Universal completes third colliery purchase
South Africa-focused Universal Coal has completed the A$8.9-million acquisition of the North Block Complex from South Africa’s Exxaro Coal.
The North Block Complex is an opencast operation adjacent to Eskom’s Arnot, Tutuka and Komati power stations. It has historically achieved average run-of-mine (RoM) production of about 3.5-million tons a year over the past four years, with sales of about 2.7-million tons a year.
The operation will be converted into a multiproduct operation with the inclusion of the adjacent Paardeplaats project, pending regulatory approvals.
Universal CEO Tony Weber said last week that the early completion of the acquisition would enable the company to benefit from additional operating months in the current reporting period, and enable Universal to apply its business and operating model to the North Block Complex and restore production levels to those historically achieved.
“Given that we have completed this transaction well ahead of schedule, Universal is on track to deliver and exceed the estimated forecast earnings before interest, taxes, depreciation and amortisation of A$93.1-million,” said Weber.
“We are exceptionally well placed to deliver on production and sales volume commitments for 2019.”
He noted that the inclusion of the North Block Complex to Universal’s portfolio of assets would significantly increase the company’s projected saleable product pipeline by adding 2.7-million tonnes of production a year.
The North Block Complex is jointly held with Ndalamo Resources, which holds a 51% stake in the project, with Universal holding the remaining 49% stake and acting as manager.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Astore Keymak is one of South Africa’s leading suppliers of high-quality Thermoplastic Pipeline Systems, with branches in the major provinces.
VISIT SHOWROOM
M and J Mining are leading suppliers of physical support systems as used by the underground mining industry. Our selection of products are not...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
