GMR Infrastructure is divesting its two major coal-mining assets in South Africa, which it holds through a joint venture with Homeland Energy Group. However, sources said there will not be much inflow into GMR's reserves from this sale. GMR Energy, a subsidiary of GMR Infra, holds 55.84 per cent stake in Homeland Energy Group, a Toronto-listed company which owns Kendal mines (operational) and partially-explored Eloff mines in South Africa through its subsidiary Homeland Mining and Energy.
Homeland Energy Group said in a statement that it had entered into an agreement to dispose of its 50 per cent stake in Eloff mines for around $12 million, through the stake sale of Tshedza Mining Resource, which holds the licence for the development of Eloff mines.
The statement said that the purchaser is the company’s current BEE (black economic empowerment) partner, which already holds a 50 per cent interest in the property. BEE is a voluntary programme for companies to address the inequalities of disadvantaged groups.