CoAL allowed to proceed with Vele

[miningmx.com] — COAL of Africa said on Wednesday it was ready to begin full operations at its controversial Vele colliery, after the government lifted a suspension of the integrated water use licence for the project.

The miner’s water use licence for Vele, which is close to a UNESCO World Heritage Site, was suspended in July after an appeal submitted by a coalition of non-governmental organisations.

But the miner said on Wednesday the suspension had been lifted by the Minister of Water and Environmental Affairs, pending finalisation of the appeal.

Coal of Africa said it would now begin full operations and complete construction at the Vele mine. It would also begin mobilising contractors and re-employing staff immediately.

The mine will create around 500 jobs during the initial phase of operation, it said.

“We are now well placed to produce first coking coal in the first quarter of 2012, ramping up to an initial target of one million tonnes per annum,” Chief Executive Officer John Wallington said.