1

Diamonds – Oena

2

Coal – Metallurgical & Mining Projects

Coal – Metallurgical and Mining Projects

Location

Tango has four thermal coal, metallurgical and processing plant and engineering contracts (“Projects”) that process 6.5 million tonnes per annum (19.5 million tonnes are contracted over next 3 years), with clientele that include Total (SA) and Glencor. The four projects are located within the Ogies and Highveld coalfields, Mpumalanga Province and Kliprivier coalfield, KwaZulu-Natal Province.

History

Kwena Mining Projects CC, Kwena Mining and Metallurgical Services CC and Kwena Springlake Projects (Pty) Ltd., collectively “Kwena”, were part of Tangos recently acquired African Star Minerals Group’s (“ASM”) operations in South Africa. Kwena was formed in August 1998 and is managed and operated by a team of persons who are in possession of metallurgical qualifications and have a vast knowledge of operational expertise on both small and large operations.

The combined experience of the team amounts to some 75 years of operations on metallurgical / process plants in the mining industry. Each member has held a senior position on a metallurgical plant and their experience is not limited to coal but also includes base and precious metals (gold and platinum).

The company was initially developed for two reasons:

  1. The first was the need for experienced process / metallurgical personnel on small-scale operations. Many of these small operations are unable to attract qualified personnel, and therefore run the risk of poor metallurgical efficiencies and performance resulting in underachieved returns and substantial revenue losses.
  1. The second, was the anticipated change in tradition of many of the Mining Houses, who have started to outsource more and more of their operations to contracting companies in order to remain competitive both locally and internationally. It is here that Kwena Mining Projects with their experienced team can make the biggest impact.

Kwena currently operate and maintain four coal beneficiation operations:

  1. Dorstfontein East Coal Mine. This is a multi-seam mine where the raw coal is beneficiated through a 300,000 tonnes per month (“tpm”) wash plant producing washed coal for the export market.
  2. Dorstfontein West Coal Mine. This is a multi-seam mine where the raw coal is beneficiated through a 150,000 tpm month wash plant producing washed coal for the export market and inland market.
  3. Forzando Coal Mine. This is a multi-seam mine where the raw coal is beneficiated through a 300,000 tpm month wash plant producing washed coal for the export market and inland market.
  4. Springlake Coal Mine. This is a multi-seam mine where the raw coal is beneficiated in a 250t/hr wash plant, producing low volatile coal for both the inland metallurgical and export markets.

Kwena currently employs some 285 personnel in both the skilled and unskilled labor categories, and to ensure the efficient operation of the above operations, all key personnel have tertiary qualifications in metallurgy or relevant qualifications suited to their function within the company.

Financial Consideration

Revenue forecast for Q1 2015, ending November 2014, of CAD 2,133,000 and CAD 11,984,000 for the financial year, ending August 2015.

Business Development

Continued development plans in place to grow the business using the successful past 18 year business model, an established market presence and its proven successful operational reputation in the coal, base and precious metal and precious stone Southern African mining sector.

© Copyright Tango Mining Limited – Design by Magiweb