The board of Miranda today announces that its subsidiary Keldoron Properties 22 (Pty) Limited (“Keldoron”) has been awarded a tender to prospect for and develop four Coal Prospecting Rights currently held by the Amajuba District Municipality (“ADM”).
Miranda holds a 70% stake in Keldoron, through its KwaZulu-Natal based subsidiary Miranda Coal (Pty) Ltd, with the remaining 30% held by Miranda’s BEE partner, Nelesco (Pty) Limited. In terms of the agreement with Keldoron and Nelesco, Miranda will provide the required financial and technical support to Keldoron and Nelesco the necessary expertise for the socio-economic developmental aspects of the project.
Keldoron will commence a full scale drilling programme to confirm both the historical information and the coal qualities of the project.
The Amajuba Project

The permits consist of five farms of about 3 700 hectares in size and are situated adjacent to the Miranda’s existing Yarl and Learydale projects. Yarl recently reported a Competent Persons Report of a total inferred resource of 16,931 mt of coal. (PC Meyer Pr.Sci.Nat 400025/03)

• Application 108 - prospecting area comprises Portion 1, 2 and the Remainder of the farm Schuwer Rand No. 8596 situated in Newcastle with a surface area of 460.3 hectares. According to data available from the Council of Geosciences, 13 boreholes had previously been drilled by Anglo American Corporation in 1996. The drill logs show the Bottom Seam to be of potential economic value with an average seam thickness of 1.6m to 2.0m.

•  Application 109 – prospecting area comprises the Remainder of Portion 1 of the farm Lisbellaw no. 12066, Remainder and Portion 1-11 of the farm Walmsly no. 4266 situated in the Newcastle district and measuring 2,100.1 hectares in extent .The farm Walmsey has a total of 144 historical boreholes and shows coal intersections at depths of between 8m and 104m with an average seam thicknesses of between 0.8m and 1.2m.

•  Application 110 – prospecting area comprises the Remainder and portions 1-27 of the farm Jubilee No. 9642 and the farm Jubilee No.2 11283 situated in Newcastle and measuring 640.9 hectares in extent. Historical data reveals 31 boreholes with coal intersections at 60m.

•  Application 111- prospecting area comprises the Remainder and portion 1 of the farm Milnedale No. 9094 situated in Newcastle and measuring 525.6 hectares in extent. Historical Geoscience data revealed 10 boreholes on the property intersecting the coal seams at an average depth of 50m.

Background
Located in north-western corner of KwaZulu-Natal, the ADM identified coal mining as an activity to stimulate socio-economic growth in the area. The Municipality consequently applied for and was granted four new order prospecting licenses by the Department of Minerals and Energy (‘DME”)
In June 2008, the ADM invited companies with the necessary skills and experience to successfully develop these projects into mining operations to tender for the four prospects.
The ADM has undertaken to facilitate the Section 11 transfer of the prospecting rights to Keldoron with the DME.

Ron Nel, CEO of Miranda Minerals noted, “The award of this highly prospective tender contributes significant coal reserves to the Group. The Amajuba Project will allow us to continue to create a significant critical mass in the area for the establishment of future mining operations”

ENDS

ISSUED BY: FDBeachhead
Louise Brugman;
011 214 2415/ 083 504 1186/ louise.brugman@fd.com
Senzi Dlamini
011 214 2420 / 073 494 0030 / senzi.dlamini@fd.com

ON BEHALF OF: Miranda Minerals
CEO: Ron Nel
012 665 4200