The ASX-listed coal miner notes that the project is fully licensed for development following the grant of a Water Use License by the Department of Water and Sanitation.
This is the third project that Universal Coal will look to bring online following commissioning of the first phase of the company’s New Clydesdale Colliery (NCC) coal mine. n
The successful commissioning for the company was announced on 15 September, following the start-up of the 2.8 Mtpa ROM Kangala operation in 2014.
Brakfontein is located within ~20 km of Kangala which is based in South Africa’s premier coal region, the Witbank coalfield.
The project hosts a JORC 2012 mineral resource of 87.6 Mt inclusive of a proven ore reserve of 9.1 Mt.
With the water use license in hand and having already secured both the Mining Right and the Environmental Authorisation in terms of National Environmental Management Act (NEMA), the project now has all licenses required for development.
The company has completed a feasibility study, showing potential to be integrated with existing infrastructure and excess capacity at its Kangala operation, thereby substantially reducing capital development costs and the scale of the water licence required.