South Africa: Eskom force majeure on coal contracts

Issue 414 - 01 May 2020 | 1 minute read

Following its decision to declare force majeure on power purchase agreements with wind IPPs on 1 April due to low demand, South Africa’s Eskom has declared force majeure on two coal contracts. The utility told miner Exxaro Coal it would not take contracted volumes for Medupi or Matimba coal power plants until a month after South Africa’s lockdown has ended. A letter from the utility said force majeure would apply from 16 April. Both power plants are supplied by Exxaro’s Grootegeluk mine in Limpopo.

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