JOHANNESBURG (miningweekly.com) – JSE- and ASX-listed Resource Generation (Resgen) is continuing negotiations to finalise debt funding to fast-track the development of its Boikarabelo coal mine, in the Waterberg.
Over the three months to March, the company planned to focus on the development of power infrastructure and a 13 km section of pipeline, with some of the other activities to be deferred until debt funding was finalised.
Resgen noted that although its pursuit of $400-million debt funding was protracted, the continuation of negotiations indicated that all parties “seek to agree a structure that provides the funding” required to complete construction of site infrastructure and the rail link.
In a report for the three months to December 31, Resgen noted making progress on the construction of infrastructure at the mine, with EHL Energy having started erecting power poles for the 132 kV power transmission lines.
With earthworks completed, the construction of the substation and switch room, which was funded from a deferred payment facility, was on track for completion in October this year.
Meanwhile, earthworks for the rail network stabilisation facility were mostly completed, with the final drainage and retaining walls set for completion this month.
Resgen also completed the construction of the first three of seven rail link bridges under and over the rail line. The rail turnouts and associated signalling would be installed by mid-year.
Meanwhile, the permanent water supply infrastructure had been completed, including holding tanks and pumping facilities, while the earthworks for the 13 km section of the pipeline adjacent to a main road were concluded. The pipes had been delivered for installation during the March quarter.
The construction camp and services, offices, kitchen and dining facilities for 1 320 people and the accommodation units for 400 workers had been built.