Universal is focused on its two flagship assets in South Africa, the Kangala project and the Berenice-Cygnus coking coal project.

The company had a busy March quarter, which included securing $A12 million in secured funding from Susquehanna International Group.

The funds will be used to advance phase 2 drilling at the Berenice-Cygnus project and finalising work on the Kangala project.

The funding is still subject to shareholder approval.

On the activities front, Universal concluded its optimisation of the bankable feasibility study for Kangala.

The BFS optimisation confirmed saleable coal tonnages of about 2.1 million tonnes per annum, achieved via a planned 2.4Mtpa run of mine production rate over the life of the mine.

The initial pit is tipped to deliver an eight-year mine life but there is scope to increase the mine’s life to more than 16 years.

Universal also kicked off the second phase of drilling at Berenice-Cygnus with 12 holes drilled to date.

Berenice-Cygnus, situated in the emerging Soutpansberg coalfield, is expected to produce both primary soft coking coal and secondary thermal coal product.

The drilling will assist in bringing the inferred and indicated resources within the open pit areas to a measured category.

In April, Universal chairman Tony Harwood announced his resignation from the board, with John Hopkins taking over as non-executive chairman.

In April, Universal confirmed it was in advanced discussions with domestic power utility Eskom for the offtake of thermal coal from its Kangala project.

During the June quarter, the company plans to execute the term sheet and memorandum of understanding with Eskom, as well as to continue with drilling at the Berenice project and to secure funding.