The company will also settle Total Finance’s outstanding loan claims of $85.5m. It plans to finance the deal using its existing corporate debt facilities.
TCSA holds majority stake in Dorstfontein and Forzando complexes in the Witbank coal basin in Mpumalanga province and 74% stake in the Dorstfontein and Forzando mines.
It also has 49% interest in the Tumelo coal mine, which is currently not in operation.
Exxaro CEO Sipho Nkosi said: "Exxaro is delighted with its success regarding the Acquisition and for the growth opportunities it will provide for Exxaro as well as the contribution to the South African economy in terms of continuing employment and foreign earnings."
Total gas and power president Philippe Sauquet said: "This sale is part of the group’s 2012 to 2014 asset sale programme and is in-line with Total’s objectives to focus on its core activities and to actively manage its portfolio."
With this deal, Exxaro will gain access to an additional 4.09 million ton per annum of primary phase 1 – 3 RBCT entitlement.
