroonstad and others), Sasolburg, Secunda, Nelspruit, Witbank, Ermelo, Nylstroom and Mankweng. During the sessions it was agreed that women from those communities would participate in a future BEE transaction.

Mojela said that it was wonderful that it was able to live up to that promise and welcome these women into this partnership with Sasol Mining.

It has always been part of Wipholds ethos to make women our business by finding ways to bring disadvantaged women into the economic mainstream, she added, noting that the company had been created 13 years ago by the four women, who travelled the country holding workshops to mobilise and galvanise women into an investment vehicle.

Many of the women from those workshops 13 years ago remain our shareholders today and their investment has grown exponentially over the years.

The holding company currently has interests in a range of sectors, and has 1200 direct women beneficiaries and over 200 000 indirect beneficiaries through nongovernmental organisation, which form part of the Wiphold NGO Trust.

As part of the Sasol Mining transaction, the company will be contributing R30-million, part of which is earmarked to facilitate the new women entrants. These are women who on their own would not have the financial resources to participate in the transaction, said Mojela.

She adds that Wiphold is delighted to be entering the mining sector and to be partnering Sasol Mining. We have a strong operational focus in financial services and strategic investments in a range of other sectors. It has always been part of our strategy to be in mining and today sees the fulfilment of that objective, she said.

We are also delighted to be partnering Sasol Mining. Their commitment to the establishment and development of a mining venture that will be majority owned and operated by black women deserves praise. This is easier said than done but Sasol Mining has shown us that they are serious about going down this road. Together we will work to develop the skills and capacity needed for women to be operationally successful in the world of mining.

We are confident that given Sasol Minings solid fundamentals and growth prospects, WIPCoal is established on firm ground. We look forward to this very exciting new venture, Mojela concluded.

Caption
WOMEN IN MINING
Deal Structure facilitates introduction of women shareholders