2.3.1 central discard dump - erm€¦ · environmental resources management kangra coal (p ty) ltd....

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ENVIRONMENTAL RESOURCES MANAGEMENT KANGRA COAL (PTY) LTD. 2-22 2.3.1 Central Discard Dump Introduction The current discard dump does not have sufficient capacity to accommodate the discard produced from the proposed future operations. A new Discard Dump, called the Central Discard Dump, is proposed on the south eastern side of the current discard dump in Maquasa East. The new discard dump will be utilized for discard generated by the proposed new underground mining, including the Kusipongo operations. The Central Discard Dump will be located within the Maquasa East operation on the remaining (RE) portion of the farm Rooikop 18 HT, with a small area of the dump on the remaining (RE) portion of the farm Maquasa 19 HT (Figure 2.7). The Central Discard Dump will accommodate discard produced from the beneficiation plant located at Maquasa East, which currently washes and processes coal from the surrounding Kangra Coal operations and will receive coal from the future expansion areas. The discard dump was designed by Geotail (Pty) Ltd and the description provided in this section has been extracted from the Design Report (September 2014). The discard dump will be developed as a three-compartment side hill type storage facility with a footprint of approximately 65ha (Table 2.8). The three- compartment layout allows for a modular implementation approach (phases 1, 2 and 3) with the benefit of delaying capital expenditure. The following structures will be required: Lined discard dump (to be constructed in three different compartments/phases); Under-drainage system; Boundary fence; Internal haul roads; Catchment paddocks; Two compartment, High Density Polyethylene (HDPE) lined Pollution Control Dam (PCD) (one compartment to be operated as empty); and Stormwater management infrastructure, such as berms and trenches. The proposed discard dump was three-dimensionally modelled for an accurate determination of the relationship between the height, area and

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Page 1: 2.3.1 Central Discard Dump - ERM€¦ · ENVIRONMENTAL RESOURCES MANAGEMENT KANGRA COAL (P TY) LTD. 2-22 2.3.1 Central Discard Dump Introduction

ENVIRONMENTAL RESOURCES MANAGEMENT KANGRA COAL (PTY) LTD.

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2.3.1 Central Discard Dump

Introduction

The current discard dump does not have sufficient capacity to accommodate

the discard produced from the proposed future operations. A new Discard

Dump, called the Central Discard Dump, is proposed on the south eastern side

of the current discard dump in Maquasa East. The new discard dump will be

utilized for discard generated by the proposed new underground mining,

including the Kusipongo operations. The Central Discard Dump will be

located within the Maquasa East operation on the remaining (RE) portion of

the farm Rooikop 18 HT, with a small area of the dump on the remaining (RE)

portion of the farm Maquasa 19 HT (Figure 2.7).

The Central Discard Dump will accommodate discard produced from the

beneficiation plant located at Maquasa East, which currently washes and

processes coal from the surrounding Kangra Coal operations and will receive

coal from the future expansion areas.

The discard dump was designed by Geotail (Pty) Ltd and the description

provided in this section has been extracted from the Design Report

(September 2014).

The discard dump will be developed as a three-compartment side hill type

storage facility with a footprint of approximately 65ha (Table 2.8). The three-

compartment layout allows for a modular implementation approach (phases

1, 2 and 3) with the benefit of delaying capital expenditure.

The following structures will be required:

• Lined discard dump (to be constructed in three different

compartments/phases);

• Under-drainage system;

• Boundary fence;

• Internal haul roads;

• Catchment paddocks;

• Two compartment, High Density Polyethylene (HDPE) lined Pollution

Control Dam (PCD) (one compartment to be operated as empty); and

• Stormwater management infrastructure, such as berms and trenches.

The proposed discard dump was three-dimensionally modelled for an

accurate determination of the relationship between the height, area and

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capacity. The results of this modelling are the capacity and dimensions of the

discard dump and these are summarised in Table 2.8.

Table 2.8 Dimensions and Capacity of the proposed Discard Dump

Description Total/Unit Phase 1 Phase 2 Phase 3

Life of facility 20 years 7.4 7.4 5.4

Extent of Discard Dump 65ha 23.5 21.9 19.3

Capacity of discard dump 20.2 million tonnes (Mt) 7.4 7.4 5.4

Airspace available 11.2 million m³ 4.1 4.1 3.0

Final vertical height of Discard Dump m 34 33 32

Deposition rate 1 million tonnes per

annum of coarse

material**

- - -

Final side slope area ha 13.1 9.0 8.2

Final top surface area 38ha 9.5 13.9 14.6

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Figure 2.7 Central Discard Dump Layout

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Construction/Disposal Method

The coal discard will be transported by truck from the Maquasa East

beneficiation plant to the new discard dump, where it will be placed and

compacted mechanically. The discard will be placed in horizontal layers

(bottom-up) following an approved performance compaction specification.

Groundwater Management

In order to protect the groundwater resource below and within the vicinity of

the discard dump, two mechanisms will be employed to manage seepage from

the facility:

1. An under-drainage system; and

2. A liner.

Under-Drainage System:

The under drainage system is designed to collect seepage on top of the liner

and to achieve phreatic surface drawdown at the toe of the discard dump. As

such, the under-drainage system is strategically placed along the critical

downstream toe line of the discard dump.

Discard Dump Liner:

The proposed liner system for the discard dump generally complies with the

Class C liner type in the waste classification regulations (published in

Government Notice R. 634) and comprises four layers (Figure 2.8).

Figure 2.8 Proposed Liner for the Discard Dump

Source: Geotail, 2014

PCD Liner

The liner system for the PCD generally complies with the Class B liner type as

described in the waste regulation, GNR643. This liner comprises three layers

and as shown in Figure 2.9.

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Figure 2.9 Proposed Liner for the PCD

Source: Geotail, 2014

Surface Water/Stormwater Management

The surface or stormwater management measures are designed to separate

clean and dirty water, divert clean water away from the discard dump and

collect and contain water found within the discard dump footprint (dirty

water).

Stormwater Diversion Channels

Two channels are deemed necessary to divert clean stormwater away from the

discard dump, i.e. the North and South channel. A local watershed runs

generally east west through the southern portion the centre compartment of

the discard dump. The two channels originate on this watershed. The North

Channel runs generally northwards while the South Channel runs southwards

before turning west and then northwest around the southern perimeter of the

discard dump.

The proposed channels have been sized to comply with the GN704

requirements and as such they are designed to convey the 50-year design

flood peak (Table 2.9). The catchments for the channels are relatively small.

Table 2.9 Stormwater Channel Dimensions

Parameter North Channel South Channel

Catchment Size 32.9ha 4.9ha

Shape Trapezoidal Trapezoidal

Base width 1m 1m

Side slopes 1:1.5 (V:H) 1:1.5 (V:H)

Flow depth 0.83m 0.48m

Channel depth* 1.1m 0.8m

Max flow velocity** 3.7m/s 2.7m/s-

Flow type at max velocity Supercritical Supercritical

**Note: Flow velocities are based on the maximum longitudinal gradient.

The stormwater channels have been sized assuming unlined channels, and

will be excavated into the ground. The material excavated from the channel

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will be placed in a berm on the downstream side of the channel to increase the

capacity of the channel above its design capacity and provide additional

freeboard where required; and to allow cost effective construction as load and

haul volumes are minimised. The berm should be compacted and vegetated

and the channel kept free of long grass, shrubs and woody vegetation.

Discard Dump Design Features

The discard dump has been designed to avoid storage of water on the facility,

thereby increasing its stability.

The side slopes will be terraced and berm penstocks will be utilised to drain

the permanent benches. This water will be captured by the catchment

paddocks, which will be located at ground level. The runoff will be diverted to

the PCD.

It is recommended that the discard dump is operated with the minimum of

water stored on the top surface at all times.

Pollution Control Dams

The PCD will serve to collect and contain direct rainfall, runoff from the

discard dump surface and the “dirty water catchment” of the discard dump,

as well as seepage captured by the under-drainage system (within the

catchment paddocks). The stormwater diversion channels will divert clean

water away from the “dirty” area in order to reduce the amount of polluted

water which must be contained, thereby reducing the PCD capacity

requirement. The proposed maximum capacity of the PCD is 100,000m³. The

water pumped out of the PCD will be sent to the washing plant, before being

pumped to Pit D East where it will be evaporated.

Access Control

A boundary fence will be erected around the perimeter of the discard dump

facility to keep out livestock and discourage entry by people.

A haul road will be constructed around the discard dump. This haul road will

connect to the existing haul road to the east of the proposed discard dump

complex. The internal haul road will also lead to the PCD. The haul roads

within the discard dump complex will not exceed a width of 8m.

2.3.2 Maquasa West Extension Underground Works

Introduction

The authorization for the underground workings applied for was initially

approved under the MP 30/5/1/1/2/209MR EMPr for the Maquasa extension

by the DMR on the 15th of May 2008 (Annex B). However, during the

consolidation of the EMPr’s into 133MR (as approved in July 2014), a section

of the 209MR activities were accidentally omitted. This was discovered in 2015

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during the second EMPr amendment application with the DMR. The DMR

responded that the EMPr could not be amended for the Maquasa operation for

activities that technically do not exist in the approved consolidated EMPr. As

such the omitted section of the MWE underground works will now be applied

for as part of this S102 Amendment application. This section describes the

proposed underground works activities.

The proposed mine plan for the MWE underground works can be seen in

Figure 2.11. These works will be accessed by the proposed new Adit 5 which is

discussed in detail in Section 2.3.3. The proposed MWE underground works

will be located under the properties detailed in Table 2.10.

Table 2.10 Project Infrastructure Summary Description

Property Surveyor General Cadastral Code

Kransbank 15 HT, Portion 1 T0HT00000000001500001

Kransbank 15 HT, Portion 2 T0HT00000000001500002

Maquasa 19 HT Remaining Extent T0HT00000000001900000

Mining will occur by underground board and pillar methods with

chequerboard pillar extraction. Board-and-pillar, or room-and-pillar, is an

extensively used underground mining technique. This method uses a grid of

tunnels and involves progressively cutting panels into the coal seam whilst

leaving behind pillars of coal to support the overburden (NSWMINING,

Accessed 4 March 2015). This will be done using a horizontal continuous miner.

Mined material is extracted across a horizontal plane, and is extracted in two

phases. In the first phase "pillars" of untouched material are left to support

the roof overburden, and open areas or "rooms" are extracted underground.

This technique is usually used for relatively flat-lying deposits. The key to

successful board and pillar mining is in the selection of the optimum pillar

size, considering the required safety factors to avoid subsidence on surface.

Board and pillar mining is depicted in Figure 2.10.

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Figure 2.10 Diagram of Typical Board and Pillar Mining Method

Source: Okubo & Yamatomi,.date unknown

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Figure 2.11 Maquasa West Extension Underground Works

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Project Phases

Mining projects are developed in set phases, with each phase having a

different combination of activities. These phases include the construction,

operation and decommissioning/closure phases.

These Project phases are discussed in the following sections.

Construction Phase:

For underground mining operations there is very little construction activities

strictly related to the underground portion of the project. Construction

activities are almost all related to the construction of the access adit. These

activities are discussed in detail in Section 2.3.3.

Operations Phase:

As previously discussed mining will occur using continuous mining

equipment and will access the coal reserves using the board and pillar

method. Mining will take place from the new Adit 5 and will extend in a

southerly and easterly direction as in Figure 2.11. A mine schedule is shown in

Table 2.11.

Table 2.11 Maquasa West Extension Underground Works Mine Schedule

Year Tonnes

2016 2,647,620

2017 2,858,135

2018 2,071,044

2019 1,577,220

2020 1,459,909

2021 1,533,748

2022 459,126

All coal that is mined from this area will be transported from the Adit 5 via

the new overland conveyor to the coal processing facilities at Maquasa West

operation, and from there the coal will transported via the existing overland

conveyor to the beneficiation plant located at Maquasa East. Discard from this

process will initially be disposed of at the existing discard dump and later to

the new Central discard dump.

Closure

Closure is planned for the end of the Project life (approximately 7 years) and

will include:

• Decommissioning and sale of mining equipment and infrastructure;

• Restoration and rehabilitation of disturbed areas;

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• Management of mine water decant and water treatment prior to discharge;

and

• Post closure monitoring.

2.3.3 Adit 5 and Overland Conveyor

Introduction

In addition to the proposed underground workings in the previous section,

Kangra Coal intends to develop and operate a new adit in the Maquasa West

Extension area (the Adit 5), an overland conveyor connecting the Adit 5 to

Maquasa West coal processing facilities, and an associated servitude road. The

coordinates of these facilities are listed in Table 2.12.

Table 2.12 Co-Ordinates of Surface Infrastructure

Infrastructure Latitude Longitude

Main Adit– centre point 270 02’ 10.21” S 300 18’ 33.14” E

Overland conveyor 270 02’ 9.82” S 300 18’ 33.92” E (start pt.)

270 01’ 08.53” S 300 19’ 47.47” E (middle pt.)

270 00’ 36.85” S 300 21’ 21.30” E (end pt.)

This proposed infrastructure will be located on the properties detailed in

Table 2.13.

Table 2.13 Details of the properties associated with the Adit 5 and the Overland

Conveyor

Property Surveyor General

Cadastral Code

Title Deed

Number

Infrastructure

Development

Footprint (Ha)

Adit 5

Kransbank 15HT, Portion 2 T0HT00000000001500002 T21311/980 12.37

Overland Conveyor

Kransbank 15HT, Portion 2 T0HT00000000001500002 T21311/980 10.67

Kransbank 15HT, Portion 1 T0HT00000000001500001 T139369/2000

Rooikop 18HT, Portion Re T0HT00000000001800000 T78816/2004

Project Phases

The proposed Project will be developed in set phases, with each phase having

a different combination of activities. For ease of reference, the proposed

Project has been divided into the following phases:

• Construction Phase;

• Operational Phase; and

• Decommissioning and Closure Phase.

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Construction Phase

Construction of the surface infrastructure is planned to commence in 2017.

The construction phase will include the following initial activities:

• Construction of an access road and a powerline to the site of the proposed

Adit 5 and along the route of the proposed overland conveyor;

• Establishment of the mobile offices and support facilities at the Adit 5;

• Establishment of the Adit 5;

• Development of the overburden dump and topsoil dump during the adit

development;

• Establishment of the main ventilation fans;

• Construction of stormwater management features such as diversion

berms, stormwater channels and an evaporation dam;

• Establishment of the overland conveyor;

• Transmission line development in the overland conveyor servitude;

• Establishment of a water pipeline along the overland conveyor route;

• Installation of the water storage tank; and

• Installation of sewage sump which will be serviced periodically (Sewage

effluent be sucked up and transported by tanker to the sewage treatment

plant at Adit 4).

Operational Phase

The operational phase of the project will include the following activities:

• Conveyance of coal from the underground mining operation at the MWE

underground works, via the Maquasa West operation where primary

crushing and screening will take place, and then to the existing Maquasa

East coal beneficiation plant;

• Temporary storage of general and hazardous waste in containers at the

Adit 5 which will be removed on a regular basis by a licensed waste

contractor;

• Delivery of explosives, fuel, various kinds of machinery typical in mining

operations, construction materials from time to time, spare parts for minor

reparations of machinery, etc.;

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• Maintenance of all water management facilities on site such as the

evaporation dam and stormwater management system;

• Management of excess underground water (dewatering and storage );

• Management of the on-site sewage storage and disposal; and

• Ongoing maintenance of the roads, overland conveyor, water treatment

plant, process water supply pipeline, sewage treatment plant and

transmission line.

Decommissioning Phase and Closure

Decommissioning and closure occurs at the end of the Project life

(approximately 7 years) and will include:

• Decommissioning and sale of mining equipment and infrastructure;

• Restoration and rehabilitation of disturbed areas;

• Management of mine water decant and water treatment prior to discharge;

and

• Post closure monitoring.

Proposed Project Infrastructure and Activities

The proposed infrastructure forming part of this application is described in

this section and can also be referred to in the site layout diagram in Figure

2.14.

Adit 5

The Adit 5 will include main ventilation fans to provide fresh air to the

underground mining operations and will be designed in such a way to allow

workers, materials and machinery access to underground mining operations

(inclined adit). Figure 2.12 and Figure 2.13 are examples of a mine adit. The

inclined adit will provide for a conveyor to bring mined coal to the surface.

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Figure 2.12 Existing Adit and Coal Handling Facilities at Maquasa West Operations

Figure 2.13 Maquasa West Adit: Portal Entrance and Ventilation Fans

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Figure 2.14 Proposed Adit 5 Infrastructure Layout

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The following support infrastructure and facilities are required and will be

developed at the main adit:

• Electrical distribution substation, switch gear and step-down transformers

(emergency back-up generators will also be included);

• An access road along the new overland conveyor to the Adit 5;

• A stormwater management system;

• Mobile potable water treatment plant;

• Septic tank system at the Adit 5 which will be periodically purged and

transported to the sewage treatment plant at Adit 4;

• Firefighting system complete with water storage;

• A wash bay (including an oil trap) that will be used to wash mining

equipment and light duty vehicles;

• Brake test ramp for mine vehicles;

• A fuel and oil depot which will be provided by the fuel provider;

• Small storage building for minor equipment (main stores at Maquasa West

to be utilised);

• Drop-off facility for workers;

• Above ground parking bays;

• Temporary waste storage facilities to accommodate general (domestic,

recyclables, etc.) and hazardous waste (used oil, solvents, spent batteries,

contaminated rags, overalls, descants, etc.);

• First aid facilities;

• Lime silo (used for white-wash and dust control);

• A security fence around the perimeter of the property and substation; and

• A security (guard) house.

This primary and support infrastructure is described in more detail in Table

2.14.

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Table 2.14 Infrastructure at the Adit 5

Operational Component /

Infrastructure

Description

Overburden Dump Excavated rock from the mine portal is proposed to be placed

immediately adjacent to the portal. This overburden dump will

have an area of 2.1 ha and a volume of approximately 379,000m3.

Topsoil Dump Topsoil is required to be stored separately for use during

rehabilitation. The topsoil dump will have an area of

approximately 2.1 ha.

Administration Block There will be containerized offices and a security house at the

entrance of the Adit 5. A lamp house and a containerized control

room will also be developed in the Adit 5 complex.

Pollution Control Dam A silt trap with a footprint of approximately 750m2 and a volume

of approximately 1,000m3 will be installed at the Adit 5 to manage

dirty / oily water from the wash bay and dirty water separation

channels. Water from the silt trap will be directed into a PCD of

approximately 4,800m3. The PCD will contain all dirty and excess

mine water and have an approximate surface footprint of 0.3 ha.

Excess water will be pumped to water storage facilities at

Maquasa West and Maquasa East operations. The current water

storage facilities are pollution control dams at Maquasa West and

East and the void located at Maquasa East Pit (referred to as Pit D

East). Kangra Coal utilizes Evaporators to aid in excess water

reduction at Pit D East through evaporation process. As this is a

fairly new technology the overall efficacy of the evaporators is

still to be determined through long term monitoring and analysis

Process water pipeline

Process water will initially be supplied to the Adit 5 from the

existing facilities at the Maquasa West operations through a

pipeline along the proposed new overland conveyor route

between the Maquasa West adit and Adit 5. Further details are

discussed in the section below. The water pumped from the

underground workings will be utilised as process water for the

remainder of the life of the operation.

Incline Conveyor

An incline conveyor will be constructed to transport mined coal

from the MWE underground works to the surface at the Adit 5.

Feed Stockpile

A stockpile for feeding the overland conveyor will be developed

at the Adit 5 with an approximate volume of 2,000 tonnes.

Electrical

A 6.6 kV overhead power line will link the Adit 5 to Maquasa

West, from which the drive systems for the overland conveyor

will be supplied. The transmission line at the Adit 5 will be

constructed along the conveyor route. A containerized substation

will be constructed at the Adit 5 to provide power to the internal

reticulation system at 400/500V.

The area will be equipped with emergency power generators for

power supply to the main surface fans during power failure.

Access Road

Only one access road will provide access from Maquasa West

operation to the Adit 5 complex. The road will also be used

during construction and maintenance of the overland conveyor.

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Operational Component /

Infrastructure

Description

The proposed access road is 10.2m wide and 6 Km in length

(same as proposed conveyor) and will be compacted with gravel.

Stormwater Management

System

Surface water management at the Adit 5 will ensure that there are

clean water systems that divert clean water away from the

complex. Earth fill berms, designed to divert clean stormwater

runoff associated with a 1:100, 24 hour storm event will be

constructed. Storm-water cut-off berms will be constructed

during the main earthworks.

Impacted ‘dirty’ stormwater runoff within the Adit 5 footprint

will be collected and routed via a silt trap to the PCD.

Potable water tank

The potable water will be sourced from a borehole with adequate

yield at Nooitgesien. The water will be treated at Maquasa West

Adit 4 offices at the Water Treatment plant prior being reticulated

to the tank at the Adit 5 complex.

Sewage sump

Sewage generated within the Adit 5 complex will be collected into

a sump. It will be purged on a periodic basis and transported to

the sewage treatment plant at the adit 4 offices.

Vehicle Wash Bay

The wash bay structure will consist of a building with sheeted

roofing and side cladding. It will accommodate washing of all the

mine vehicles. It will be equipped with a high pressure washing

systems, vehicle hoist, and ramp systems for effective vehicle

washing at all angles.

Water emanating from the wash bay will drain into an oil trap

equipped with a silt trap. Oil free water released from the oil trap

will be directed into the silt trap and then into the PCD.

Fuel Storage

A fuel and oil depot will accommodate a cumulative volume of

less than 30m3 is proposed. All fuel and oil storage facilities will

have all legally required safety measures and will be provided by

the fuel supplier.

Stores A small storage building for minor equipment will be

constructed. The main stores to be used will be the existing one at

Maquasa West.

Drop off Facility

The drop off facility will allow mine workers to be dropped off

and picked up safely, ensuring the least amount of pedestrian

movement across roadways.

Parking Bays

Provision will be made for a fenced parking area to which access

will be controlled.

Temporary General and

Hazardous Waste Storage

Areas

General waste will be collected and temporarily stored in waste

skips located near the centre of the Adit 5. Skips will be labelled

so that recyclable and reusable items are separated. Skips will be

removed from the site by a certified waste service provider.

All waste classified as hazardous will be collected in designated

hazardous waste skips. A hazardous waste skip will be stored in

bunded and roofed facility designated for temporary storage of

waste. All hazardous waste such as oil will be recycled or reused.

It will be regularly collected by certified waste processors. For

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Operational Component /

Infrastructure

Description

disposal, a licensed hazardous waste collecting company will be

contracted for transportation and disposal of waste to a licensed

landfill site. Skips will also be provided for general waste.

The anticipated hazardous waste temporary storage volume of

80 m3, shall not be exceeded

Security and Fencing of the

Adit 5

The entire Adit 5 will be fenced. It will be provided with access

control such as vehicle and pedestrian gates and security access

points. Each facility within the Adit 5 will have its own fencing

and security where necessary.

Overland Conveyor System

The footprint of the overland conveyor system is approximately 10.67 Ha. The

infrastructure listed below is proposed and will be developed along the

overland conveyor system:

• An overland conveyor;

• Road over conveyor crossings;

• Stream and wetland crossings; and

• Fencing and security of the overland conveyor system.

The overland conveyor system will transport coal from the Adit 5 to the

existing facilities at Maquasa West operation, from where it will be

transported to the beneficiation plant at Maquasa East through the existing

overland conveyor. Included in the conveyor servitude will be overhead

transmission lines (OHTL) (approximately 5 m north of the overland

conveyor), an access road and a security fence (fenced width of 20m). The

conveyor will be ground run supported by light overland modules with angle

roof sheeting. Figure 2.15 shows the existing conveyor at Maquasa West.

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Figure 2.15 Existing Maquasa West Overland Conveyor

Roads over the overland conveyor will be constructed to allow the local

farmers and communities safe access to either side of the conveyor when

necessary (Figure 2.16). Guardrails will be placed on either side of the ramps

over the conveyor route crossing.

Figure 2.16 Road over Conveyor Crossing

The proposed overland conveyor will cross a number of streams and

wetlands. The section of conveyor that traverses a stream, and that is situated

within a distance of 12m from the edge of the 1:100 year flood line, will be

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fully enclosed and raised on a steel gantry (Figure 2.17). Furthermore, the

entire raised section will have a bunded concrete floor to catch any potential

coal spillage. Spilled coal will be hand swept into a concrete bunded area,

which is positioned at ground level, outside the 1:100 year flood line. Any

potentially spilled coal will then be removed from the bunded area and

returned to the Adit 5.

Figure 2.17 Enclosed Conveyor Over Stream Crossing

The gravel service road running parallel to the conveyor will traverse the

stream over concrete culverts (Figure 2.18). The gravel road and conveyor

terrace will be reduced to one lane to minimise culvert lengths.

Figure 2.18 Road Over Stream Crossing

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Fencing will be placed on both sides along the entire route of the conveyor

with the exception of the conveyor gantries where the fence will be

constructed under the gantry and join up with the fence on the adjacent side.

This fence denotes the conveyor servitude. The fence will enclose the service

road along the conveyor route.

2.4 NEED AND DESIRABILITY

Coal provides around 30.1% of global primary energy needs, generates over

40% of the world's electricity and is used in the production of 70% of the

world's steel (World Coal Association, 2013). South Africa possesses Africa’s

only significant coal reserves; over 95% of Africa’s coal reserves are found in

South Africa (US Energy Information Administration, 2014), with coal reserves of

30,2 billion short tonnes at the end of 2012, which represents 4% of the world’s

total coal production. .South Africa is the world’s seventh largest coal

producer, and produced 3.3% of the world’s coal in 2013 (256 million tonnes)

(World Coal Association, 2013).

In 2013, South Africa used coal for 93% of its electricity generation needs, and

was the second most dependent coal-to-electricity country in the world, after

Mongolia (World Coal Association, 2013). Apart from its domestic needs, South

Africa is currently the world’s sixth largest coal exporting country, with

exports in excess of 70 million tonnes in 2013 (World Coal Association, 2013).

Coal plays a crucial role in the South African energy-economy and is fuelling

local industry (Eberhard, 2010). The consumption of coal in South African coal-

fired power stations will continue in the near future (Eberhard, 2010). Increased

demand in Eastern countries (driven by rapid economic growth rates) will

result in an increased demand for South African coal exports (Eberhard, 2010).

Coal exports are expected to increase to 105 million tonnes per annum by the

year 2020. This will increase the country’s export earnings, which in turn will

reduce the country’s negative trade balance and current account deficit

(Eberhard, 2010).

Both local and international markets are, at present, highly dependent on

South Africa being a main provider of coal, now and in the future. The

identification and exploitation of new coal reserves in South Africa is thus a

prerequisite in meeting this demand.

In addition coal plays a crucial role in the provincial economy of

Mpumalanga, where the proposed Project is located and coal mining is a key

economic activity in this Province. According to the Mpumalanga Provincial

Growth and Development Strategy (PGDS; 2004 – 2014), Mpumalanga

contributed 7.7% to the national Gross Domestic Product (GDP) in 2001. The

majority of the contribution to the provincial economy is made up by the

manufacturing sector (28.0%) followed by the mining sector (18.0%). To

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provide growth and development within the Province, the PGDS has

prioritised economic development comprising inter alia, job creation, Small

Medium and Micro Enterprises (SMMEs), BEE, mining, manufacturing,

tourism and agriculture

The economy of the Gert Sibande District Municipality is supported

predominantly by mining and manufacturing. Other key sectors that drive

the economy of the District include energy supply and agriculture (Gert

Sibande District Municipality IDP: 2009 – 2010). In terms of employment

mining employs 14.3% of the population in the district (Gert Sibande District

Municipality IDP: 20012/13 – 2016/17). In terms of employment in the mining

sector in the local municipalities, 7.6% of the population from Mkhondo in

2011 (Mkhondo Local Municipality IDP 2016-2017) and 2.4% of the population

from Dr Pixley Ka Isaka Seme in 2012 (Dr Pixley Ka Isaka Seme Local

Municipality IDP 2015/16 – 2016/17) were employed in the mining industry.

Both the Mkhondo Local Municipality IDP (2016/2017) and the Dr. Pixley

Kalsaka Seme IDP (2016 /2017), recognise the importance of mining as a key

economic sector within these two Municipalities and both recognise the

significant challenge they are facing, in balancing the economic and

developmental needs of the Region with the needs of environmental

protection.

The proposed Project components being applied for as part of this application

are key factors from a strategic point of view for Kangra Coal. Given that the

existing operations are approaching depletion (in 3 years’ time

approximately), new resources are required to maintain the current levels of

production and employment. Should the mining operations close, jobs will be

lost, both directly at the mine and indirectly in terms of local contractors and

businesses providing goods and services to the operation, as well as the

people dependent on those working for Kangra Coal (both directly and

indirectly).