MC Mining Limited yesterday, 13th July 2021, announced suspension of operations at its 70%-owned Uitkomst colliery. They cited civil unrest in the KwaZulu-Natal province in South Africa as reason for the action.
The civil unrest has been reportedly associated with recent imprisonment of former President Jacob Zuma. The KwaZulu-Natal region, that hosts the Uitkomst colliery, is one of the areas that have been marred with protests, road blockages and random attacks. Transport vehicles have been targeted making the area unsafe especially owing to the fact that majority of the Uitkomst mine employees and contractors reside around the KwaZulu-Natal area.
MC Mining’s interim CEO, Sam Randazzo, in the media statement said the company prides itself in ensuring safety of their workers.
“Our first priority is the safety of our employees and contractors and we have taken this immediate action to protect their well-being. Temporarily halting the colliery operations should also discourage activists from entering the Uitkomst site.”
Randazzo expressed optimism and faith in the authorities saying that once the situation would better, operations at the mine will restart.
“Authorities have deployed security forces to areas where protests are occurring, and we remain hopeful of a speedy resolution so that our employees and contractors can return to work and for recommencement of operations at the Uitkomst colliery.”
According to the mining company, the situation remains fluid and company management will keep monitoring developments.
This announcement was approved by the Company’s Disclosure Committee and is inside information for the purposes of Article 7 of Regulation 596/2014.
About MC Mining Limited
MC Mining is an AIM/ASX/JSE-listed coal exploration, development and mining company operating in South Africa. MC Mining’s key projects include the Uitkomst Colliery (metallurgical and thermal coal), Makhado Project (hard coking coal). Vele Colliery (semi-soft coking and thermal coal), and the Greater Soutpansberg Projects (coking and thermal coal).