Wescoal returns to profit, but has concerns over Eskom’s lethargic demand
The power utility’s demand for coal has not yet returned to pre-lockdown levels, the junior miner says
04 December 2020 - 08:38
Eskom supplier Wescoal is concerned about rising stock levels due to a lack of demand from the power utility and other customers, moving to cut staff and possibly sell off non-core assets as it waits for trading to return to pre-pandemic levels.
The group, which has a market value of R311m, said its inventory levels had more than doubled to R287m in the six months since the end of March, which had affected its cash flows...
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