Fin24

CoAL up on huge coal reserves jump

2012-06-13 12:00

Johannesburg - Coal of Africa [JSE:CZA] shares rose as much as 10% after the company reported a big jump in its coal reserves, following the addition of resources it gained as part of the Soutpansberg assets it recently acquired from Rio Tinto and Kwezi Mining.    

Mineable tonnes in situ increase three-fold to 2.004 billion tonnes, the company says.

“Coal of Africa has announced a significant increase to its coal resources. We believe coking coal is one of the more attractive commodities currently and Coal of Africa’s exposure to it makes it an attractive investment case,” Westhouse Securities says in a note.