The Magdelena bituminous mine and the Aviemore anthracite mine – collectively the Slater Coal properties – have a substantial resource base of bituminous and anthracite coal, Slater Coal said.
The Slater Coal properties are located in the Klipriver coalfield, near Dundee, in the KwaZulu Natal Province of South Africa and can be accessed via the N3, N11 Ladysmith and R102 Dundee tarred national highways that run between Johannesburg and Durban, South Africa.
As both the Magdelena and the Aviemore underground mines have expansion potential, Forbes Coal intends to increase the total production from the existing levels of approximately 0.6 million tonnes to 1.5 million tones of saleable coal per annum.
Stephan Theron, president and CEO of Forbes Coal, said: “This is a world class coal asset in a highly developed coal market. We see tremendous growth potential for the operation, driven by a strong fundamental demand for high quality thermal and metallurgical coal.”
Earlier in April 2010, Forbes Coal entered into an agreement with the shareholders of Slater Coal to acquire all of the issued and outstanding common shares of Slater Coal.
