MC MINING LIMITED - Mopane Mining Right Granted

Mopane Mining Right Granted

MC Mining Limited
Previously Coal of Africa Limited
(Incorporated and registered in Australia)
Registration number ABN 008 905 388
ISIN AU000000MCM9
JSE share code: MCZ
ASX/AIM code: MCM


ANNOUNCEMENT                                                                        4 February 2021


MOPANE MINING RIGHT GRANTED


MC Mining Limited (“MC Mining” or the “Company”) is pleased to announce that the South African
Department of Mineral Resources & Energy (“DMRE”) has granted the remaining mining right for its
74% owned Mopane coking and thermal coal project (“Mopane Project”) in the Limpopo province.


The Mopane Project, together with the Chapudi and Generaal Projects, comprise the Company’s
longer-term Greater Soutpansberg Project (“GSP”) in the Soutpansberg Coalfield. The GSP is located
within close proximity to the Musina-Makhado Special Economic Zone (“SEZ”), an area designated by
government to focus on, amongst others, energy and metallurgical industries.


The Company submitted mining right applications for the three GSP project areas to the DMRE during
2013 and the Chapudi Project mining right was granted in December 2018, followed by the Generaal
Project mining right in November 2019. The Mopane Project contains 230 million gross tonnes in situ
of measured and indicated coal resources(1)and supports MC Mining’s strategy of being South Africa’s
pre-eminent producer of hard coking coal which is used in the steel manufacturing process and
attracts significantly higher sales prices compared to thermal coal.

Brenda Berlin, MC Mining’s Acting Chief Executive Officer commented:

Footnote:
(1) The GSP independent Competent Persons Report can be found on the Company’s website: 
http://www.mcmining.co.za/our-business/projects/gsp-mbeu-yashu

“The granting of the Mopane Project mining right is a further step in unlocking value from MC Mining’s
significant coking coal assets, positioning the GSP to be a potential long-term coking coal supplier to
industrial users, both local and offshore, including the planned Musina-Makhado SEZ. The domestic
and export Makhado Phase 1 and Phase 2 hard coking coal off-take agreements already in place reflect
the market’s appetite for metallurgical coal.

The long-term development of the three GSP project areas is complementary to our flagship Makhado
hard coking coal project, which is also in the Soutpansberg Coalfield. The Company has made
significant progress in advancing Makhado and anticipates completing the Phase 1 capital raise
process in Q1 CY2021, with the nine-month construction period commencing soon thereafter and first
coal sales in H1 CY2022.”


Authorised by
Brenda Berlin
Acting Chief Executive Officer

This announcement has been approved by the Company’s Disclosure Committee.


For more information contact:
Brenda Berlin                 Acting Chief Executive    MC Mining Limited        +27 10 003 8000
                              Officer
Tony Bevan                    Company Secretary         Endeavour Corporate      +61 08 9316 9100
                                                        Services

Company advisors:
James Harris / James Dance     Nominated Adviser       Strand Hanson Limited     +44 20 7409 3494

Rory Scott                      Broker (AIM)           Tennyson Securities       +44 20 7186 9031
James Duncan                    Financial PR (South    R&A Strategic             +27 11 880 3924
                                Africa)                Communications

Investec Bank Limited is the nominated JSE Sponsor




                                                                                                     

Date: 04-02-2021 02:00:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.