HomeIndustry SectorsFinance and PolicyAustralian junior mining company targets Waterberg coal to Eskom

Australian junior mining company targets Waterberg coal to Eskom

Perth based junior mining group, The Waterberg Coal Company, recently completed a feasibility study that sees its business model as supplying Eskom with coal. The Waterberg Coal Company, through WaterPartners, completed the study into the development of an open cast mining operation on the basis of 10 million tonnes a year over an initial term of 30 years, pursuant to a Memorandum of Understanding signed previously for the proposed coal supply agreement.

Waterberg Coal Project Properties total resources were measured at of 2.070 billion tonnes with total resources of 3.883 billion tonnes being covered under the tenements under a mining right. As per Eskom’s request, the Top Coal zone is to be kept separate from the Bottom Coal zone. The coal quality data indicates that full wash is required for the top zone and a partial wash (deshaling) will suffice for the bottom zone. A conventional coal density separation beneficiation plant is to be built capable of beneficiating up to 23.5 million tonnes of raw run of mine coal. Based on the latest mine schedule requirements, at peak production four coal preparation modules are required; each rated at 825 t/h.

A condition precedent of the coal supply agreement was for Eskom to complete a burn test on a bulk sample of 200,000 tonnes of product. Eskom has taken delivery of this bulk sample for this purpose, from Exxaro’s Waterberg Grootegeluk mine.

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Australian junior mining company targets Waterberg coal to Eskom