Sekoko in talks with ‘cornerstone’ investor

[miningmx.com] — SEKOKO Resources, an empowerment firm in joint venture with the JSE-listed Firestone Energy, was in negotiations with a multinational power company regarding it becoming an investor in its Waterberg coal development.

Firestone announced to the JSE today that the negotiations involved “very significant” offtake agreement for coal over the life of Sekoko’s project which is the Waterberg Joint Venture Project.

“The negotiations are at an early stage and a further announcement will be made in due course,’ Firestone Energy said.

Firestone bought a 60% participation right in the Waterberg Joint Venture which is expected to produce first coal from the proposed Smitspan mine in 2012.

Firestone recently raised about R12M (US$1.62M) for Smitspan, and other general expenses, after issuing shares to Linc Energy, an Australian firm.