SECTION 1

SECTION 1: INTRODUCTION AND BACKGROUND INFORMATION ON ZULULAND ANTHRACITE COLLIERY – REGULATION 46 (a)


1.    EXECUTIVE SUMMARY

1.1 Background

Exploration activity in the vicinity of ZAC took place in 1976 and the early 1980's by Southern Sphere and Trans Natal Coal Corporation (later renamed Ingwe Collieries Limited) respectively. ZAC was opened in 1985 and has been a continuously profitable operation supplying domestic and international markets. In 2005, the operation was purchased as a going concern by Riversdale Mining Ltd and its Black Economic Empowerment partner (BEE), the Maweni Mining Consortium which comprises an Employee Trust and a number of community groupings. Breakdown of each of the members of the old Maweni Mining Consortium:

ZAC lies adjacent to the Hluhluwe Umfolozi Game Reserve in the Ulundi Local Municipality (ULM) and Nongoma Local Municipality (NLM) within the Zululand District Municipality (ZDM) in the KwaZulu Natal Province (KZN). The town of Ulundi is situated fifty (50) kilometres to the south-west of the Colliery. Empangeni is the nearest major centre and is located roughly ninety (90) kilometres south-east of ZAC.

In 2020, the operation retrenched went through a retrenchment process as result of the market collapse due to Covid-19 and 695 employees we downscaled.                                     

Figure 1: Illustration of the Mining Area (Map)

1.2 Preamble

Background Information:

Name of Company: Zululand Anthracite Colliery (Pty) Ltd (ZAC), (formerly Rio Tinto – Riversdale Holdings), now part of Menar Group of Companies

Name of Mine: Zululand Anthracite Colliery

Physical Address: Okhukho Reserve, Mahlabathini District, ULUNDI,3838

Postal Address: Private Bag X71, ULUNDI, 3838

Telephone Number: +27 (0)35 874 7300

Fax Number: +27 (0)35 870 0389

Location: ZAC lies adjacent to the Hluhluwe Umfolozi Game Reserve in the Ulundi Local Municipality (ULM) within the Zululand District Municipality (ZDM) in the KwaZulu Natal Province (KZN). The town of Ulundi is situated fifty (50) kilometres to the southwest of the Colliery. Empangeni is the nearest major centre and is located roughly ninety (90) kilometres southeast of ZAC.

Commodity: Exportable high-grade anthracite and domestic anthracite

Life of Mine: Planned life of mine is eleven (10) years, planned to cease operations in 2027

Financial year: 1 January to 31 December

Reporting Year to DMRE: 31 December annually

Contact person: Xolile Mankayi

 

1.3 Introduction

This Social and Labour Plan is a review SLP for the Zululand Anthracite Colliery’s for the period 2021 to 2025. The operation embarked on a retrenchment process downscaling employee, retrenches were offered portable skills voluntarily.

The recalling of employees was conducted in December 2020 to commence duty from January 2021.

1.3.1 Breakdown of employees per Labour Sending Area

Table 1: Labour Sending Areas

 



Table 2: Labour Sending Areas (Contractors) – January 2021

 




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