Seriti CEO seeks acquisitions beyond South African coal mines
Seriti Resources Holdings has satisfied its appetite for South African coal mines after acquisitions over the past three years made the company one of the nation’s top producers of the fuel.
Seriti will consider a range of growth opportunities from other minerals to renewable energy, CEO Mike Teke said in an interview. The black-owned mining company has grown quickly by acquiring assets as Anglo American and South32 divest from some thermal-coal operations in South Africa.
“We are going to take over several businesses that are not in coal,”Teke said. “I want us to build a strong, formidable mining company.”
The CEO said there are “immense opportunities” across the commodities space, including in chrome, manganese and iron-ore.
A pending deal with South32 will add more coal mines to those Seriti already bought from Anglo. Those operations supply power stations in South Africa, which relies on coal for about 85% of its electricity generation.
A reliable transition from fossil fuels to renewables is needed, according to Teke. Exxaro Resources, another South African coal producer, has begun to diversify its business to include wind farms.
“If it happens that we see an opportunity in the renewable energy space, we will look,” Teke said.
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