HOLGOUN THERMAL COAL PROJECT

Canyon Springs will be developed as an open pit mine with the production of thermal coal for local power stations and coal for the export market.

HolGoun is the managing shareholder in Canyon Springs Investments 82 (Pty) Ltd (CSI) which has been granted a mining right for coal in respect of an area of some 20,590ha in the Springbok Flats region, located approximately 140 kilometres north east of the city of Tshwane, in the province of Mpumalanga.
Canyon Springs will be developed to produce ~1.5 million tonne per annum of coal to local power stations and the domestic market with CV’s ranging from 20 to 26. The mine design prioritises accessing the shallower coal at the start of the project, which can be accessed by opencast mining methods.  The operation has been designed as a conventional truck and shovel strip mining operation. The design of the coal processing plant is based on a modular concept to maximise availability.
The life of mine is estimated to be sixteen (16) years, based on the current mine planning and scheduling.