The size of the coal market in southern Africa is significant (>16 million tons per annum) and the Masama Coal Mine is exceptionally well-placed to supply coal into this market. Customers will include cement and lime producers, brickworks, breweries, paper and sugar mills and the chemical industry. In addition, Masama is well placed to supply the international seaborne thermal coal market through global trading houses should the economics be attractive.
Masama’s ˜120km2 project area allows Minergy to simultaneously operate on various sections of the large resource in order to supply several markets. Sufficient working infrastructure is close to the resource to transport coal within Botswana and to ensure that the regional markets to the north, south, east and west of the resource can easily be accessed.
Marketing of coal takes special skills and the extensive experience of its Management team will allow it to successfully capture a significant component of the regional coal market.
Minergy is furthermore well positioned to supply coal product from its Masama resource to utilities and Independent Power Producers (IPPs) seeking to contribute to a growing regional baseload power requirement should the opportunity arise.