unv kangala bfs & wolvenfontein/penumbra

Worth reading the UNV ann out today:

http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01287577

The project is directly adjacent to CCC's Wolvenfontein project.

The Wolvenfontein Coal Project lies at the western extent of the Witbank Coal Field and is well situated in respect of roads and rail infrastructure.
The Wolvenfontein Coal Project extends over Portions 4, 5, 6 and the Remaining Extent (REM) of the farm Wolvenfontein 244IR (‘the Property’) and has a valid Prospecting Right MP 30/5/1/1/2/1520 PR.

In addition to its proximity to infrastructure the Wolvenfontein Coal Project is bordered by four operating collieries and a number of advanced coal projects including Exxaro’s Leeuwpan Mine, the Stuart, Delmas and Ikhwezi Collieries and Total’s Eloff Project, Homeland Energy’s Delmas Project and Universal Coal’s Kangala Project.

http://www.conticoal.com/_content/documents/364.pdf

The project economics & timeframes of the Kangala mine make Penumbra look extremely impressive, esp. when UNV projects a capex spend of $A50m ("including working capital & contingencies") to build Kangala - which is a Eskom coal producing mine, 8+yr LOM with projected EBITDA of $15m p.a., production to apparently start 2H 2013 [initially was announced to start 1H 2011] vs Penumbra capex costs of $40m with "Forecast annual free cashflow of US$25-30m", production commencing in approx 3 months - LOM of 10+ years, ABSA funding, contributing BBBEE partner and record high export coal price hedging agreement.

Some interesting historical data on Kangala/Wolvenfontein projects & coal qualities here:

http://www.universalcoal.com/im/files/pros/UniCoal_replacement_prospectus_oct10.pdf