Mining News
MC Mining announced last week that it was commencing open-pit mining at its flagship project, the Makhado steel-making, hard coking coal project, known as the Makhado Project, just north of the Soutpansberg in Limpopo.
In a press release issued last week, MC Mining indicated that an associated coal-handling and preparation plant [coal plant] is under construction and on schedule for commissioning by year-end 2025. "Rapid progress towards coal production is being made on the back of an excellent health and safety record, with zero lost time injuries since commencement in November 2024, full regulatory compliance and in line with planned capital expenditure," said the mining company.
MC Mining reported that JCI Mining (Pty) Ltd, the principal mining contractor, is already established on site and on schedule with the box-cut development, with a mining fleet consisting of five loading excavators and 19 hauling articulated dump trucks, and a workforce complement now augmented to 122 people.
Enprotec (Pty) Ltd, which is constructing the coal plant on a build-own-operate-transfer contract basis, has completed civil works and transitioned to erecting structural steel, installing mechanical equipment and platework.
"Key mine infrastructure, including bulk power and water supply, mine access bridge and roads, dirty water containment, are on schedule and in line with the scheduled commencement of coal production," said the mining company.
According to MC Mining, run-of-mine (ROM) production will initially come from the East Pit, with a strike length of 5.5 km and a width of 400 m. "Steady-state ROM production is planned at four million tonnes per annum, resulting in sales of 880,000 tonnes a year of primary hard coking coal (HCC) product, over a 14-year pit life. The Central and West Pits will extend the mine life to 28 years. Initial HCC production is earmarked for the domestic steel industry, where Makhado coal will have a substantial logistics cost advantage over imports," the mining company said.
Commenting on the latest developments, Ms Christine He (Interim Managing Director and Chief Executive Officer) said: "South Africa's continued industrialisation relies on ventures like Makhado, that look to support the country's Steel and Metal Fabrication Master Plan by quantum input cost reductions. Cheaper hard coking coal, along with iron ore, rail and electricity, are the main levers for producing affordable steel to compete with the increasingly competitive global market. In bringing Makhado production online, along with the equally good Greater Soutpansberg Projects nearby, our shareholders stand to benefit significantly in being the pre-eminent HCC producer in the country, whilst effecting tangible social upliftment in the wider region and supporting the South African economy".