HomeEnergy MineralsNo decision yet on Vele project

No decision yet on Vele project

At work in the
pit at Vele
Johannesburg, South Africa — MININGREVIEW.COM — 22 October 2010 – Coal of Africa Limited (CoAL) “’ the Australian-based and listed coal development company operating in South Africa “’ on says no decision has been made yet by the South African government on the restarting of its flagship Vele colliery in the Limpopo Province.

This revelation comes from the company despite media reports last week that suggested that the government could give it the go-ahead to restart operations in the next few weeks.

“The company would like to clarify that no decision has been made as yet by the Department of Environmental Affairs (DEA) or the Department of Water Affairs in relation to the recommencement of development and the granting of the Integrated Water Use License application for the Vele Colliery,” the company said in a statement to the JSE.

Work at the colliery, near Musina, was stopped early last month after the Green Scorpions issued the company with a compliance notice forcing it to halt certain activities.

Just the week before, the DEA had provided CoAL with formal notification of the various activities that it believed were being undertaken without the appropriate authority.

CoAL, which maintains it has done no wrong, laid off 596 people at the colliery in September.

The company said it was in active dialogue with the DEA and remained hopeful development could re-commence in fourth quarter of this year.