Eskom has threatened to stop buying coal from Exxaro if it is no longer more than half black-owned. "Eskom notes media reports that Exxaro’s black shareholding could be reduced to about 30% following the expiry of an agreement with its black economic empowerment partners," the utility said in a statement on Monday. "Eskom will soon ask for a meeting with Exxaro in an effort to understand how they plan to comply with the 50%-plus policy requirements." On November 22, Exxaro issued a Sens announcement saying MS333, an empowerment vehicle created 10 years ago, intended to cash in its 50.19% shareholding. Exxaro said the Industrial Development Corporation (IDC), which owns 15% of MS333, had agreed to invest in a replacement empowerment vehicle provisionally called "NewBEEco". The IDC has also agreed to provide a debt guarantee for up to R700m to help new black shareholders buy some of MS333’s shares. As part of the deal, Exxaro said it intended to repurchase and cancel about R3.5bn of i...
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