Edenville Energy inks one-year coal supply deal for Rukwa

27th February 2018 By: Natasha Odendaal - Creamer Media Senior Deputy Editor

JOHANNESBURG (miningweekly.com) – Aim-listed Edenville Energy has signed a one-year contract for a minimum of 2 000 t/m of coal with an East African industrial user, with further trial orders of several thousand tonnes of coal for other potential customers being filled.

The company, which is selling all orders at commercial market rates, has started production on a new order for 4 000 t of coal for use by a Tanzanian customer.

“If the coal is deemed suitable for the customer's needs having used this initial order, the customer has requested another 60 000 t over a period of six months,” said Edenville CEO Rufus Short.

Trials are also under way with a third customer, which, if successful, are expected to result in future orders on an ongoing basis.

“While our current production is mainly under one-off contracts with potential longer-term customers, we are confident that a sufficient number of these orders will lead to longer-term contracts,” he said.