Ndalamo Resources to purchase Wonderfontein coal mine
Ndalamo Resources, a South African mining company, has completed the acquisition of the Wonderfontein coal mine in Mpumalanga from Umsimbithi Mining. This deal marks a significant milestone for Ndalamo, as Wonderfontein becomes its first fully owned operational mine. The acquisition strengthens Ndalamo’s position in the coal sector and aligns with its broader strategy of growth and diversification.
The Wonderfontein mine has been in operation since 2012, initially as an underground mine before transitioning to an open-cast truck-and-shovel operation in 2013. It currently operates at a peak mining rate of 4.2 million tonnes per annum (mtpa) and is expected to remain productive until 2030. The mine’s operating license extends until June 2037, giving Ndalamo a stable and long-term operational outlook.
Wonderfontein mine
Shammy Luvhengo, CEO of Ndalamo Resources, highlighted the benefits of the acquisition, emphasizing that it allows the company to operate independently without the limitations of joint ventures. Wonderfontein includes a coal processing plant capable of handling 300,000 tonnes per month and a railway siding equipped to handle Richards Bay Coal Terminal (RBCT) jumbo-size wagons, which strengthens Ndalamo’s export potential. Luvhengo also stressed the company’s focus on maintaining profitability through strategic investments and exploring new markets beyond Eskom.
While coal remains central to Ndalamo’s operations, contributing up to 70% of its future production, the company is actively exploring opportunities in other commodities and renewable energy. Luvhengo reaffirmed Ndalamo’s commitment to responsible mining practices and sustainable growth, ensuring that the company’s expansion benefits both stakeholders and the environment.
This acquisition comes at a time when South African coal and iron ore exporters are working toward securing multi-billion rand agreements with Transnet to repair critical rail infrastructure and improve export efficiency. These improvements could enhance Ndalamo’s ability to transport coal to global markets, reinforcing the company’s long-term growth strategy.
