Wrap Text
Activities report for the quarter ended 31 December 2025 (FY2026 Q2)
MC Mining Limited
Previously Coal of Africa Limited
(Incorporated and registered in
Australia)
Registration number ABN 008 905 388
ISIN AU000000MCM9
JSE share code: MCZ
ASX/AIM code: MCM
ANNOUNCEMENT
30 January 2026
ACTIVITIES REPORT FOR THE QUARTER ENDED 31 DECEMBER 2025 (FY2026 Q2)
FOR MC MINING LIMITED (MC Mining or the Company) AND ITS SUBSIDIARY COMPANIES
HIGHLIGHTS
Operations
• Health and safety performance improvement across the group remains a top priority, with the
Company having operated with one lost time injuries (LTI) for the quarter. Encouragingly, the
Makhado steelmaking hard coking coal Project (Makhado Project or Makhado) has now reached
1,005 days LTI-free, for 1,542,000 manhours worked, whilst Uitkomst Colliery (Uitkomst Colliery
or Uitkomst) had one LTI for the quarter;
• Development of the Makhado Project progressed well, with key milestones achieved:
o hot commissioning activities for the coal handling and preparation plant (CHPP or Coal
Plant) are scheduled to begin by March 2026;
o the mining of overburden material from the open cast pit is on track to expose run-of-
mine delivery to the CHPP during commissioning;
o steelworks, mechanical and equipment installation work for the Coal Plant is in progress;
and
o significant progress is being made towards the commissioning of the 14km overhead
power transmission line;
• Uitkomst Colliery performance remains a challenge, despite implementation of the operational
improvement plan (Turnaround Plan). Whilst overhead cost reductions have been realised,
production improvements were not achieved, prompting further reviews of Uitkomst's operating
strategy.
• Run-of-mine (ROM) coal production from Uitkomst Colliery decreased by 30% on the previous
quarter's production and was 40% lower than the comparative period in FY2025 at 57,606 tonnes
(t) (FY2025 Q2: 95,489t). The reduction in production, compared to FY2025 Q2, was due to delays
in the start of the turnaround plan, temporary operational challenges (geological intrusions),
wetter mining conditions and reduced equipment availability of the ageing fleet.
• Uitkomst Colliery sold 40,229t of high-grade coal during the quarter (FY2025 Q2: 61,195t), a 34%
decrease on the prior year sales, and there were no sales of the lower grade middlings coal
(FY2025 Q1: 4,276). Coal plant yields remained high at 79.7% due to operational improvement
initiatives over the period, which offset the lower ROM coal production;
• Comprehensive evaluations of geological and mine planning information relating to the
Company's Vele Aluwani semi-soft coking coal (SSCC) and thermal coal (TC) Colliery (Vele Colliery
or Vele) were undertaken, whilst work continued to negotiate surface land access terms for those
coal deposits within the Greater Soutpansberg Projects (GSP) that are being prioritised for
development; and
• Depressed TC prices continued with average prices of US$86/t for the three months, compared to
US$91/t in Q1 FY2026 and US$110/t in Q2 of FY2025. Premium steelmaking HCC prices have
decreased, averaging US$199/t in the quarter compared to US$206/t in FY2025 Q2.
Corporate
• Available cash and facilities was US$2.9 million at the period end (FY2026 Q1: US$13.2 million);
• Kinetic Development Group Limited (KDG) made payments amounting to US$7 million for the
purchase of MC Mining shares, as part of the share subscription agreement, during the quarter.
The US$7 million payment relates to the sixth Second Closing as per the Share Subscription
Agreement;
• The Company made a further repayment of ZAR10 million towards the Industrial Development
Corporation (IDC) loan during the quarter;
• Jianheng (Albert) Deng was appointed as a Non-Executive Director of MC Mining; and
• Zhen (Brian) He resigned from being a Non-Executive Director of MC Mining.
DETAILED QUARTERLY OPERATIONS REPORTS
Makhado HCC Project – Soutpansberg Coalfield, Limpopo Province, South Africa (67% owned)
Project Overview. Construction of the Makhado steelmaking hard coking coal Project (Makhado
Project or Makhado) progressed well, with hot commissioning activities of the Coal Plant scheduled
to begin in March 2026, despite some delays due to inclement weather. During the quarter, more
project development milestones were successfully achieved, whilst maintaining the excellent safety,
health, environmental and regulatory compliance performances that have become a recognizable
feature of the venture to date. The colliery will be South Africa's largest hard coking coal (HCC)
producer, designed to produce 800,000 tonnes a year of HCC 64 Mid Vol, once steady-state operation
for the foundation phase is reached. The life-of-mine (LOM) for the Makhado Colliery is planned to
be 28 years. Contiguous to the Makhado Project are the satellite Greater Soutpansberg Projects (GSP),
that are all at granted Mining Right status, also endowed with steelmaking HCC potential, and
scheduled to be the focus of mine planning, once the Makhado Project is commissioned.
Health, Safety, Regulatory Compliance and Environmental Performance. The Makhado Project
achieved another quarter free from any LTIs (FY2025 Q4: nil), with 1,005 days LTI-free and 1,542,000
manhours now accumulated for the project to date. Employee health initiatives focused on raising
awareness on mental health, men's health and chronic conditions management. The workforce onsite
now numbers 1025 people with the host community well-represented in the labour complement and
support services.
The mine continued to be built with zero reportable environmental incidents and keen emphasis being
placed on environmental protection and management. The Department of Mineral and Petroleum
Resources (DMPR) undertook a comprehensive and multi-discipline onsite health and safety,
environmental, social and labour planning and regulatory compliance audit of the Makhado Project.
The Company continues to promote collaborative and constructive relationships with regulatory
authorities and host community stakeholders.
Project Development Milestones Achieved. The Makhado Project is progressing strongly with more
key development milestones achieved this quarter. Coal Plant hot commissioning activities are
expected to start during March 2026, despite delays encountered due to inclement weather, sourcing
of suitable construction materials and obtaining of all requisite clearances to continue with
construction of the 14km long power transmission line. The project expenditure remains within the
budgeted estimates. Noteworthy features of the project include:
- Open pit Mining: – The mining of overburden material from the open cast pit is in progress
and on track for run of mine delivery to the CHPP startup. JCI Mining (Pty) Ltd ('JCI'), the
principal mining contractor, now has 249 people on site, with a mining fleet consisting of 8
backhoe configured excavators, supported by a team of 33 articulated dump trucks. A further
4 trucks are schedule to be mobilised during the coming quarter. Mining of overburden
material is progressing steadily, with over 1.3 million bench cubic metres (BCM) already
mined.
- Construction of the Coal Plant: – The CHPP construction works are progressing well with
planned completion being Q1 2026. The civil foundation works have been largely completed
and the momentum has moved to steelworks, mechanical and equipment installation work.
The CHPP will process ROM coal to produce a primary product of HCC 64 Mid Vol and a
secondary product of 5,500kcal API4 thermal coal (TC). Work is continuing on the planning of
the expansion strategy once the foundation phase is commissioned. Environmental and
Process Technologies (Enprotec), the lead contractors for building the Coal Plant, now manage
450 persons on site, across 16 different sub-contractors, with 140 of these employees having
been recruited from the host communities.
- Construction of permanent access bridge: - The mine access road bridge across the Mutamba
River is commissioned and in service, with works now focused on upgrading the approach
roads providing site access.
- Construction power reticulation: –The main power supply line construction is progressing. The
delivery of transformers to site marks a significant milestone in the development of the power
supply infrastructure. This power line, the Paradise Overhead Line (OHL), will be a 14km long,
22kV bulk power transmission line, to deliver 7.5MVA of power to the site from the national
grid, via the nearby Paradise Power Station. This workstream is managed by the EHL
Engineering Group (EHL) on an EPC-turnkey basis.
Outlook. Construction work and operational readiness activities are ongoing, with hot commissioning
activities for the Coal Plant expected to commence by March 2026.
Uitkomst Colliery – Utrecht Coalfields, KwaZulu Natal Province, South Africa (84% owned)
Colliery Overview. The performance improvement plan for the colliery (the Turnaround Plan) was in
implementation during the quarter. The coal preparation plant modifications sustained the improved
yields at 79% and the fixed cost base was reduced. Production performance did not deliver expected
improvements due largely to ageing fleet, combined with unexpected geological intrusions and wetter
mining conditions. Further reviews of the operating strategy for the colliery are in progress.
Health, Safety and Environmental Performance. Uitkomst Colliery had a quarter free of reportable
environmental incidents and one LTI (FY2026 Q1: nil LTI). The concerted efforts by site personnel,
focusing on behaviour-based safety principles, realignment sessions and operational improvement
reviews, have contributed to an improvement in health and safety performance over the period.
Production Performance. The colliery mined 57,606t of ROM coal during the quarter, which was a
30% decrease on the previous quarter, and 40% lower than the comparative period in FY2025 (FY2025
Q2: 95,489t). The 40% decrease in ROM coal production compared to the same period the previous
year was due, in part, to disruptions in production whilst reconfiguring the underground mining layout
as part of the Turnaround Plan and due to lower than expected coal seam mining heights in some
sections. Various options are under review to assess future operations at Uitkomst.
Uitkomst sold 40,229t (FY2025 Q2: 61,195t) of high-grade duff and peas coal, which is 34% lower than
the sales for same period last year. The colliery sold no middlings coal during the three months
(FY2025 Q2: 4,276t). The colliery had 1,057t (FY2025 Q2: 1,799) of high-grade coal inventory at the
end of December 2025.
The production costs per saleable tonne were 32% higher than the comparative period in FY2025
(FY2026 Q2: US$116/t vs. FY2025 Q2: US$88/t). The decrease in volumes resulted in the increase in
unit production costs, partially offset by improved yields.
Outlook. Various options to address production under performance are under consideration with the
assistance of Metalla Tutum Engineering Proprietary Limited (MTE). MTE is a South African specialist
mining engineering and consulting firm, established in 2017, with expertise in mine management and
operational improvements.
Quarter to Quarter to
end-Dec end-Dec
2025 2024 %?
Production volumes
Uitkomst ROM (t) 57,606 95,489 (40%)
Inventory volumes
High quality duff and peas (t) 1,057 1,799 (41%)
Sales tonnages
High quality duff and peas (t) 40,229 61,195 (34%)
Middlings sales (t) - 4,276 (100%)
40,229 65,471 (39%)
Quarter financial metrics
Net revenue/t (US$) 75 70 7%
Net revenue/t (ZAR) 1,291 1,256 3%
Production cost/saleable tonne (US$)^ 116 88 32%
^ costs are all South African Rand (ZAR) based
Vele Aluwani SSCC and TC Colliery – Limpopo (Tuli) Coalfield (100% owned)
Operations at Vele remain suspended, pending the conclusion of a re-engineered business plan. A
comprehensive assessment of geology and mine planning data was completed during the quarter.
Work continues on investigating a commercially viable logistics solution for the coal products to come
from the colliery. Vele recorded no LTIs (FY2026 Q1: nil) during the quarter. Finished good stockpiles
remaining on site after suspension were successfully sold at a nominal price.
Greater Soutpansberg Projects (GSP) – Soutpansberg Coalfield (74% owned)
The GSP recorded no LTIs (FY2026 Q1: nil) during the quarter. The GSP are a group of mineral
tenements, held as Mining Rights and satellite to the Makhado Project. Work continues has
commenced on assessing and prioritising the various tenements, as part of developing the future
pipeline of steelmaking HCC prospects to supplement the Makhado Colliery production. Negotiations
were progressed with respect to securing surface land access for prioritised deposits. The work
required to obtain environmental and water use licences for the Mining Rights are expected to
commence during H1 CY2026.
Appendix 5B – Quarterly Cash Flow Report
The Company's available cash balance and facilities as at 31 December 2025 was US$2.9 million. The
aggregate amount of payments to related parties and their associates, as disclosed as item 6.1 of the
December 2025 quarter Appendix 5B, was US$69k, comprising executive and non-executive director
remuneration.
Christine He
Managing Director and Chief Executive Officer
This announcement has been approved by the Company's Disclosure Committee.
All figures are in South African rand or United States dollars unless otherwise stated.
For more information contact:
Bill Pavlovski Company Vision Corporate bill.pavlovski@mcmining.co.za
Secretary (Pty) Ltd
Company advisers:
BSM Sponsors Proprietary Limited is the nominated JSE Sponsor
A copy of the Appendix 5B can be found here:
https://senspdf.jse.co.za/documents/2026/jse/isse/mcze/5B226.pdf
About MC Mining Limited:
MC Mining is an ASX/JSE-listed coal exploration, development and mining company operating in South Africa. MC
Mining's key projects include the Uitkomst Colliery (metallurgical and thermal coal), Makhado Project (hard coking
coal), Vele Colliery (semi-soft coking and thermal coal), and the Greater Soutpansberg Projects (coking and thermal
coal).
All figures are denominated in United States dollars unless otherwise stated. Safety metrics are compared to the
preceding quarter while financial and operational metrics are measured against the comparable period in the
previous financial year. A copy of this report is available on the Company's website, www.mcmining.co.za.
Forward-looking statements
This Announcement, including information included or incorporated by reference in this Announcement, may contain
"forward-looking statements" concerning MC Mining that are subject to risks and uncertainties. Generally, the words
"will", "may", "should", "continue", "believes", "expects", "intends", "anticipates" or similar expressions identify
forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause
actual results to differ materially from those expressed in the forward-looking statements. Many of these risks and
uncertainties relate to factors that are beyond MC Mining's ability to control or estimate precisely, such as future
market conditions, changes in regulatory environment and the behaviour of other market participants. MC Mining
cannot give any assurance that such forward-looking statements will prove to have been correct. The reader is
cautioned not to place undue reliance on these forward-looking statements. MC Mining assumes no obligation and
does not undertake any obligation to update or revise publicly any of the forward-looking statements set out herein,
whether as a result of new information, future events or otherwise, except to the extent legally required.
Statements of intention
Statements of intention are statements of current intentions only, which may change as new information becomes
available or circumstances change.
Tenements held by MC Mining and its Controlled Entities
Change
Project during
Name Tenement Number Location Interest quarter
Chapudi Albert 686 MS Limpopo~ 74%
Project*
Bergwater 712 MS 74%
Remaining Extent and Portion 2 of 74%
Bergwater 697 MS
Blackstone Edge 705 MS 74%
Remaining Extent & Portion 1 of 74%
Bluebell 480 MS
Remaining Extent & Portion 1 of 74%
Bushy Rise 702 MS
Castle Koppies 652 MS 74%
Chapudi 752 MS 74%
Remaining Extent, Portions 1, 3 & 4 74%
of Coniston 699 MS
Change
Project during
Name Tenement Number Location Interest quarter
Driehoek 631 MS 74%
Remaining Extent of Dorps-rivier 74%
696 MS
Enfield 512 MS (consolidation of 74%
Remaining Extent of Enfield 474
MS, Brosdoorn 682 MS &
Remaining Extent of Grootvlei
684 MS)
Remaining Extent and Portion 1 of 74%
Grootboomen 476 MS 74%
Grootvlei 684 MS 74%
Kalkbult 709 MS 74%
Remaining Extent, Remaining 74%
Extent of Portion 2, Remaining
Extent of Portion 3, Portions 1,
4, 5, 6, 7 & 8 of Kliprivier 692
MS
Remaining Extent of Koodoobult 74%
664 MS
Koschade 657 MS (Was Mapani Kop 74%
656 MS)
Malapchani 659 MS 74%
Mapani Ridge 660 MS 74%
Melrose 469 MS 74%
Middelfontein 683 MS 74%
Mountain View 706 MS 74%
M'tamba Vlei 654 MS 74%
Remaining Extent & Portion 1 of 74%
Pienaar 635 MS
Change
Project during
Name Tenement Number Location Interest quarter
Remaining Extent & Portion 1 of 74%
Prince's Hill 704 MS
Qualipan 655 MS 74%
Queensdale 707 MS 74%
Remaining Extent & Portion 1 of 74%
Ridge End 662 MS
Remaining Extent & Portion 1 of 74%
Rochdale 700 MS
Sandilands 708 MS 74%
Portions 1 & 2 of Sandpan 687 MS 74%
Sandstone Edge 658 MS 74%
Remaining Extent of Portions 2 & 3 74%
of Sterkstroom 689 MS
Sutherland 693 MS 74%
Remaining Extent & Portion 1 of 74%
Varkfontein 671 MS
Remaining Extent, Portion 2, 74%
Remaining Extent of Portion 1 of
Vastval 477 MS
Vleifontein 691 MS 74%
Ptn 3, 4, 5 & 6 of Waterpoort 695 74%
MS
Wildebeesthoek 661 MS 74%
Woodlands 701 MS 74%
Kanowna M27/41 Coolgardie^ Royalty<>
West &
M27/47 Royalty<>
Kalbara
M27/59 Royalty<>
Change
Project during
Name Tenement Number Location Interest quarter
M27/72,27/73 Royalty<>
M27/114 Royalty<>
M27/196 Royalty<>
M27/181 5.99%
M27/414,27/415 Royalty<>
P27/1826-1829 Royalty<>
P27/1830-1842 Royalty<>
P27/1887 Royalty<>
Abbotshall ML63/409,410 Norseman^ Royalty
Royalty
Kookynie ML40/061 Leonora^ Royalty
Royalty
ML40/135,136 Royalty
Makhado Fripp 645 MS Limpopo~ 67%#
Project
Lukin 643 MS 67%#
Mutamba 668 MS 67%#
Salaita 188 MT 67%#
Tanga 849 MS 67%#
Daru 889 MS 67%#
Windhoek 900 MS 67%#
Generaal Beck 568 MS Limpopo~ 74%
Project*
Bekaf 650 MS 74%
Remaining Extent & Portion 1 of 74%
Boas 642 MS-
Chase 576 MS 74%
Coen Britz 646 MS 74%
Change
Project during
Name Tenement Number Location Interest quarter
Fanie 578 MS 74%
Portions 1, 2 and Remaining Extent 74%
of Generaal 587 MS
Joffre 584 MS 74%
Juliana 647 MS 74%
Kleinenberg 636 MS 74%
Remaining Extent of Maseri Pan 74%
520 MS
Remaining Extent and Portion 2 of 100%
Mount Stuart 153 MT
Nakab 184 MT 100%
Phantom 640 MS 74%
Riet 182 MT 100%
Rissik 637 MS 100%
Schuitdrift 179 MT 100%
Septimus 156 MT 100%
Solitude 111 MT 74%
Stayt 183 MT 100%
Remaining Extent & Portion 1 of 100%
Terblanche 155 MT
Van Deventer 641 MS 74%
Wildgoose 577 MS 74%
Mopane Ancaster 501 MS Limpopo~ 100%
Project*
Banff 502 MS 74%
Bierman 599 MS 74%
Change
Project during
Name Tenement Number Location Interest quarter
Cavan 508 MS 100%
Cohen 591 MS 100%
Remaining Extent, Portions 1 & 2 of 74%
Delft 499 MS
Dreyer 526 MS 74%
Remaining Extent of Du Toit 563 MS 74%
Faure 562 MS 74%
Remaining Extent and Portion 1 of 74%
Goosen 530 MS
Hermanus 533 MS 74%
Jutland 536 MS 100%
Krige 495 MS 74%
Mons 557 MS 100%
Remaining Extent of Otto 560 MS 74%
(Now Honeymoon)
Remaining Extent & Portion 1 of 74%
Pretorius 531 MS
Schalk 542 MS 74%
Stubbs 558 MS 100%
Ursa Minor 551 MS 74%
Van Heerden 519 MS 74%
Portions 1, 3, 4, 5, 6, 7, 8, 9, 74%
Remaining Extent of Portion 10,
Portions 13, 14, 15, 16, 17, 18,
19, 20, 21, 22, 23, 24, 26, 27, 29,
30, 35, 36, 37, 38, 39, 40, 41, 44,
45, 46, 48, 49, 50, 51, 52 & 54 of
Vera 815 MS
Change
Project during
Name Tenement Number Location Interest quarter
Remaining Extent of Verdun 535 74%
MS
Voorburg 503 MS 100%
Scheveningen 500 MS 74%
Uitkomst Portion 3 (of 2) of Kweekspruit No. KwaZulu- 84%
Colliery 22 Natal~
and
prospects Portion 8 (of 1) of Kweekspruit No. 84%
22
Remainder of Portion 1 of Uitkomst 84%
No. 95
Portion 5 (of 2) of Uitkomst No. 95 84%
Remainder Portion1 of Vaalbank 84%
No. 103
Portion 4 (of 1) of Vaalbank No. 103 84%
Portion 5 (of 1) of Vaalbank No. 103 84%
Remainder of Portion 1 of 84%
Rustverwacht No. 151
Remainder of Portion 2 of 84%
Rustverwacht No. 151
Remainder of Portion 3 (of 1) of 84%
Rustverwacht No. 151
Portion 4 (of 1) Rustverwacht 84%
No.151
Portion 5 (of 1) Rustverwacht No. 84%
151
Change
Project during
Name Tenement Number Location Interest quarter
Remainder of Portion 6 (of 1) of 84%
Rustverwacht No. 151
Portion 7 (of 1) of Rustverwacht No. 84%
151
Portion 8 (of 2) of Rustverwacht No. 84%
151
Remainder of Portion 9 (of 2) of 84%
Rustverwacht No. 151
Portion 11 (of 6) of Rustverwacht 84%
No. 151
Portion 12 (of 9) of Rustverwacht 84%
No. 151
Portion 13 (of 2) of Rustverwacht 84%
No. 151
Portion 14 (of 2) of Rustverwacht 84%
No. 151
Portion 15 (of 3) of Rustverwacht 84%
No. 151
Portion 16 (of 3) of Rustverwacht 84%
No. 151
Portion 17 (of 2) of Rustverwacht 84%
No. 151
Portion 18 (of 3) of Waterval No. 84%
157
Remainder of Portion 1 of Klipspruit 84%
No. 178
Change
Project during
Name Tenement Number Location Interest quarter
Remainder of Portion 4 of Klipspruit 84%
No. 178
Remainder of Portion 5 of Klipspruit 84%
No. 178
Portion 6 of Klipspruit No. 178 84%
Portion 7 (of 1) of Klipspruit No. 84%
178
Portion 8 (of 1 )of Klipspruit No. 84%
178
Portion 9 of Klipspruit No. 178 84%
Remainder of Portion 10 (of 5) of 84%
Klipspruit No. 178
Portion 11 (of 5) of Klipspruit No. 84%
178
Portion 13 (of 4) of Klipspruit No. 84%
178
Remainder of Portion 14 of 84%
Klipspruit No. 178
Portion 16 (of 14) of Klipspruit No. 84%
178
Portion 18 of Klipspruit No. 178 84%
Portion 23 of Klipspruit No. 178 84%
Remainder of Portion 1 of 84%
Jackalsdraai No. 299
Remainder of Jericho B No. 400 84%
Change
Project during
Name Tenement Number Location Interest quarter
Portion 1 of Jericho B No. 400 84%
Portion 2 of Jericho B No. 400 84%
Portion 3 of Jericho B No. 400 84%
Remainder of Jericho C No. 413 84%
Portion 1 of Jericho C No. 413 84%
Remainder of Portion 1 of Jericho A 84%
No. 414
Remainder of Portion 2 (of 1) of 84%
Jericho A No. 414
Portion 3 (of 1) of Jericho A No. 414 84%
Portion 4 (of 1) of Jericho A No. 414 84%
Portion 5 (of 2) of Jericho A No. 414 84%
Portion 6 (of 1) of Jericho A No. 414 84%
Margin No. 420 84%
Vele Portions of Overvlakte 125 MS Limpopo~ 100%
Colliery (Remaining Extent, 3, 4, 5, 6, 13,
and 14)
prospects
Bergen Op Zoom 124 MS 100%
Semple 155 MS 100%
Voorspoed 836 MS 100%
Alyth 837 MS 100%
* Form part of the Greater Soutpansberg Projects
~ Tenement located in the Republic of South Africa
^ Tenement located in Australia
#
MC Mining's interest will reduce to 67% on completion of the 26% Broad Based Black Economic
Empowerment (BBBEE) transaction
<> net smelter royalty of 0.5%
Date: 30-01-2026 11:00:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
