the waterberg coal field (a giant in waiting?) › conferences › 2013 › 2ndlimpopo › ... ·...

The Waterberg Coal Field (A Giant in Waiting?)By

Dawie van WykGeoCoal Services

andO Barker

Banzi Geotechnics cc

BANZI GEOTECHNICS cc

Factors affecting the exploitation of the Waterberg Coal Field

• SA Coal demand• Perceptions of Coal• New 2011 Resources• Geology of the Waterberg

Coalfield• Where to now • Alternate energy sources• Future of Waterberg


Coal Demand

• Two large Power Stations in Waterberg – supplied by Exxaros’ Grootegeluk Mine

• Three large reserves of shallow coal Boikarabelo, Sekoko and Nemane

• Low Phosphorus coal for char• Local demand for supply to Eskom Power Stations Majuba and

others?• Soft coking coal demand • Government “Green” policy IRP2010SA • Energy demand and growth


Eskom Demand• Matimba• Medupi• Eskom PS “C”• Witbank Power Stations• E-mail from Eskom“Eskom has made a strategic decision to use Waterberg coal in the Mpumalanga power stations. As you know the Waterberg coal is different from the Mpumalanga coal and Eskom would like to run different tests to try and understand what the impact of using Waterberg coal in the Mpumalanga boilers. This means understanding the inherent variability within the Waterberg coal field on coal qualities and how mining of this coal field will influence the product produced at any stage.”


Export and Sasol Demands

• Export RBCT > 90 million tons paBig Corporates are not spending capital on increasing capacity only maintaining capacity as old mines are mined out – where is all this new coal going to come from?

• Sasol > 50 million tons per anumSasol resources are not unlimited and they have a finite life –where will SASOL source new coal?

• 4 Projects (R14B investment)– Thubilisha (Twistdraai)– Impumalelo (Brandspruit)– Shondoni (Middelbult)– Tweedraai (Syferfontein):

• Waterberg Properties under new investigation


Projects and Owners – Waterberg Coalfield


Perceptions of Coal

• Dirty ”Kortbroek - we will get rid of dirty smelly coal”

• Pollutes “John Burks - Witbank is the armpit of SA”

• Environmentally damaging “No more coal fired power stations will be built according to current government”

• Unfortunately Politicians say what people want to hear especially with election looming!

• UCT students 1990’s “We want green energy”

Perceptions of CoalRickets caused by smog and no sunlight

Smog in Pittsburgh 1900’s 2 pm

New CRRSA (2011) Figures (Mt)

• MTIS – Mineable Tonnes in Situ• GTIS – Gross Tonnes In Situ• Run of Mine• (M) - Million (Tonnages are metric)

Area MTIS (M) GTIS (M) ROM (M)Waterberg OC 35,771.00 41,356.00 35,771.00

Waterberg UG 25,162.00 134,578.00 12,581.00

Total for Coalfield 60,933.00 175,934.00 48,352.00

Coal Resources of the Different Coalfields

There are 20 named coalfields in South Africa

WATERBERG COALFIELD

The Northern Coalfields of South Africa

WATERBERG

SPRINGBOK FLATS

COALFIELD

Limpopo Province

Mpumalanga

North West Province

Gauteng

Free State Province

Kwa Zulu-Natal

Eastern Cape Province

Coalfields of SA Coalfields of South Africa


Geology of the Waterberg

See Type Section



Diagrammatic Section Through Daarby Fault

After G Dowling Anglo American

View West

Shallow and Deep Coal


Profile of the 11 Zones

Waterberg Coalfield• Typical Waterberg sequence• Quick look at geologists logging and sampling cores:


Geophysical Logs are essential in identifying the zones and samples within the Zones


Cross Sections show the Upper and Middle Ecca

Mining Bench Selection

Sample Selection From To Mining/waste Cuts

KD05/11/1BC C 12.73 13.36

KD05/11/1CS W 13.36 14.44

KD05/11/1C C 14.44 15

KD05/11/1D C 15 17.21

KD05/10/2 C 17.21 20.00

KD05/10/3 C 20.00 22.87

KD05/10/4 C 22.87 25.48

KD05/10/5 C 25.48 27.46

KD05/10/6 C 27.46 29.26 16.53KD05/9/7 W 29.26 32.58

KD05/9/8 W 32.58 34.54

KD05/9/9 C 34.54 35.19

KD05/8/10 W 35.19 38.29 9.03

KD05/8/11 C 38.29 40.45

KD05/8/12 C 40.45 43.56

KD05/8/13 W 43.56 46.53

KD05/8/14 C 46.53 47.6

KD05/7/15A W 47.6 49.86

KD05/7/15B C 49.86 52.14 13.85KD05/7/16 W 52.14 55.3

KD05/7/17 W 55.3 58.1

KD05/7/18 C 58.1 60.24

KD05/6/19 W 60.24 61.14

KD05/6/20 W 61.14 62.5

KD05/6/21 C 62.5 62.99

KD05/5/22A W 62.99 67.66 15.52KD05/5/22B C 67.66 71.71

KD05/5/22C C 71.71 74.89

KD05/5/22D W 74.89 80.27

KD05/5/22E C 80.27 84.63 16.97KD05/4/23A C 84.89 86.54

KD05/4/23B C 86.54 88.29 3.4KD05/IB/23AS W 88.29 89.71

KD05/IB/23BS W 89.71 92.97

KD05/IB/24 C 92.97 96.47

KD05/IB/24S W 96.47 100.05

KD05/IB/25 W 100.05 102.49 14.2KD05/IB/25S C 102.49 105.05

KD05/4A/26 C 105.05 106.64

KD05/4A/27 C 106.64 108.05 5.56SST 22.15KD05/2/28 C 130.2 131.95

KD05/2/29 C 131.95 133.3 3.1SST OB/SS 12.32KD05/1/30 C 145.62 145.92 0.3

Algorithm to select waste vs. Coal

Cross Sections showing a bench selection

Where to now?Current strategy

• Do you want to pay more for your electricity?• The IRP2010 published plan states “no more coal

fired power stations” (coal will be reduced from 86.5% to56.7% by 2030)

• Additional electricity is to come from nuclear, gas and renewables like wind and solar!

• The Waterberg is the largest resource of coal in South Africa and must be developed to produce electricity cheaply if we want to grow and eradicate unemployment and poverty.

Comparing Coal vs. Rest(Levilised cost of Energy IEA 2010)

0

20

40

60

80

100

120

140

160

180

200

Coal fired Gas Fired Nuclear Wind Solar Hydro

Cost (MW/hr)

Cost (MWhr)

Eskom’s mixed signals

Pollution Emissions

Wind Energy

• 260 tons of steel• 300 tons of coal• 300 tons of iron ore

In the UK every employee on a wind farm is subsidized by the taxpayer to the tune of 100,000 pounds. Running a wind farm is not profitable by itself without the subsidy!

To make one wind turbine requires -

How many coal mines are required to build all these turbines producing electricity below the price it is

receiving for the electricity generated?

Nuclear has suffered a major set back as a result of the Japanese Tsunami

Coal Bed Methane

Solar Energy This is 6 times more expensive than electricity from a coal fired

Power Station!

Surface Coal gasificationSasol’s box cut in the Waterberg to test coal for gasification)

Underground Coal Gasification

• UCG creates the voids to store captured CO2 from Matimba and Madupi

• UCG does not work if coal has any swelling characteristics• UCG would work on the Lower Waterberg Zones 1 to 3

Current UCG Projects World Wide

Water and Infrastructure

• Availability of water is one of the largest restricting factors in developing coal mines in the Waterberg

• Anglo’s CBM extraction could mitigate this as a lot of water is produced.

• UCG also provides large quantities of unpotable water• Availability of additional electricity (as a result of Eskom's

restricted generating capacity and transmission capacity) also plays an important roll in opening up new mines in the Waterberg Coal field

• Lack of rail infrastructure to RBCT etc.

Future of the Waterberg Coal

• A Pragmatic Risk free approach is needed to unlock the energy in the Waterberg Coal

• A mix of conventional coal mining and thermal power stations, surface gasification with CBM and/or UCG gas and the Waterberg will become the Energy Centre of South Africa

But perhaps if the regulatory bodies keeps making uninformed decisions about our energy needs this

would be a good investment!

Thank You

the waterberg coal field (a giant in waiting?) › conferences › 2013 › 2ndlimpopo › ... ·...

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