Eskom’s obstruction of Optimum agreement saw coal supply dry up
A business rescue practitioner says Eskom was paying Glencore’s Optimum mine three times less per tonne for coal than it cost to produce
Business rescue practitioner Piers Marsden told the state-capture inquiry on Wednesday how Eskom refused to renegotiate its coal supply agreement with Glencore’s Optimum mine, with then Eskom CEO Brian Molefe apparently placing no urgency on resolving issues between the power utility and the mine. This came at a time when Glencore placed its entities‚ Optimum Coal Mine and Optimum Coal Holdings‚ into business rescue, bringing the coal supply between the mine and Hendrina power station to a grinding halt in 2015.
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