The pollution control dam, silt traps and storm water channels for the South African coal operation were also finalised.

A powerline from the substation at the Delta processing operations to the Penumbra minesite has been completed with Eskom power of 3.5 megavolt amperes installed and commissioned.

A key focus onsite at the moment is the continued advance of the twin declines that are being developed by Murray & Roberts, which will have a final length of about 390m.

One decline will be equipped with a conveyor and the second will serve as a trackless equipment travelling route.

The conveyor road has advanced down 60m and the travelling road down 16m.

Continental Coal placed orders for two Joy 14HM15 continuous miners and four 10SC32 shuttlecars.

It also placed orders with Rham Equipment for two front-end loaders and two roofbolters.

In addition, a temporary shaft conveyor system has been installed and is being commissioned.

Tenders for the orders for the permanent conveyor structure, shaft gantry and drives are being finalised and are expected to be awarded soon.

Penumbra production is forecast to reach a targeted rate of 750,000 tonnes per annum run of mine coal by the third quarter of 2012.

The project is expected to incur capital costs of 284 million rand.

Meanwhile, Continental’s Ferreira and Vlakvarkfontein coal mines reported gross sales revenue of 107 million rand and 15.5 million rand for January and February.

Ferraeira achieved ROM coal production of 105,119 tonnes over January and February – 14% above budget production levels.

Total production of 100,986t of high-quality export thermal coal product flowed out of the Delta processing operations, which was 16% above budget.

At Vlakvarkfontein, ROM coal production of 200,783t was achieved over January and February.

It was a 1% and 5% increase on the average monthly ROM coal production in the respective December and September 2011 quarters.