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- MC Mining (MCM) has received a mining right from the South African Government for its Mopane Project
- Mopane is part of a bigger project, dubbed the Greater Soutpandberg Project (GSP), which also includes the Chapudi and Generaal Projects
- The company submitted mining right applications for three GSP project areas in 2013
- Mopane contains 23 million gross tonnes of measured and indicated coal resources
- On the market today, MC is up 13.3 per cent and is trading for 17 cents per share
MC Mining (MCM) has been granted a mining right by the South African Department of Mineral Resources and Energy (DRME) for its Mopane Project.
The thermal coal project is located within the Greater Soutpandberg Project (GSP), along with the Chapudi and Generaal Projects, in the Limpopo province in South Africa.
The company submitted the mining right applications for three GSP project areas to the DRME during 2013. The Chapudi Project mining right was approved in December 2018, followed by Generaal in November 2019.
Mopane contains 23 million gross tonnes of measured and indicated coal resources. The project also supports MC’s strategy of being South Africa’s pre-eminent producer of hard coking coal.
Hard coking coal is used in the steel manufacturing process and attracts significantly higher sales prices compared to thermal coal.
CEO Brenda Berlin appears pleased with the approval.
“The granting of the Mophane project mining right is a further step in unlocking value from MC mining’s significant coal assets, positioning the GSP to be a potential long-term coking coal supplier,” she said.
“The domestic and export Makhado phase one and phase two hard cooking coal offtake agreements already in place reflects the market’s appetite for metalogical coal,” she added.
On the market today, MC is up 13.3 per cent and is trading for 17 cents per share at 1:55 pm AEDT.
