WESCOAL HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
Registration number 2005/006913/06)
JSE Share code: WSL ISIN: ZAE000069639
(?Wescoal? or ?the Company?)
WESCOAL REPORTS ELANDSPRUIT DEVELOPMENTS ON TRACK
Further to SENS announcements released on 9th July and 29th July and
10th September 2015, Wescoal the mining and trading group wishes to
update shareholders regarding developments at its flagship
Elandspruit project in Mpumalanga.
Wescoal is pleased to report that the Elandspruit project ramp-up is
on track and on budget.
Since the granting of its water-use license at the end of March
2015, the Elandspruit project has steadily progressed to soon reach
its planned production rate of 170 000 tons run of mine per month.
Elandspruit run of mine has been successfully transported and fed
into the nearby Wescoal Processing Plant since July. The plant has
responded as expected and beneficiated product has met expectations.
Wescoal acting CEO Waheed Sulaiman commented: ?The mining team has
performed exceptionally well, given current challenges in the
industry and the fact that the project has to date been funded from
operating cash flows. The ramp up period has been well managed and
run of mine production has increased steadily since July. The
Elandspruit project is living up to expectations of being a catalyst
for Wescoal?s growth and we are on track to reach our target of
170 000 run of mine tons per month well before the end of the
Salient features and timetable of Elandspruit?s development progress
include the following;
- Water-use license granted on 28 March 2015;
- Mine design completed and preferred service providers identified
at the end of May 2015;
- Commencement of site establishment activities and first blast at
the end of June 2015;
- First coal removed from box cut and delivered to a dedicated run
of mine stockpile on 15 July 2015. Elandspruit run of mine was
subsequently successfully transported and beneficiated at the
nearby Wescoal Processing Plant;
- Approximately 43 000 tons of run of mine produced during the
first month of production;
- First coal from Elandspruit delivered at the end of July 2015 to
- During August Elandspruit produced approximately 83 000 tons of
run of mine which was then successfully beneficiated at the
Wescoal Processing Plant; and
- During the first week of September 2015 Wescoal concluded a coal
supply agreement with Eskom to supply a total of 221 000 tons
during September and October 2015.
16 September 2015
Investor Relations Advisor
Jacques de Bie
Tel: 082 691 5384
Date: 16/09/2015 10:00:00 Supplied by www.sharenet.co.za
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