Coal of Africa Limited (LSE: COAL) climbed 7% higher after the company confirmed that it had produced the first run of mine coal from the Mooiplaats Thermal Coal Mine in the Ermelo coal fields in the Mpumalanga province, South Africa
"Development to allow two continuous miners to commence cutting coal will be completed in six to eight weeks," the company added.
The Mooiplaats Mine is anticipated to produce 5-6 million tonnes per annum with 70% targeted for the export market and the balance for Camden Power Station, which is situated nearby. Mooiplaats is an underground mine.
Managing Director, Simon Farrell commented: "This is a most satisfying occasion and I am extremely grateful to all those involved for their hard work in getting us this far. There is a lot more to be done and we are saving the champagne until we load our first ship."