The South African who made millions from coal

Mike Teke, the chief executive of Seriti Resources, made his fortune in the mining industry. He is recognised as a prominent South African mining tycoon with humble roots in a township near Springs. 

Mike Solomone Teke was born in 1964, the youngest of four children. He grew up in the township of Kwa Thema, where his grandmother raised him alongside several cousins, his sister, and two brothers. 

“My mother died when I was a little boy,” Teke told Dudu Msomi on WisdomPersonified Conversations.

“She would come in on a Saturday morning, stay with us, and then on Sunday, she would leave and go back to work. The person who spent time with us was our grandmother.”

Growing up, he loved playing soccer and going to school, even though he said he was “not the cleverest kid”.

Times were not always easy, though. There were periods when they would go hungry, and having pap and eggs was considered a luxury in their house, he told The Exchange. 

Teke’s grandmother had a profound impact on him, and he loved her company as a child.

“My grandmother walked with me to school, and we used to have great conversations,” he told Gareth Cliff on The Real Network.

Even during school holidays, his grandmother would wake him up at quarter to four every morning. She helped him get ready, and he would watch people going to work. 

“I look back now and say what a great grandmother she was because she left me with those great traits,” he said.

Teke faced a unique challenge, though. Despite being Tswana, people have always mistaken him for being coloured, and, living in a black township during apartheid, those classifications were important.

He was often questioned about his race and called derogatory names, although he said it never really bothered him.

When he told his grandmother that whenever he walked back home from school, kids would tease him about his looks, she started walking him home from school as well.

Teke matriculated from Kenneth Masekela in Springs and then worked as a labourer, saving money to attend university. 

Afterwards, he studied for a Bachelor of Education at the University of the North. Here, he was also involved in football, playing for a team called Left and Right.

Teke was so good that some of his teammates even thought he would go on to play professional football. His sister wouldn’t hear of it, though, and she insisted that he finish his schooling and take up a profession. 

He completed his honours degree from Rand Afrikaans University and an MBA from Unisa and eventually returned to Kenneth Masekela High School, where he worked as a teacher. 

Teke explained on South Africa’s Promise that even though he grew up understanding he would go on to teach people one day, a traditional classroom setting wasn’t for him. 

“I believe I’m capable of articulating any difficult subject and simplifying it for people. So I became a teacher, but I knew that was not my place,” he said.

“I cannot fit into the normal school environment, which is eight to two. So then I decided that I needed to go and find a job where I could start at 07:00 and finish when I wanted, and that’s when I moved into the private sector.”

He transitioned into the mining industry, joining Unilever, where he held multiple HR roles.

Teke then went to Bayer, a German multinational, where he was exposed to the company’s chrome and fluorspar mines in South Africa, he explained to Msomi.

Later, he joined BHP Billiton, where he worked in various divisions, including manganese and chrome, before moving into coal.

Teke became part of a consortium that successfully bid for a mine called Optimum when BHP Billiton sold some of its assets. 

This resulted in the founding of Optimum Coal, where Teke played a key role as one of the founding members. He was later appointed CEO and was instrumental in the company’s listing on the JSE in March 2010.

The listing attracted significant interest from investors, including the global mining giant Glencore, which eventually acquired the company.

In November 2013, Teke was appointed as the President of the Chamber of Mines of South Africa, a position he held until May 2017. 

Determined to build something even bigger, Teke co-founded Seriti, a South African coal-based energy company.

Teke and his partner, Thabo Mokoena, and a consortium, including Community Investment Holdings, purchased coal assets from Anglo American. 

These assets were primarily coal mines supplying Eskom. Around the same time, they acquired South32’s assets, which supplied Eskom and export markets. 

By 2020, Seriti had grown into a business focused on coal for both domestic and export markets.

Teke acknowledged the reality of climate change and the challenges posed by fossil fuels. Understanding the need for a transition to renewable energy, Seriti began to diversify. 

“It’s factual that climate change is here,” he told Msomi. “It’s factual that we need to deal with carbon issues. It’s a fact that fossil fuels create challenges for the universe. I don’t want to argue about that. However, our country still needs coal.” 

Seeing an opportunity in the transition to renewables, the company acquired Windlab, an Australian renewable energy company, leading to the establishment of Seriti Green. 

The company is now working on building wind turbines in Mpumalanga to generate 155 megawatts of electricity, with plans to expand to 900 megawatts.

Teke explained that Seriti is no longer a coal business – it’s an energy business.

“Our vision is to play big in the space of energy. The future of this world is going to be energy. The future of this world is going to be food security. The future of this world is going to be the fastest person to make life better for humanity,” he said.

Apart from this venture, Teke also currently serves as Executive Chairman and controlling shareholder of Masimong Group Holdings and Non-Executive Chairman for several companies, including Rolfes and Anchor Group.

He previously served as the Chairman of Council at the University of Johannesburg, and has been appointed as a Professor of Practice at the Johannesburg Business School.

Despite having come a long way from his childhood in Kwa Thema, Teke still applies the valuable lessons his grandmother taught him to his businesses.

Known for his punctuality, integrity, and collegiality, he emphasised the importance of respect, saying, “That’s the first thing my grandmother taught us,” while speaking at GIBS Business School.

He also highlighted the second key principle he has incorporated into his leadership style: A great and powerful work ethic.