Thermal coal
Overview
In South Africa, our thermal coal business owns and operates nine mines and has a 50% interest in the Mafube colliery and Phola washing plant.
Share of Group operating profit (2009): 15%
Share of Group net operating assets (2009): 4%
Our thermal coal business, with operations in South Africa and Colombia, features a diverse, high-quality asset portfolio and aims to be a long-term, reliable supplier of thermal coal.
We serve the power generation and industrial sectors from large, low-cost coal basins and are focused on expanding our strong standing in the export market, while maintaining a significant position in the domestic market in South Africa.
South Africa
In South Africa, we own and operate nine mines and have a 50% interest in the Mafube colliery and Phola washing plant. Five of the mines are in the Witbank coalfield and supply some 22 million tonnes per annum (Mtpa) of thermal coal to the export and local markets.
Coal is exported through Richards Bay Coal Terminal, in which we have a 27% interest. In addition, the New Vaal, New Denmark and Kriel mines are dedicated to supplying some 33 Mtpa of thermal coal to Eskom, the largest electricity provider in Africa.
The Isibonelo mine produces 5 Mtpa for Sasol Synthetic Fuels under a 20 year supply contract.
Anglo American Inyosi Coal is a broad-based black economic empowerment company in which we hold a 73% stake. Anglo American Inyosi Coal holds Kriel colliery, the new Zibulo multi-product mine (previously known as the Zondagsfontein project) and greenfield projects of Elders, New Largo and Heidelberg.
Colombia
In South America, we have a 33% shareholding in Cerrejón Coal, a 32 Mtpa capacity open cast operation in Colombia. Cerrejón owns and operates its own rail and deep water port facilities and sells into the export thermal and pulverised coal injection (PCI) markets in Europe and the Americas.
Our thermal coal business in China
Our coal mines have been supplying high quality thermal coal to the China market since the early 2000s.