Yesterday evening marked a historic milestone for Liberty Coal as the first train arrived at Optimum Coal Mine in Mpumalanga to commence the transportation of Liberty’s coal to Richards Bay Coal Terminal (RBCT).
Since January 2023, both Liberty Coal and the Optimum Coal Mine have faced challenges in railing and exporting coal from the Optimum Mine. This is the first consignment of coal railed by Liberty Coal to RBCT following Liberty Coal’s recent settlement of all legal disputes with the NDPP, the acquisition of OCMs business, assets and compromised liabilities and last month’s agreement between Liberty Coal, OCM’s business rescue practitioners and RBCT which saw RBCT lifting its suspension on Optimum Coal’s export allocations, allowing Liberty Coal to begin coal exports.
Now, that arrangements between Liberty Coal and Transnet have been finalised, the first trains have begun transporting coal to RBCT.
Liberty Coal took full operational control of the Optimum Coal Mine from 1 February 2024, together with beneficial occupation and possession of OCM’s assets. Additionally, Liberty has taken on the compromised claims of OCM’s and OCT’s respective creditors. This transition follows a series of legal battles over the past four years concerning the adoption of OCM and OCT business rescue plans, as well as litigation involving preservation orders and subsequent forfeiture orders initiated by the NDPP. Ultimately, these legal matters culminated in a settlement with the NDPP and RBCT.
Liberty Coal’s CFO Ulrich Bester stated “This is a proud moment for Liberty Coal, and all of its stakeholders including the employees, service providers, local communities and NUM, who joined Liberty Coal to celebrate the arrival, loading and departure of Liberty Coals’ first train to RBCT. The atmosphere at the rail siding was emotional and electric.”
Bester added, “Liberty Coal wishes to extend its thanks to all parties involved in what has been a protracted battle to acquire Optimum Coal Mine and last night was a significant milestone in the rehabilitation of the Optimum Mine to restore it to its former glory.
Liberty Coal extends special thanks to Transnet for working quickly, efficiently and diligently through their internal regulatory processes to ensure Liberty Coal was able to secure its position on the weekly rail schedule, along with other RBCT shareholders who jointly utilise Transnet’s rail capacity on the coal corridor to RBCT. We support Transnet’s recent efforts to improve the efficiency and capacity of the coal corridor to the benefit of all of RBCTs shareholders and the wider South African economy and fiscus.”
