Sa­sol unit on track with R5.5bn mine

Shon­doni Mine, in Se­cunda, Mpumalanga, to open soon

The Star Early Edition - - COMPANIES - Di­neo Faku

SA­SOL Min­ing, a divi­sion of Sa­sol, the JSE-listed petro­chem­i­cals, ex­pects to com­plete the sec­ond phase in the con­struc­tion of its R5.5 bil­lion Shon­doni Mine, in Se­cunda, Mpumalanga by Septem­ber.

Lucky Kga­tle, the se­nior vice-pres­i­dent for Sa­sol Min­ing, told jour­nal­ists dur­ing a vist to the mine that the mine’s de­cline shaft would be com­pleted this year.

“The con­struc­tion of the un­der­ground in­fra­struc­ture is 94 per­cent com­plete and is sched­uled to be com­plete in Septem­ber,” said Kga­tle.

Sa­sol has spent R5.5bn con­vert­ing the C brown fields project into Shon­doni, which means place of wealth in Venda.

Shon­doni em­ploys 1 800 peo­ple mostly from the lo­cal com­mu­nity and was con­structed in Fe­bru­ary 2012 .

It re­ported its first out­put last Au­gust and pro­duces 100 tons a day with a ramp up tar­get of 9.4 mil­lion tons a year.

Shon­doni is part of Sa­sol’s R15bn mine re­place­ment project, which was im­ple­mented in 2009 as Twee­draai, Brand­spruit, Mid­del­bult and Syfer­fontein re­serves neared the end of their life of mine and had to be re­placed.

The com­pany had also spent R5.6bn with the Im­pumelelo Mine re­place­ment, R3.4bn in Thubel­isha and R1.4bn at Twee­draai.

The R15bn project aims to en­sure the se­cu­rity of coal sup­ply for Sa­sol’s petro­chem­i­cals op­er­a­tions from the Se­cunda com­plex un­til 2050.

Sa­sol Min­ing, whose coal com­plex com­prises six mines that sup­ply feed­stock for the Se­cunda Syn­fu­els and Sa­sol­burg op­er­a­tion, pro­duces 41 mil­lion tons of coal a year of which 3.5 mil­lion tons are ex­ported to coun­tries in Asia and Europe. The coal is used as gasi­fi­ca­tion feed­stock, and some is used to gen­er­ate elec­tric­ity.

The project was a vote of con­fi­dence for South African min­ing in­dus­try, Kga­tle said yes­ter­day. He said the in­vest­ment demon­strated Sa­sol’s com­mit­ment to South Africa.

“I do not know of any other min­ing com­pany that in­vested R15bn in the min­ing in­dus­try. We are com­mit­ted to South Africa. We are look­ing at the long term,” Kga­tle said.

“We are com­mit­ted to South Africa. We are look­ing at the long term.”

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