Coexistence: CE David Brown’s Coal of Africa received approval for the diversion of a stream. Picture: ROBERT TSHABALALA
Coexistence: CE David Brown’s Coal of Africa received approval for the diversion of a stream. Picture: ROBERT TSHABALALA

Coal of Africa (CoAL) took a step closer towards restarting its Vele colliery, winning environmental approval for the diversion of a stream.

The approval from the Department of Mineral Resources under the National Environmental Management Act gave CoAL, which is traded on the Johannesburg, Sydney and London bourses, the nod to divert a stream and conduct various infrastructure activities.

However, the company has yet to win an integrated water-use licence from the Department of Water and Sanitation, which is the final regulatory approval it needs for the diversion.

"A new benchmark for co-existence between mining, agriculture and heritage land uses is being set at Vele with the on-going implementation of the biodiversity offset agreement between the Department of Environmental Affairs, the South African National Parks and CoAL," said CE David Brown.

CoAL fell nearly 2% on Monday to 54c after a gain around midday to 57c. Trading was thin, with just eight deals entailing 46,069 shares swapping hands.

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