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South Africa
Vanggatfontein Mine

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 Location:
76 km SW from Middelburg, South Africa

  Address:
Off the Van Dyksdrift Road, the farm Goedehoop
Mpumalanga
Middelburg
South Africa
1050
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  • Overview
  • Owners
  • Geology
  • Mining
  • Processing
  • Production
  • Reserves
  • Costs & Financials
  • Personnel
  • Filings & News

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Overview

StatusCare and Maintenance
Mine TypeOpen Pit
Commodities
  • Coal (thermal)
  • Coal (metallurgical & thermal)
  • Coal (metallurgical)
Mining Method
  • Strip mining (roll-over)
  • Truck & Shovel / Loader
  • Backfill
Production Start...
Mine Life6 years (as of Jan 1, 2022)
Vanggatfontein Colliery produces coal for the national utility Eskom. The metallurgical coal produced is sold on an ad hoc basis to various domestic metallurgical customers.

The one-year extension to the original Eskom contract has expired. Salungano is in the process of securing a new offtake agreement with Eskom.

Salungano deemed it prudent to place the mine on care and maintenance in March 2022 pending engagements with Eskom on the extension of the coal supply agreement (“CSA”), which required that the entire Vanggatfontein resource be dedicated to the power utility.


Owners

Source: p. 6,56
CompanyInterestOwnership
Salungano Group Ltd. 100 % Indirect
Vanggatfontein is an opencast coal mining operation, 100% owned by Salungano.

Contractors

Subscription required - Subscription is required.


Deposit Type

  • Sedimentary


Summary:

The Elandspruit, Khanyisa, Vanggatfontein and Moabsvelden Collieries are located within the Witbank Coalfield. The northern extent of the Coalfield is defined by the limit of coal-bearing sediments of the Vryheid Formation which abut against pre-Karoo basement rocks of the Transvaal Sequence, the Waterberg Group and Bushveld Complex. The southern limit of the central sector of the Coalfield is marked by a series of Bushveld Complex inliers known as the Smithfield Ridge while in the east and west sectors, the boundary between the Witbank Coalfield and the Highveld Coalfield to the south is somewhat arbitrary. The five major coal seams of the coalfield are contained within a stratigraphic interval averaging approximately 70m in thickness. The seams are numbered, from the base upwards and include the No. 1 Coal Seam, the No. 2 Coal Seam (split into the No. 2 Lower Coal Seam and No. 2 Upper Coal Seam), the No. 3 Coal Seam, the No. 4 Coal Seam (split into the No. 4 Lower Coal Seam and No. 4 Upper Coal Seam) and the uppermost No. 5 Coal Seam. Locally, three coal seams are developed across the licence area – namely the No. 5 Seam, No. 4 Seam, and the No. 2 Seam. Within the opencast resource areas, the No. 2 and No. 4 Seams are the primary economic targets, with the addition of the No. 5 Seam where present. No. 2 Seam The No. 2 Seam is the bottom most economic coal seam. The No. 2 Seam sequence includes the succession from the top of the Transvaal Supergroup basement to the top ........


Mining Methods

  • Strip mining (roll-over)
  • Truck & Shovel / Loader
  • Backfill


Summary:

Vanggatfontein is an open cast coal mining operation that mines the No.5, No.4 and No.2 Coal Seams using truck and shovel rollover mining methods at an average rate of 340,000tpm run of mine (ROM). Vanggatfontein is currently operated as an opencast mining operation based on contractor truck and shovel strip mining and rollover methodology. Opencast mining at Vanggatfontein contributed to the 2.98 Mt ROM being extracted during FY22. Box cut operations at the VG5 pit are completed and the pit is progressing towards steadystate operation. The Vanggatfontein underground section construction phase on the WRB will commence with the construction of the Coal Handling and Processing Plants, followed by the construction of the underground access. The mine was placed under care and maintenance at the end of February 2022, the mine has made a strategic decision to establish its own hybrid mining capability commencing with own equipment, supplemented by additional contractors and outsourcing of key support functions which includes maintenance with drill and blasting. As at 18 July, the mine was still recruiting operators with no specific time estimate to commence operations.


Crushing and Grinding
Source: Subscription required


Processing

Flow Sheet: Subscription required

Summary:

- subscription is required.


Operational Metrics:

Metrics202220212020201920182017
Stripping / waste ratio  ......  Subscription required  ......  Subscription required  ......  Subscription required3.56
Coal tonnes mined  ......  Subscription required  ......  Subscription required  ......  Subscription required2.7 Mt of ROM coal2.4 Mt of ROM coal2.7 Mt of ROM coal
Raw coal annual capacity  ......  Subscription required  ......  Subscription required  ......  Subscription required4 Mt4 Mt
Waste  ......  Subscription required  ......  Subscription required  ......  Subscription required
Subscription required - Subscription is required.

Reserves at March 31, 2022:
Coal Reserves:
Opencast: minimum seam thickness for OC areas – 0.5m, Raw ASH of 50%.
Underground: seam cut-off minimum 2m and Minimum Volatiles 18%. Maximum mineable seam height – 4.8m.

For Coal Resources Cut-offs Applied: minimum seam thickness cut-off of 0.5m (opencast), 1.8m underground; Raw Ash cut-off > 50% (adb).

CategoryOreTypeTonnage CommodityMarketable Coal
Proven In-Situ (OP) 14.14 Mt Coal (metallurgical & thermal) 9.3 Mt
Probable In-Situ (UG) 3.61 Mt Coal (metallurgical & thermal) 3.61 Mt
Proven & Probable Total 17.75 Mt Coal (metallurgical & thermal) 12.91 Mt
Measured In-Situ (OP) 8.99 Mt Coal (metallurgical & thermal)
Measured In-Situ (UG) 6.6 Mt Coal (metallurgical & thermal)
Indicated In-Situ (OP) 5.38 Mt Coal (metallurgical & thermal)
Total Resource Total 20.96 Mt Coal (metallurgical & thermal)

Commodity Production Costs:

CommodityUnits2019
Total cash costs Coal (metallurgical & thermal) ZAR  ......  Subscription required

Financials:

Units20212020201920172016
Capital expenditures M ZAR  ......  Subscription required  ......  Subscription required  ......  Subscription required 400  
Revenue M ZAR 1,103   1,032  
Operating Income M ZAR 177.9  
EBITDA M ZAR 190   620.2  
Subscription required - Subscription is required



Heavy Mobile Equipment:

Mine Management:

Job TitleNameProfileRef. Date
....................... Subscription required ....................... Subscription required Subscription required Nov 14, 2022
....................... Subscription required ....................... Subscription required Subscription required Nov 14, 2022
Subscription required - Subscription is required.

Staff:

EmployeesContractorsTotal WorkforceYear
Subscription required Subscription required Subscription required 2022
Subscription required Subscription required Subscription required 2021
Subscription required Subscription required Subscription required 2020
Subscription required Subscription required Subscription required 2019
Subscription required Subscription required Subscription required 2018
Subscription required 2017
Subscription required 2016
Subscription required 2015

Corporate Filings & Presentations:

DocumentYear
Integrated Report 2022
Year-end Mineral Reserves 2022
................................... Subscription required 2021
................................... Subscription required 2021
................................... Subscription required 2021
................................... Subscription required 2020
................................... Subscription required 2020
................................... Subscription required 2019
................................... Subscription required 2019
Corporate Presentation 2018
Technical Report 2017
Annual Report 2016
Subscription required - Subscription is required.

Subscription required - Subscription is required.

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