JOHANNESBURG (miningweekly.com) – Diversified miner Xstrata South Africa, the London-listed parent of which wants to merge with iconic South African mining company Anglo American, would provide R3,5-million for the education of South African students, educational institution Cida said on Wednesday.

Cida said that it had entered into a multiyear partnership with the mining company that would benefit "100 deserving students from disadvantaged backgrounds". The agreement followed Xstrata South Africa's sponsorship of 50 Cida students since 2007.

Cida said that Xstrata South Africa had recruited some of the students from rural communities in the North West, Limpopo and Mpumalanga provinces, where it mined and smelted metals.

Xstrata South Africa executive director Eric Ratshikhopha said the partnership - initiated by external fundraisers Peiser & Associates - provided talented youth with an opportunity to make an impact in the economy.

Acting Cida dean Wiseman Jack expected Xstrata's funding to help to develop a generation of entrepreneurial graduates who would be motivated to develop their communities. "It's a process that causes positive ripple effects," he added.