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Sasol is replacing ageing mines

Sasol invited media to a tour on 6 May.

SECUNDA – Sasol expects its R15 billion coal mine replacement project to be completed next year.

The company is replacing the ageing mines that were built in the 1980s with three new underground mines.

These mines are set to maintain the firm’s coal mining production of 40 million tons a year.

It aims at replacing 60 per cent of Secunda’s coal producing capacity.

Mr Peter Steenkamp, Sasol Mining’s senior vice-president, told the media during a tour on 6 May that the replacement project is a major boost for local mining.

The R3bn Ithubelisha Colliery has been up and running since 2012 when it replaced Twistdraai and was the first of the three to come on line.

Sasol is also constructing the Shondoni Colliery to replace the old Middelbult Mine for R5bn and will produce about 10.5 million tons a year from the second half of this year.

The R4.7bn Impumelelo Mine, which replaced the Brandspruit Colliery, is ramping up production and will deliver up to 10.5 million tons of capacity a year.

The original cost of the Impumelelo Mine was R4.3bn.

Sasol has also spent R1.4bn on the Syferfontein Mine.

As part of the Social Labour Plan, Sasol has spent R417 million on building houses, roads and community centres.

The group has also spent R275m on other project-related capital expenditure for the main projects.

The projects have had challenges, including a strike by sub-contractors at Shondoni over wages and a fatality at Impumelelo last year.

Mr Steenkamp said the project has a 28km conveyor belt which is marked as the longest single flight conveyor belt in the southern hemisphere.

The coal will be produced for its Synfuels division, and about 3 million tons of high quality coal is to be exported.

The media asked Mr Steenkamp if this will result in retrenchments and people losing jobs.

He said about 3 000 jobs will be retained as a result of the project and another 1 000 jobs were created during the construction phase.

“Employees from the ageing mines who face closure have been redeployed to the new mines.”

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