LontohCoal has contracted with Samsung Securities Asia Ltd

LontohCoal Ltd., the South African Closed coal mining company, has contracted with Samsung Securities Asia Ltd as lead manager for its initial public offering in Hong Kong, CEO Tshepo Kgadima said.

Power producer with assets of thermal coal and steel making in South Africa and Zimbabwe plan to raise up to U.S. $ 500 million selling shares in Hong Kong and may list in the first half of next year, Kgadima said in an interview on TV today.

"We've been talking to a number of private equity funds and sovereign wealth funds," he said in Hong Kong.

The proceeds from the sale of shares will be used to develop LontohCoal mine in South Africa, KwaZulu-Natal and Limpopo provinces, and coal deposits Lubimbi in Zimbabwe, where production is expected to begin next year, said the CEO.