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Appeal suspends water use license for Coal of Africa's Makhado project

Coal of AfricaLtd. said April 8 that the integrated water use license for its coal project in SouthAfrica has been suspended after an appeal was filed with the Department of Waterand Sanitation.

The appeal — filed by the Vhembe Mineral Resources Forum andother parties — automatically suspends the license, in accordance with South Africanlaws.

However, the company said it has anticipated the appeal and itis preparing an urgent representation to the minister of water and sanitation torequest that the license remain in effect, pending the final conclusion of the appeal.

According to Coal of Africa CEO David Brown, the company is activelyengaging with the department to resolve the matter and Coal of Africa remains committedto the development of the Makhado project.