Seriti hands over a state-of-the art primary healthcare centre for the Rockdale community
Johannesburg, 18 June 2021: Today, Seriti Power handed over the 24-hour state-of-the-art Rockdale community healthcare centre to the Mpumalanga Department of Health in the Steve Tshwete Local Municipality. Seriti Power was formerly South African Energy Coal. The centre, which is already operational, was built at a cost of more than R34 million, and forms part of Seriti Power’s Social and Labour Plan (SLP) commitments, and its contribution towards Local Economic Development in the area.
The community healthcare centre provides Acute, Chronic and Maternal and Child Health services – and boasts a fully equipped dental department and two living quarters to accommodate staff offering the 24-hour service to the community.
Mike Teke, Seriti Chief Executive Officer said: “We are committed to supporting our neighbouring communities and work collaboratively to enhance government’s delivery of primary healthcare and community health and wellness.”
The completion of the clinic was expedited to assist with the management of the Covid-19 pandemic within the community and beyond.
The decision to invest in the construction of the clinic was taken after extensive participation in the Steve Tshwete Local Municipality’s Integrated Development Planning (IDP) process that ensures that projects sponsored by mining companies are linked to government’s development priorities.
“We recognise that local communities face many challenges, and we undertake regular, open and honest conversations to better understand what our stakeholders need, and how we can support them as a local champion in the area,” Mike said.
The construction of this project created 80 job opportunities for local community members, more than 50% of whom were young people. Seriti enlisted the services of a local project management company which is 100% Black Woman Owned with a disability. This company together with a local construction company which is also 100% Black Women Owned were appointed to manage the delivery and execution of this project.
For further information please contact:
Hulisani Rasivhaga
+27 83 370 2327
NOTE TO EDITORS:
About Seriti:
Seriti Resources Holdings is a broad-based, 91% black-owned and controlled coal mining company.
Seriti’s subsidiary, Seriti Coal operates three large-scale, opencast and underground thermal coal mines – the New Vaal, New Denmark and Kriel collieries, which respectively supply Eskom’s Lethabo, Tutuka and Kriel power stations. The New Largo mine is currently under development, to meet the needs of the adjacent Kusile power station.
On 1 June 2021, Seriti acquired the operations of SA Coal Holdings Proprietary Limited (SAEC) from South32, bringing into the fold four additional mines – the Khutala, Klipspruit, and Middelburg Mines Services (MMS) North and South mines, which provide coal to the Kendal and Duhva power stations, as well as export coal via the Richards Bay Coal Terminal.
Seriti is co-owned by four anchor shareholders – Masimong Group Holdings (Masimong), Community Investment Holdings (CIH), Zungu Investments (Zico) and Thebe Investment Corporation (Thebe). It is Seriti’s philosophy that 10% of the equity in its mining operations be ring-fenced equally for the benefit of employees and communities through established unencumbered employee and community trusts.
As a responsible South African coal miner, Seriti has a proven track record in the acquisition, operation and development of large-scale opencast and underground coal mines. Guided by experienced board and management teams, Seriti maintains a principle focus on its long-term commitment to the domestic market and, in particular, the reliable and cost-effective provision of coal to Eskom.
Further information on Seriti can be found at www.seritiza.com
Seriti assumes management of SAEC renames entity: Seriti Power
Johannesburg, 1 June 2021: Following the fulfilment on 15 May 2021 of all conditions precedent in respect of Seriti’s acquisition of South32 SA Coal Holdings Proprietary Limited (SAEC), Seriti is pleased to advise that the transaction has now closed and that it has assumed management of these operations from 1 June 2021.
SAEC has been renamed Seriti Power, and comprises the Khutala, Klipspruit, and Middelburg Mines Services (MMS) North and South mines, which provide coal to the Kendal and Duhva power stations, as well as export coal via the Richards Bay Coal Terminal. Seriti holds a 90% interest in Seriti Power, while an Employee Trust and Community Trust each hold a 5% interest.
Seriti CEO Mike Teke said: “This is an important milestone for Seriti and for the more than 8,000 employees that we welcome into the Seriti family. We are confident of continuing to supply sustainable, reliable and cost-effective coal to Eskom, as we play our role in ‘keeping the lights on’ in South Africa.”
For further information please contact:
Alan Fine
+27 83 250 0757
alan@rasc.co.za
Charmane Russell
+27 82 372 5816
charmane@rasc.co.za
NOTE TO EDITORS:
About Seriti:
Seriti is a broad-based, 91% black-owned and controlled coal mining company. Seriti, through its operating subsidiary, Seriti Coal Pty Ltd, currently operates three large-scale, opencast and underground thermal coal mines, the New Vaal, New Denmark and Kriel mines, which it acquired from Anglo American, as well as various life extension coal resources and closed collieries. Together with its partners, Seriti intends to develop its New Largo project into a large-scale, opencast coal mine capable of providing the base load fuel requirements for Kusile Power Station.
Seriti is co-owned by four anchor shareholders – Masimong Group Holdings (Masimong), Community Investment Holdings (CIH), Zungu Investments (Zico) and Thebe Investment Corporation (Thebe). It is Seriti’s philosophy that 10% of the equity in its mining operations be ringfenced equally for the benefit of employees and communities through established unencumbered employee and community trusts.
As a responsible South African coal miner, Seriti has a proven track record in the acquisition, operation and development of large-scale opencast and underground coal mines. Guided by experienced board and management teams, Seriti maintains a principle focus on its long-term commitment to the domestic market and, in particular, the reliable and cost-effective provision of
coal to Eskom.
Seriti to conclude acquisition of SAEC from South32
Johannesburg, 17 May 2021: Seriti Resources is pleased to confirm that all conditions precedent to its acquisition of South32 SA Coal Holdings Proprietary Limited (SAEC) have been fulfilled, and the sale is expected to be completed on 1 June 2021. The new shareholders of 100% of SAEC will be Seriti Resources (90%), and the SAEC Employee and Community Trusts (5% each).
Since signing in November 2019, this transaction has been subject to various conditions precedent that have required, amongst others, the approval of the Competition Tribunal, the Minister of Mineral Resources and Energy, Richards Bay Coal Terminal and Eskom.
Seriti CEO Mike Teke said: “The closure of this transaction is a significant milestone for Seriti and our employee and community trusts. It will secure a sustainable, reliable and cost-effective coal supply solution to Eskom, and at the same time bring opportunities for further synergies and optimisation within Seriti. This is a further demonstration of our commitment to South Africa and to the industry.”
Mr Teke acknowledged the support of South32 and Eskom in achieving the fulfilment of conditions to the transaction, noting particularly the provision by South32 of a facility of up to US$50 million to fund the restructure of loss-making mining areas. South32 will provide US$200 million over 10 years to fund SAEC’s historic environmental rehabilitation and closure liabilities. South32 will also adjust the upfront payment to a nominal amount and forgo the deferred consideration previously envisaged under the announced sale agreements.
Eskom and Seriti have also agreed to a number of proposals to improve the long-term, sustainable and cost-effective supply of coal to Eskom, including commitments for continued supply from the Kriel and New Largo mines. Seriti will also make infrastructure available to facilitate supply to Eskom’s power stations.
Eskom has agreed to amend the existing terms and conditions stipulated in the Duhva Coal Supply Agreement, which is currently loss-making, adjusting the coal price to R550 per ton with effect from 1 June 2021, with an annual escalation (from 1 January 2022) in line with the Producer Price Index. The agreement will run until 31 December 2024.
Seriti will be engaging with employees and unions, with community structures, with the regulator and municipal officials in the coming weeks leading up to the closure of the transaction.
For further information please contact:
Alan Fine
+27 83 250 0757
alan@rasc.co.za
Charmane Russell
+27 82 372 5816
charmane@rasc.co.za
NOTE TO EDITORS:
About Seriti:
Seriti is a broad-based, 91% black-owned and controlled coal mining company. Seriti, through its operating subsidiary, Seriti Coal Pty Ltd, currently operates three large-scale, opencast and underground thermal coal mines, the New Vaal, New Denmark and Kriel mines, which it acquired from Anglo American, as well as various life extension coal resources and closed collieries. Together with its partners, Seriti intends to develop its New Largo project into a large-scale, opencast coal mine capable of providing the base load fuel requirements for Kusile Power Station.
Seriti is co-owned by four anchor shareholders – Masimong Group Holdings (Masimong), Community Investment Holdings (CIH), Zungu Investments (Zico) and Thebe Investment Corporation (Thebe). It is Seriti’s philosophy that 10% of the equity in its mining operations be ringfenced equally for the benefit of employees and communities through established unencumbered employee and community trusts.
As a responsible South African coal miner, Seriti has a proven track record in the acquisition, operation and development of large-scale opencast and underground coal mines. Guided by experienced board and management teams, Seriti maintains a principle focus on its long-term commitment to the domestic market and, in particular, the reliable and cost-effective provision of
coal to Eskom.
PODCAST: The R1 deal that could make or break South Africa
Publication: BusinessLIVE.
Author: Peter Bruce.
In this latest edition of Podcasts from the Edge, Peter Bruce talks to Seriti Resources CEO Mike Teke about the choppy waters suddenly surrounding the agreement to take over the vast coal-mining resources of South32.
Combined with the Anglo American coal business Seriti has already acquired, the South32 mines would make Mike Teke the biggest single coal-supplier to Eskom, SA’s debt-drunk power utility. But there’s a problem — one of the South 32 mines supplies directly to Eskom’s critical Duvha power station and it loses money with every delivery.
Teke says he won’t do the deal until Eskom agrees a better coal price for the supplying mine. The National Treasury won’t give it permission to pay. But without the mine Duvha would close and that would bring even more chaos to the power grid.
What is to be done? South 32, desperate to get rid of the assets, has since offered Seriti $250m over the next decade. That’ll help, says Teke but he still wants to hear what the Treasury does with a second approach from Eskom. He wants the current price of R280/t of coal increased to R550 a tonne. That may sound a lot but Teke reminds Bruce that coal export prices are now well above R1000/t. A deal will be done, says Teke, and he’d even be prepared to share ownership of the Duvha mine if one of the many losing bidders for the South 32 assets would like to try their luck.
Seriti Statement on SAPS Complaints
13 April 2021, Johannesburg: Seriti Resources continues to note reports in the media about the affidavits submitted in support of complaints to the SAPS regarding various aspects of the transaction where Seriti is in the process of acquiring South32’s SA Energy Coal (SAEC) business. The complaints purportedly relate to the proposed amendment of the coal supply agreement (CSA) between Duvha power station and the adjacent colliery (MMS) currently owned by SAEC and part of the transaction. The two complaints have been lodged by National Union of Mineworkers (NUM) acting general secretary William Mabapa and SA Federation of Trade Unions (Saftu) general secretary Zwelinzima Vavi respectively.
Seriti believes the complaints are vague and lack any foundation. It is questionable whether they are worthy of reportage at all. At the very least, any assessment of the complaints should consider the motivation behind them.
Seriti is particularly confused at the rationale for the NUM’s complaint, given that the union was invited to comment on the transaction by the Competition Commission during the merger investigation in 2019 and 2020. In fact, the NUM participated in the merger investigation, made submissions to the Competition Commission and did not object to the approval of the transaction. This was at a time when it was already clearly stated in public transaction documents that an amendment of the terms of the Duvha CSA agreement to render the contract sustainable was one of several preconditions for the finalisation of the sale.
This fact also renders inaccurate acting NUM general secretary Mr Mabapa’s statement in clause 10.5 of his sworn affidavit that: “In the Competition Commission hearings, South32 only invited the unknown trade union UASA to the hearings. This is in essence basically a white union, but the Commission appears to have deliberately excluded the black trade unions NUM and Numsa, which represent the overwhelming majority of South32 workers”.
Mr Vavi’s political or personal agenda for becoming involved in this matter is unclear since we maintain that there is no evidence supporting his allegations.
To attempt, as they and certain journalists have done, to conflate a legitimate and exhaustively analysed commercial transaction such as this with regrettable past events of State Capture, without proper investigation or any evidence, is unacceptable.
Seriti will co-operate fully with the SAPS if these complaints are investigated further, but maintains that there is no merit to the complaints. We believe that those persons who seek to abuse South Africa’s prosecutorial processes for narrow political or personal ends should be held responsible for this.
According to Seriti CEO Mike Teke: “Seriti was formed by four formidable black shareholders who share a simple mission, which is to empower all its stakeholders through proper value creation. Our commitment to South Africa is to contribute to strengthening the energy sector through reliable and sustainable operation of coal mines that supply Eskom.
We take exception to the ill-informed and malicious rumours and unfounded speculation, not supported by any evidence which have been circulated and which are being pushed by unnamed individuals pursuing hidden vested interests. However, in the long run this transaction is good for South Africa and for Eskom, in that it ensures continued supply of coal by a reputable miner.
Seriti comprises a capable team of professionals who understand mining, understand mining systems, understand procurement and understand the proper running of a business. We wish to complete this transaction and put in place our plan to turn SAEC around and grow and diversify Seriti’s business. Those opposed to this transaction are motivated by self-interest and not the
interests of the country.
We will not allow our country to be plundered. South Africa need a secure and sustainable energy supply”, Mr Teke concludes.
The facts to be borne in mind in connection with the proposed transaction are that:
- the Duvha CSA has been a loss-making contract for a number of years and in the past two years those losses have become so great that the viability of the whole of SAEC’s business is in danger;
- SAEC and Eskom had been in discussions regarding the economic hardship experienced by SAEC in connection with the supply to Duvha well before any contract was signed with Seriti;
- the coal mine that supplies coal to Duvha is a mine-mouth operation, that is to say the boilers at Duvha are designed to burn coal of the quality at that mine and the coal is delivered to Duvha via a conveyor belt;
- these factors mean this supply of coal to Duvha is the most cost effective, safe and reliable supply of coal even after taking into account the price increase Eskom has requested from National Treasury;
- the price adjustment sought by Eskom as part of its approval of the proposed transaction was made after a year-long process of assessment of the hardship claim made by
SAEC, as well as the extensive due diligence of Seriti’s business and shareholders; - Seriti participated in a lengthy competitive bidding process conducted by South32 and its advisers and made complete disclosure of its shareholders, business operations and plans for operating SAEC in the future;
- Eskom and South32’s investigation and assessment of Seriti’s business and proposals to remedy the loss-making position at SAEC were painstaking and extensive and carried out by independent and reputable advisers;
- the price increase sought for the supply to Duvha is not a favour as some would spuriously suggest – it is justifiable and necessary;
- similarly, the Competition Commission and Tribunal investigated the proposed transaction and Seriti’s businesses for over a year;
- in order to ensure the supply to Duvha is put on a sustainable footing and to manage environmental rehabilitation when the mine closes, South32 has announced that it is committing billions of Rands to support SAEC’s business after the sale.
The overarching point is that it is in Eskom’s interests that suitable quality coal in sufficient quantities be supplied to Duvha power station on a sustainable cost basis. The coal required at Duvha cannot be met by trucking in coal at this point in time, even if it would be cheaper or safer to do so (which it is not, according to our analysis). The unavoidable solution to the supply of coal to Duvha is to require an adjustment to the price of coal to reflect the true and fair cost of production and implement various cost saving measures, failing which the mine and possibly SAEC will have to shut down. If that is the case the consequences for employees of SAEC and Duvha and the country as a whole during the power supply crisis we are experiencing will be severe. This is a situation that must and can be avoided.
As we have noted before, Seriti’s proposals to Eskom are to render SAEC’s supply to Duvha power station as a break-even operation until 2024. 2024 is a long-standing date in the Duvha CSA which pre-dates the proposed transaction. It is in South Africa’s interest that Duvha continue to operate during our power crisis and all these steps are intended to ensure that is the case, without undue profiteering. Eskom has seen fit to submit its request to National Treasury because there is a sound rationale for doing so.
Without the approval of Eskom and National Treasury, the transaction will not proceed. It is in this light that the recent public statements in the media (which we maintain are inaccurate) should be seen.
For further information please contact:
Alan Fine
+27 83 250 0757
alan@rasc.co.za
Charmane Russell
+27 82 372 5816
charmane@rasc.co.za
NOTE TO EDITORS:
About Seriti:
Seriti is a broad-based, 91% black-owned and controlled coal mining company. Seriti, through its operating subsidiary, Seriti Coal Pty Ltd, currently operates three large-scale, opencast and underground thermal coal mines, the New Vaal, New Denmark and Kriel mines, which it acquired from Anglo American, as well as various life extension coal resources and closed collieries. Together with its partners, Seriti intends to develop its New Largo project into a large-scale, opencast coal mine capable of providing the base load fuel requirements for Kusile Power Station.
Seriti is co-owned by four anchor shareholders – Masimong Group Holdings (Masimong), Community Investment Holdings (CIH), Zungu Investments (Zico) and Thebe Investment Corporation (Thebe). It is Seriti’s philosophy that 10% of the equity in its mining operations be ringfenced equally for the benefit of employees and communities through established unencumbered employee and community trusts.
As a responsible South African coal miner, Seriti has a proven track record in the acquisition, operation and development of large-scale opencast and underground coal mines. Guided by experienced board and management teams, Seriti maintains a principle focus on its long-term commitment to the domestic market and, in particular, the reliable and cost-effective provision of
coal to Eskom.
MIKE TEKE: Transition from coal is required, but must be just and managed well
Publication: BusinessDay.
Author: Mike Teke.
Beyond the domestic supply of the fossil fuel to Eskom for electricity generation, exports remain vital
It takes some courage to write about coal and its future if you are suggesting it has a future. I have plucked up the courage to do it.
In Kwa Thema, where I grew up, the coal merchants were among the people who managed and led businesses when apartheid was rife, whether small operators with a horse and a cart, mid-tier operators with two tonne bakkies, or big operators with large trucks.
As a young boy I thought coal was for household heating. Why would I have known of a power station if there was no electricity in my home?
Almost every home in Kwa Thema had a coal stove. I remember my uncle struggling to raise money to buy a new “smokeless” coal stove. The concern about the impact of coal on the environment and health has long been with us.
In 1912, New Zealand’s Rodney and Otamatea Times printed an article titled “Coal Consumption Affecting Climate”. It warned us that earth’s atmosphere was changing because of the ramping up of the production of fossil fuels.
In those days the Witbank mines attracted employees far and wide. Literally and figuratively, they fuelled SA’s economy.
So why do we still believe in coal?
We are a country well-endowed with mineral resources and coal is abundant. In 2020 the country produced 252-million tonnes of coal, generating sales of R133bn. About 36% of this value was exported, generating foreign exchange. The industry employed 91,000 people, who in turn earned about R1.7bn. Royalties alone from coal mining paid to the fiscus amounted to about R1.7bn.
SA will continue to depend on coal for 60 more years, but the level of its dependence will reduce significantly as we usher in renewables and other forms of energy generation. Our economy will thrive and be versatile once we get the energy mix right.
Beyond the domestic supply of coal to Eskom for electricity generation, coal exports remain a strong area of focus.
Climate change and global warming is real. SA is aware of the risks and that coal contributes to this effect. The need to change is imperative. This must be a just and managed transition.
Activists lobby
SA’s Integrated Resources Plan says that from 2019 about 72% of our electricity was generated by coal. By 2030, if all goes according to plan, only 43% of our electricity will be coal generated. The remaining 57% will come from solar, wind, hydro, nuclear and other clean forms of energy. This change must be embraced by all, even though it is daunting.
On a 2019 visit to coal mines in the US I saw how not to do it. While the US embraces gas, solar, wind and other clean energy, activists lobby for the closure of coal-fired plants. This creates tensions that sap energy and promote acrimonious relationships.
The oddity is that the US closes only coal-fired power plants and not coal mines. Their coal mines continue to export coal to other countries. If they wish to discontinue the use of coal as a country they must also stop exporting coal.
SA coal miners fully understand that the role of coal in electricity generation will continue to diminish. But it must be managed responsibly.
As coal miners we must acknowledge that we must not leave the next generations with a destroyed environment. We are not climate-change denialists. Rather, we are climate-change realists, intent on pursuing a path that does the right thing, for as many people as possible. SA did not pull out of the Paris agreement as the US did.
Manage emissions
The various stakeholders should work together to look for opportunities to create new jobs to replace those that will be lost during this transition, through reskilling for the new world of renewables and a cleaner energy environment. Several coal-mining companies aim to diversify, to look for acquisitions in the renewables space.
Some people think the term “clean coal” is a paradox. At first glance that may be, but there is such a thing as “cleaner” coal. Recently developed coal-fired power stations globally are equipped with great technologies that manage the negative effects on our environment. Old coal-fired power stations can be retrofitted with technologies to manage carbon emissions.
Technologies such as carbon capture utilisation and storage are being extensively investigated and researched. Would a coal-fired power plant such as Lagisza, Poland, work on the African continent to take advantage of the abundance of coal? Lagisza is known as the world’s first plant to use supercritical circulating fluidised bed technology, which puts out extremely low emissions.
The World Coal Association and the Association of Southeast Asian Nations (Asean) Centre for Energy are collaborating to support the advancement of clean-coal technologies in the Asean region. It is not all doom and gloom for the coal industry. Through innovation and forward thinking, we can and will find ways to use our resources responsibly.
Coal will remain central to our electricity generation for decades. But we should take along our citizens as we transcend from fossil fuel dependency to more sustainable, environmentally friendly forms of electricity generation. Beyond reskilling of workforces, it is imperative to educate citizens regarding this transition.
The coal industry must embrace this change to assist the world to achieve its goals related to the combating of global warming.
WATCH: How Seriti is getting closer to being Eskom’s largest coal supplier
Publication: Business Day.
Author: Business Day TV.
Seriti Resources CEO Mike Teke talks to Business Day TV about the group’s proposed acquisition of South32’s SA Energy Coal
Seriti Resources is one step closer to becoming Eskom’s largest coal supplier.
The Competition Commission has recommended that the Competition Tribunal approve the group’s proposed acquisition of South32’s SA Energy Coal.
Business Day TV caught up with Seriti Resources CEO Mike Teke for more detail.
Seriti welcomes competition commission's recommendation to approve transaction to acquire SAEC from SOUTH32
Johannesburg, 7 September 2020: Seriti Resources welcomes the recommendation by the Competition Commission to the Competition Tribunal of the conditional approval of the transaction in terms of which a wholly-owned subsidiary of Seriti and two trusts representing employees and communities will acquire South Africa Energy Coal (SAEC) from South32. The Tribunal’s consideration of the recommendation is now awaited.
Seriti remains committed to sustaining and supporting Eskom’s ongoing coal supply needs.
For further information please contact:
Alan Fine
+27 83 250 0757
alan@rasc.co.za
NOTES TO EDITORS:
About Seriti:
Seriti is a broad-based, 91% black-owned and controlled coal mining company. Seriti, through its operating subsidiary, Seriti Coal Pty Ltd, currently operates three large-scale, opencast and underground thermal coal mines, the New Vaal, New Denmark and Kriel mines, which it acquired from Anglo American, as well as various life extension coal resources and closed collieries. Together with its partners, Seriti intends to develop its New Largo project into a large-scale, opencast coal mine capable of providing the base load fuel requirements for Kusile Power Station.
Seriti is co-owned by four anchor shareholders – Masimong Group Holdings (Masimong), Community Investment Holdings (CIH), Zungu Investments (Zico) and Thebe Investment Corporation (Thebe). It is Seriti’s philosophy that 10% of the equity in its mining operations be ring-fenced equally for the benefit of employees and communities through established unencumbered employee and community trusts.
As a responsible South African coal miner, Seriti has a proven track record in the acquisition, operation and development of large-scale opencast and underground coal mines. Guided by experienced board and management teams, Seriti maintains a principle focus on its long-term commitment to the domestic market and, in particular, the reliable and cost-effective provision of coal to Eskom.
SA’s Competition Commission approves Seriti purchase of South32 coal assets
Publication: Mining Mx.
Author: David McKay.
THE acquisition of South32’s South African Energy Coal (SAEC) to Seriti Resources has been recommended by South Africa’s Competition Commission, said BusinessLive.
“In spite of the structural change from the merger, Seriti’s newfound position is unlikely to directly dovetail into greater leverage power for the merged entity during contract renegotiations and is therefore unlikely to have a significant effect on the price of coal to Eskom,” the commission said, recommending transaction approval to the Competition Tribunal.
The deal will make Seriti the largest supplier to Eskom, South Africa’s state-owned power utility which buys about 120 million tons a year of coal to fuel is power stations. Seriti will control about 30% of the Eskom market annually. It had previously bought the domestic coal mines of Anglo American.
Seriti supplies coal to Eskom’s Tutuka, Lethabo and Kriel power stations and has an upcoming mining project, the New Largo Coal Mine, intended to supply coal to Kusile power station. SAEC supplies the Duvha and Kendal power stations from its Khuthala and Ifalethu mines, said BusinessLive.
The purchase agreement, as announced late last year, is for an upfront payment of R100m with Seriti also assuming the liabilities present in the business.
Mike Teke, CEO of Seriti Resources, told Bloomberg News in June that he was considering adding production of chrome, manganese or iron ore to the firm’s coal portfolio, saying there were “immense opportunities”.
“We are going to take over several businesses that are not in coal. I want us to build a strong, formidable mining company,” Teke said.
Competition Commission gives nod to South32 deal
Publication: Business Day.
Author: Lisa Steyn.
A deal that will turn black-owned miner Seriti Resources into the largest supplier of coal to Eskom is one step closer now that the Competition Commission has recommended the transaction be approved.
The commission said on Sunday it has recommended that the Competition Tribunal approve the proposed transaction whereby Thabong Coal — a wholly-owned subsidiary of Seriti, which is headed by mining entrepreneur Mike Teke — intends to acquire SA Energy Coal from South32, a diversified miner that was spun out of BHP in 2015 and which is listed in SA and Australia.