- Obtained prospective license last year from King
- To create minimum 1 000 jobs for emaSwati
- Research analysis and investigations cost over close to E5 million
Mbabane – It’s a big investment. Magni Investment Holdings (MIH) has secured a E5,4 billion investment commitment from GEM Global Yield LLC SCS (‘GEM’), a private alternative investment group with offices in Paris, New York, and Nassau (Bahamas). MIH co-founded by liSwati, Ellington Nxumalo. Lurco Coal Eswatini, owned by MIH, is ready to hit the ground running despite delays at Mpaka coal.
Project Lurco Coal Ewatini (‘Lurco’) has announced its commitment to make a resounding success of its planned coal mine in the kingdom.
Lurco obtained a prospecting license in October 2021 from His Majesty the King and Ingwenyama for coal at Mpaka, an area in the western Lubombo District, on the recommendation of the country’s Mineral Management Board.
The area prospected was previously owned by BHP Billiton and ceased operations over 30 years ago. Co-founder of the MIH, Ellington Nxumalo said the company’s research and feasibility study indicated that the area is economically mineable, and the mine could be resuscitated successfully.
He highlighted, “Our research analysis and investigations which to date has cost us the sum of E4 967 000.00 (Four Million Nine Hundred and Sixty-Seven Emalangeni) have led us to succinctly conclude that indeed the mine is economically mineable. A drilling programme is currently ongoing to enhance the confidence of the historical data and to establish the mine access. The drilling team is working tirelessly to meet the expiration of the prospecting right on October 3, 2022.
MIH has secured a E5,4 billion investment commitment from GEM Global Yield LLC SCS (‘GEM’), a private alternative investment group with offices in Paris, New York, and Nassau (Bahamas). Under the agreement, GEM will provide MIH with a Share Subscription Facility of up to E5,4 billion for a 36-month period following a public listing of MIH’s common stock.”
The co-founder continued to explain that MIH will control the timing and maximum number of drawdowns under this facility and has no minimum drawdown obligation. He said the GEM facility will be utilised to start and operate the Mpaka mine as soon as the mining right is granted.
“Lurco has already submitted a mining license application to the Mineral Management Board and is confident and excited that the mining will be granted in due course,” Nxumalo said.
He said Lurco does have technical ability to start and operate the mine and is projected to create a minimum of 1 000 direct and indirect jobs for the people of Eswatini who will undergo extensive training, as part of local empowerment and job creation initiative.
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