Times Of Swaziland: MPAKA COAL MINE TO REOPEN AFTER 29 YEARS

MPAKA COAL MINE TO REOPEN AFTER 29 YEARS
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BY NHLANGANISO MKHONTA on 06/10/2021 08:34:00


MBABANE - Lurco Coal Eswatini has been granted a prospecting licence for coal
resources at Mpaka Coal Mine in the Lubombo Region.
Lurco Eswatini is a subsidiary of Magni Investment Holdings (MiH). Ellington
Nxumalo, co-founder of MiH, met with Eswatini Mining Commissioner, Robert Biyela
on Monday to ink the agreement. Also witnessing the signing of the agreement
were Eswatini Mining board members including its Chairperson Prince Guduza and
other members in Sam Ntshalintshali, Gideon Gumede and Princess Lomajuba.
Others who were also present were MiH co-founder Aubrey Chauke, Commisioner of
Mines Robert Biyela, and Lurco Eswatini Director Mlungisi Dlamini.
Accordings to Nkululeko Dhlamini, MiH’s Accounts Manager, MiH will commence
feasibility and exploration over the next few weeks and expects the timeline
from this phase through construction to implementation to take between 24 to 36
months. Mpaka Coal Mine was last operated in 1992, having been mothballed after
the previous owner exiting the Eswatini market.
Dhlamini said the nature of the coal is suitable for smelters, steel and cement
industries and will bolster the country’s participation in the export market
and create employment opportunities particularly for the youth.
Minister
Minister of Natural Resources and Energy Peter Bhembe said as custodians of the
mineral resources of the Kingdom of Eswatini, his ministry worked to facilitate
the creation of prosperity for all stakeholders through the promotion of the
sustainable development and responsible exploitation of the country’s mineral
wealth.
Eswatini’s National Development Strategy sets out the long-term development
programmes that will move the country towards the improvement in livelihood
standards of the people by 2022.
It was further noted that while much has been achieved, the African Development
Bank (AfDB) reports that a large proportion of the Eswatini population was not
participating in the mainstream economy as the current economic growth was not
pro-poor and unemployment remains high. Dhlamini said MiH believed that the
Mpaka Coal Mine, once it was up and running efficiently, could be an important
single point contributor to addressing this issue in Eswatini.
Inclusive
He said MiH was committed to delivering stakeholder value by creating inclusive
economies through the responsible beneficiation of mineral resources. He said
the company strives to add value locally, prioritising positive social impact
and the inclusion of local people and communities in its operations. He said
this would be achieved primarily via job creation, skills transfer, enterprise
development, preferential procurement and share allocations to local communities
and employees.
“Consequently, MiH plans to meet with the Mpaka community to outline plans and
timelines, undertake a needs assessment, answer questions, and agree on the way
forward,” he added. Ellington Nxumalo, co-founder of MiH said, “Once up and
running, we intend for Mpaka Coal Mine to contribute significantly to the local
economy through employment, skills development and the creation of sustainable
local value chains. We are currently in the exploration and feasibility stage,
which is critical to scoping the scale of the operation.” He (Nxumalo) said
once all stages were completed they would be in a better position to quantify
our local impact commitments.
He said, however, as MiH, they anticipated that most roles would be sourced from
local hires, and wherever possible, this would include those requiring special
skills. He said over time, they also planned for a community bursary scheme to
ensure that local community members interested in mine-specific training and
development could have the opportunity to follow their dreams.