EXX - Exxaro Resources Limited - Strengthens its coal export position at RBCT
EXXARO RESOURCES LIMITED
(formerly Kumba Resources Limited)
Incorporated in the Republic of South Africa
(Registration Number: 2000/011076/06)
Share Code: EXX
ISIN Number: ZAE000084992
("Exxaro" or "the company")
EXXARO STRENGTHENS ITS COAL EXPORT POSITION AT RBCT
Diversified resources group Exxaro Resources Limited (Exxaro) today announced
that the company has reached agreement with BHP Billiton Energy Coal South
Africa Limited (BECSA) to purchase from BECSA one million tonnes per annum
(Mtpa) export entitlement through the Richards Bay Coal Terminal (RBCT).
The rights accompanying this entitlement will become effective on 1 July 2007
and it is in addition to the 2,5Mtpa RBCT entitlement that Exxaro was awarded
through RBCT`s recent subscription process and 0,8Mtpa acquired following the
merger with Eyesizwe Coal.
On completion of the RBCT Phase V expansion scheduled by the second quarter of
2009, Exxaro will acquire a further 2Mtpa of export entitlement through the
South Dunes Coal Terminal Company. This will result in Exxaro`s total
entitlement increasing to 6,3Mtpa.
"Exxaro`s export entitlement at RBCT is aligned with our growth objectives that
include obtaining a strong position in the export coal market. It matches
increasing export production from our existing mines and new mines such as
Inyanda and the Mafube JV," said Ernst Venter, executive general manager of
Exxaro`s coal division.
Exxaro is a diversified resources group with interests in the coal, mineral
sands, base metals, industrial minerals and iron ore commodities. Exxaro was
formed through the re-listing on the JSE Limited of Kumba Resources in November
2006 as part of an empowerment transaction in which Kumba`s iron ore assets were
unbundled and listed as Kumba Iron Ore, and the non-iron ore assets were merged
with the assets of Eyesizwe Coal and re-listed as Exxaro.
Exxaro is one of the largest suppliers of coal to Eskom, and is currently
exporting some 2,5Mtpa of coal through its present entitlement at RBCT and the
annual lease of additional entitlement.
The Inyanda open-pit mine is under construction near Witbank in Mpumalanga. Full
production of 1Mtpa of A-grade thermal coal for the export market is expected to
be reached during 2008.
The Mafube JV is a 50:50 joint venture between Exxaro and Anglo Coal, situated
near Standerton in Mpumalanga. Construction of the Mafube expansion project is
progressing well, with first product from this 3Mtpa open-pit mine expected in
More information is available on www.exxaro.com.
Executive General Manager: Exxaro Coal
Tel: +27 (0) 12 307 4322
Mobile: +27 (0) 83 609 1313
Executive General Manager: Corporate Affairs & Investor Relations
Tel: +27 (0) 12 307 3292
Mobile: +27 (0) 83 609 1444
31 May 2007
Sponsor: J.P.Morgan Equities Limited
Date: 31/05/2007 09:21:01 Supplied by www.sharenet.co.za
Produced by the JSE SENS Department .