Makhado

Ownership
100% interest; Exxaro has 30% buy-in option;
Location
South Africa Limpopo province, north of the Soutpansberg, 65km southwest of Musina and 80km southeast of the Vele project.
Infrastructure
Electricity supply is in the process of being secured from existing Eskom infrastructure.
Makhado is close to the railway line which runs from Musina, and which is an important link to the Richard’s Bay Coal Terminal.
Resource
947Mt.
Mining method
Opencast.
Product
Coking coal.
5Mtpa at steady state.
Permit status
Application for new order mining right has been submitted.
Good progress with environmental scoping report, Environmental Impact Assessment (EIA) and Environmental Management Plan(EMP).
Latest developments
Discussions have started with the parties associated for the infrastructure upgrade to ship through Maputo (Matola). Following lab and processing analysis of the bulk sample the coal has been provided to ArcelorMittal SA to test in their coking ovens, the results of which will facilitate the finalisation of the terms and conditions of the offtake agreement.