MCM stands to benefit significantly in the medium and long term from the Company’s coking-coal assets. These represent a much-needed resource for economic growth and responsible development for the country, and for the provinces in which MCM operates. These benefits will include substantial foreign-exchange earnings, reduced reliance on the importing of coking coal into South Africa, direct and indirect job creation, infrastructure development, skills development, as well as meaningful corporate social investment and local economic development activities.
With the development of the Vele and Makhado collieries, MCM’s total capital investment to date in Limpopo province (one of South Africa’s poorest regions) amounts to approximately R1.5 billion. Vele’s Phase 1 accounted for an investment of approximately R1 billion. As a contributor to the national and provincial fiscus, MCM’s tax payments will help grow the South African economy and support the South African Department of Trade and Industry’s drive to increase the value of exports as a contribution to the gross domestic product.