South Africa: Negotiations for Kusile dedicated mine

Issue 399 - 13 Sep 2019
Eskom is in negotiations with miners for the possible development of a cost-plus coal mine dedicated to supplying the 4,800MW Kusile coal power project, Eskom senior project manager Karabo Rakgolela told the Mining Coal Symposium in Middelburg on 5 September. Cost-plus has proved controversial, with critics arguing that mines are not incentivised to operate efficiently under the structure, which involves Eskom paying for mining costs.

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