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mining
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A NEW AGE MINING VENTURE
Born and built neither on a sense o entitlement
nor on any pillar o gratuity but, rather, on
the grit, courage and entrepreneurial air o its
ounders to embrace a dream and turn it into
reality, Kuyasa Mining will stand out in history
as post-apartheid South Aricas frst truly
independent new-age mining company.
Kuyasa Mining was conceptualised in 1995,South Aricas historic frst year as a ully
democratic nation. Since then, it has evolved
rom a vision that has reached beyond the
parameters o conventional thinking into a
vibrant, stand alone, proitable and
sel-unding black owner-managed enterprise
that believes no rontier is inite.
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BEYOND CONVENTIONAL THINKING
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Thabo Sibeko Ayanda Bam Wendy Gobey
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A CONFLUENCE OF CULTURES
Rooted in its mantra o respect or One race
the human race, Kuayasa Mining eschews
the manner in which the policies o airmative
action and transormation have been widely
degraded and diluted to a level where
box-ticking, number juggling, and instant
wealth creation so oten take precedence
over, and make a mockery o, genuine
empowerment.
Kuyasa Minings employment policies and
practices run ully counter to this trend.
Its people are selected and employed purely
on merit, and no premiums are paid or race
or creed. Each individual is expected to
deliver...and is held ully accountable.
The result o this approach, which is applied
across the entire spectrum o operations
rom boardroom to coal ace is a stable
workorce that represents virtually every aceto South Aricas demographics...people who
unction in the knowledge that their
presence is justiied and their contribution
meaningul and appreciated.
Most o the groups production workers are
mainly local residents, who are amiliar with
the distinctive mining conditions o the area.
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THE PAST
Kuyasa Mining (Pty) Limited had modest
beginnings in 1996 as the owner-manager o
a small-scale, limited-lie opencast bituminous
coal mine, known as Ikhwezi Colliery, near
the east-Gauteng town o Delmas an area
which remains the epicentre o the companys
mining operations.
It was rom this relatively inauspicious
platorm that the ledgling company later
progressed to the acquisition (rom BHP
Billiton in mid-2002) o the much larger
Delmas Colliery a conventional underground
mechanised bord and pillar mine, contiguous
to Ikhwezi, which it later renamed Delmas
Coal.
One o Kuyasa Minings biggest challenges
at the time was to reassure and retain the
Delmas work orce in the ace o their ears
about leaving the comort zone o a major
international corporation or a (then
perceived) uncertain uture in the uncharted
waters o black ownership and management
in a small entrepreneurial coal mining
venture.
It was a challenge that was more thanadequately met.
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Let to right Thembeka Mkhize Metallurgical manager
Michael du Plessis Production manager Mpumilelo Saliwa Engineering manager
Masasa Makhetha Finance manager Andrea Heine Human Resources manager Humphrey Mokwena General manager
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THE PRESENT
Now driven rom a modern new corporate
headquarters on the eastern ringe o the
Mpumalanga Province town o eMalahleni,
the traditional coal capital o South Arica,
Kuyasa Mining is well into its second decade
o operation. The company is today a
signiicant independent supplier o coal to
South Aricas national power utility, Eskom,
as well as to a cross-section o inland coal-consuming industries.
This is a ar cry rom the ormative years,
when there was widespread scepticism about
buying coal rom a small, virtually unknown,
newcomer that not only had no production,
quality and delivery track record, but was also
unprecedented in its leadership and structure.
As a community service, Kuyasa Mining also
supplies to etch-and-carry individual coal
traders who operate mainly in non-electriied
inland rural areas.
Bheki Mthethwa
General manager -
inance
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THE FUTURE
Looking ahead, Kuyasa Mining plans to
reinorce its position in the market as a
reliable and competitive independent
producer and supplier by growing sales to
existing customers, by broadening its
customer base, and by acquiring additional
coal reserves on which to develop new
projects.
For instance, it has identifed direct involvement
in power generation as a key area o opportunity
a synergistic venture that is now indelibly
written into its corporate objectives.
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POWER GENERATION
Folding back horizons o opportunity to explore and exploit
what lies beyond comes naturally to Kuyasa Mining. It is this
element o its corporate DNA that has enabled the
company to overcome obstacles and achieve itssuccess so ar.
As part o this process, Kuyasa Mining identiied in the
early 2000s an opportunity to become a power generator
in its own right, to help meet the electricity needs o a
nation that was patently running out o generating
capacity.
Kuyasa Mining was so ervent in this vision that, in 2004, it
commissioned US-based consultants Black and Veatch to
do a pre-easibility study on the establishment o a
greenields mine-mouth, clean coal technology power
plant on an unexploited coal deposit known as theLeandra and Leslie coal ields which lies adjacent to
Delmas Coal.
The results were so encouraging that the same consultants
were tasked to produce a inal easibility report on the
project, which emphatically conirmed its viability. As a
result, Kuyasa Mining appointed South Arican consultants
James and Wegner to carry out a comprehensive
environmental impact assessment.
The process o obtaining the permission o Eskom, the
Regulator and Government, as well as securing a power
purchase agreement or the proposed new generatingacility, has so ar been slow and unyielding.
For the time being, thereore, it remains a project in progress.
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SKILLS DEVELOPMENT
Kuyasa Minings perception o sustainable skills development
starts at the very roots o the problem in the schools and
is another relection o the companys unconventional and
resourceul thought processes.
The cornerstone o its approach is that empowerment
initiatives by both Government and the private sector should
be ocused a great deal more on pre-tertiary education and
ar less on illing BBBEE scorecards.
In the irm knowledge that the education system is generally
below standard and that, without education, the country will
go nowhere, Kuyasa Minings clarion call is: Lets give our
children a uture.
Against this background, the company has embarked on a
process that will begin producing homegrown SET (science,
engineering and technology) graduates at rate o 40 a year.
The project involves the establishment, near Delmas, o an
independent mining science academy that will identiy,
develop, and sponsor maths and science-gited, butinancially disadvantaged, senior high school learners up
to and through tertiary education.
Kuyasa Minings philosophy behind this ar-reaching project
is: Bring us your brains we dont care who you are.
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FOUNDING FIGURES
Kuyasa Mining is headed by three o its original ounders Ayanda Bam,
Thabo Sibeko and Wendy Gobey each o whom has a strong pedigree
in the mainstream o the South Arican coal mining industry.
Between them, they have brought to Kuyasa Mining a range o
complementary tertiary qualiications, and a depth o experience, that
its together virtually seamlessly to orm a strong and vibrant
management team.
Ayanda Bama graduate in computer sciences, is executive chairman o the company,
as well as the custodian and the driving orce behind its vision and
avant-garde approach to conducting its business
Wendy Gobey
holder o an IPM (Institute o People Management) diploma in human
resources, is director o corporate aairs with a wide mandate on
managing the companys precious human capital.
Thabo Sibeko
operations director, is an electrical engineer whose lengthy involvement
in the coal mining industry was supplemented by a tour o duty at Eskom.
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Kuyasa Mining head office
Cape Town
Johannesburg
Durban
eMalahleni
Delmas
Republic of South Africa
KUYASA MINING AT A GLANCE
Conceptualised 1995
Established January 1996
Production Current 2.5-mtpa ROM
Operations Kuyasa Mining
Ikhwezi Colliery
Delmas Coal
Employees 350
Customers Power utilities and
industrial consumers
CONTACT DETAILS
Kuyasa Mining (Pty) Ltd
Tel +27 13 656 36 59
Fax +27 13 690 35 45
e-mail [email protected]
2 Neven Street
Private bag x7250eMalahleni
1035
Mpumalanga
Republic o South Arica
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Design: Quintessential #1956
Copy writing: Greg Kukard
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miningwww.kuyasamining.co.za
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