[miningmx.com] – UNIVERSAL Coal, an Australian listed company, said first production had begun at its Kangala colliery in Mpumalanga province with output being supplied to Eskom in terms of a two million tonne/year offtake agreement.
“Kangala will provide steady and strong cashflow for the decade to come, laying the foundation for further growth in helping to fund the progress of our pipeline of quality coal assets including our next operation, Roodekop/ New Clydesdale Colliery,” said Tony Weber, CEO of Universal Coal.
The company is currently in the process of buying New Clydesdale from Exxaro Resources with a view to using its infrastructure to cut costs and improve efficiencies at its next mine, Roodeport which is adjacent to New Clydesdale.
