[miningmx.com] — ANGLO American has officially launched its Zibulo Colliery in Mpumalanga, the first major project to be completed under its empowerment company Anglo American Inyosi Coal.
Formerly known as the Zondagsfontein project, Zibulo will supply both domestic and export quality coal. The construction of the mine which began in 2008, represents a total capital investment of R4.2bn.
Speaking at the opening ceremony in Ogies on Thursday, Minister of Mineral Resources, Susan Shabangu said government was pleased to see empowerment deals that had significant participation by women and immediate communities that reside around mining areas.
“I would like to congratulate both Anglo American and Inyosi for the successful commissioning of Zibulo Colliery. A fully operational mine signifies progress and growth of Anglo American Inyosi Coal,’ Shabangu said.
Norman Mbazima, CEO of Anglo’s thermal coal business and chairman of Anglo American Inyosi Coal said the partnership between Anglo and Inyosi has delivered on its first project with excellent results.
He said the mine was built at the height of the global financial crisis which presented the company with a number of cost management challenges.
“Despite this, we managed to have the first export coal from the Zibulo opencast section onto the train to the Richards Bay Coal Terminal on 30 October 2009,’ Mbazima concluded.
Anglo American Inyosi Coal has two operational mines, Kriel and Zibulo and future projects incuding New Largo, Elders and Heidelberg will form part of this company.
While Kriel was transferred as part of the deal in 2008, Zibulo was a greenfield project.
When it is fully commissioned, Zibulo will comprise:
– A multi-product operation delivering 8 Mtpa over a life of 20 years, with 7 Mtpa from its underground mine and the remaining 1 Mtpa from its opencast pit. Saleable production will be approximately 6 Mtpa, constituting both thermal export product and domestic product of 3 Mtpa each.
– Zibulo is also part of a 16 Mtpa run of mine joint venture washing plant, known as the Phola Coal Processing Plant, a 50:50 joint venture between Anglo American Inyosi Coal and BHP Billiton Energy Coal South Africa. The plant (which is already operational) will be fed equally from Zibulo and BECSA’s Klipspruit Colliery.
