THE WATERBERG COAL COMPANY LTD - Appointment of contractor for Waterberg Coal Project

Appointment of contractor for Waterberg Coal Project

The Waterberg Coal Company Limited
(formerly Range River Gold Limited)
(Incorporated in Australia)
(Registration number ABN 64 065 480 453)
ASX: WCC | JSE: WCC | ISIN: AU000000WCC9
(“the Company”)

APPOINTMENT OF EPC CONTRACTOR FOR THE WATERBERG COAL PROJECT

On 6th February 2014, The Waterberg Coal Company Ltd (WCC or Company) announced that the Waterberg
Coal; Joint Venture Partners (WCJVP) had entered into a Letter of Intent with ARDBEL for development of
the 22 million tonne per annum Coal Handling Facility, Processing Plant and associated civil works for the
Waterberg Coal Project (WCP) situated in the Waterberg Region, Limpopo, South Africa. WCC is pleased to
now advise the market that the WCPJV has formally instructed ARDBEL to commence with the preliminary
design of the project following on from the design work undertaken as part of the Definitive Feasibility
Study (DFS) for the project’s development.

In addition to the preliminary design and basic engineering works, ARDBEL (a joint venture between ELB
Engineering Services and the DRA Group) has been appointed as the contractor for the detailed design and
execution of the 22 million tonne per annum Coal Handling and Processing Plant and associated
infrastructure for the WCP.

WCC is the Managing Partner of the WCP Joint Venture. The project partners have previously reported (to
ASX) a JORC Compliant Resource statement of 3.8833 billion tonnes of coal; of which 2.0703 billion tonnes
is in the measured category. See Table 11.

WCJVP has completed a DFS for the project and are currently engaging with the debt and equity capital
markets to secure appropriate funding for the development of the project. Due diligence for this purpose,
currently being undertaken by the Banking Group, is at an advanced stage.
The formal appointment of ARDBEL represents a significant step forward in the commitment by the project
partners to the development of the project. The Project partners expect to provide to the market a further
and more detailed project update within the next 4 weeks.

              Table 1 – Coal Resource on all six Waterberg Coal Project
                Properties under both Prospecting Permit and Mining Right
                          Coal                                       CV
     Resource          Resource       Ash %     IM %      Vol %    (Mj/kg)    TS %
                              #
   Classification        (Mt)          (ad)      (ad)      (ad)     (ad)      (ad)
     Measured           2,070.3        57.9      2.2      17.6     10.51      0.96

     Indicated           8,56.3        59.4      2.3      17.2      9.96      1.00

     Inferred            956.7         58.9      2.2      17.5     10.26      1.03
     Totals             3,883.3        58.5      2.2      17.5     10.33      0.99

              # Coal Resource is based on minimum thickness cut-off of 0.5m

Stephen Miller
Director
The Waterberg Coal Company Limited

                                                    
Note 1: Please note that this information was prepared and first disclosed under the JORC Code 2004. It has
not been updated since to comply with the JORC Code 2012 on the basis that the information has not
materially changed since it was last reported.


Competent Person Statement

Gemecs (Pty) Limited was commissioned by the Waterberg Coal Project Joint Venture Partners, to
undertake an Updated Independent Persons Geological Report for the Sekoko Waterberg Coal Project.
The Coal Resources were estimated in accordance with the South African code for the Reporting of
Exploration Results, Mineral Resources and Mineral Reserves (“SAMREC Code”), Australasian Code for
Reporting of Exploration Results. Mineral Resources and Ore Reserves (“the JORC Code”) and South African
National Standard (SANS 10320:2004) guidelines.

The information in this announcement that relates to Exploration Results, Mineral Resources or Ore
Reserves is based on information compiled by Mr Coenraad D van Niekerk, Pr.Sci.Nat (Reg. No 400066/98),
M.Sc Hons (Geology), MDP, an employee of Gemecs (Pty) Limited, who is a Fellow of the Geological Society
of South Africa. Mr Niekerk is a mining geologist with 38 years’ experience in the mining industry, sufficient
experience relevant to the style of mineralisation and type of deposit under consideration and to the
activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the
Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Niekerk
consents to the inclusion in the announcement of the matters based on this information in the form and
context in which it appears.


4 July 2014


Sponsor:
The Standard Bank of South Africa Limited




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