Johannesburg - Junior coal mining company Coal of Africa [JSE:CZA] (CoAL) reported a 21% drop in third-quarter run of mine coal output as heavy rains and a derailment on a railway line hit operations.
The company said run of mine coal production in the quarter to end-March fell to 911,563 tonnes, from 1.15 million tonnes in the previous quarter.
Heavy rainfall halted operations at its Vele Colliery in South Africa for three weeks, weighing on production, the company said.
CoAL also declared force majeure on coal shipments in February after a derailment on a rail corridor linking its collieries in South Africa with a port in Mozambique.
The company expects to restart South African exports in May.
CoAL said export sales from the Matola
Terminal in Mozambique fell by 34% to 271,069 tonnes from the second quarter.