(Ecofin Agency) - Mining firm Exxaro Resources sold last Monday its Inyanda coal mine in South Africa, to a JV made of Lurco Group and Burgh Group. This comes a few weeks after the competition commission approved the transaction saying it was unlikely to prevent or lessen competition in the defined markets for the supply of coal.

“We are delighted to deliver Inyanda Colliery to its new owners. Inyanda Colliery was one of Exxaro’s flagship mines and will continue to generate immense value for the new shareholders,” says Mxolisi Mgojo, the Chief Executive Officer of Exxaro.

The joint venture named Inyanda Mining Holdings will take control all full assets including mining right a 200,000 t/m washing plant and a private rail siding, for an undisclosed amount. It said while announcing the deal in December 2015, it would supply the mine’s output to Eskom, South Africa public power utility.

Lurco Group and Burgh Group are junior mining companies. Lurco holds a 51% stake in the JV and remaining 49% are held by Burgh.

Louis-Nino Kansoun