GVM will own 100% of Holfontein and 70% of Mooiplaats when the acquisitions are completed.
Situated in the coal-rich Witbank area, Holfontein is expected to produce 400,000 tonnes of semi-coking coal annually and 800,000t of thermal coal, beginning in 2008.
Mooiplaats, also in Witbank, is expected to commence production in 2008, ramping up to 4.5 million tonnes of thermal coal per annum by 2009.
In recent years, GVM Metals has moved its focus from exploring for gold, platinum and base metals to targeting predominantly South African coal mining and minerals processing assets.
