Bangalore: Homeland Mining and Energy SA Proprietary Limited has entered into an agreement to divest its 50 percent equity interest in Tshedza Mining Resource (Pty) Limited, which holds license for the development of Eloff mines located in South Africa.
HMESA is a wholly owned subsidiary of Homeland Energy Group Limited (HEG) in which GMR Energy Limited has a majority shareholding.
The purchaser of the Homeland's interest in the Eloff mines is the company's current BEE partner, who already holds a 50 percent interest in the property, GMR Group said in a statement here.
The consummation of transaction is subject to receipt of statutory approvals in South Africa. HMESA has also entered into an agreement for the sale of its entire shareholding of Ferret Coal (Kendal) (Pty) Limited, the company said.
The transaction will be subject to receipt of statutory approvals and HEG Shareholders approval, it said.
The Kendal mine in South Africa is an operating mine and sells coal in domestic market while the Eloff mine is under development stage, the company added.
First Published: Thursday, March 28, 2013, 15:16