Global Mining News in real time


Exxaro likely to move more coal in FY2015; cuts expansion capex

By: Natalie Greve Coal and heavy minerals miner Exxaro expects coal production and sales volumes for the 2015 financial year to top that of the prior 12 months, noting in a market update this week that the scheduled ramp-up of the Medupi power station and the inclusion of coal output from Exxaro Coal Central (ECC)... 

Eskom unveils new coal-sourcing strategy as it pursues R2bn Optimum claim 

By: Terence Creamer State-owned electricity utility Eskom has confirmed an overhaul to its coal-sourcing model, which could result in it withdrawing from its historical cost-plus arrangements with “tied collieries” in favour of arms-length commercial contracts with coal suppliers. The change in strategy came amid a... 

Exxaro expects steady H1 output, cuts FY capex

By: Natasha Odendaal JSE-listed Exxaro has maintained steady overall coal production during the first half of 2015; however, the diversified miner’s exposure to State-owned power utility Eskom, both as a supplier of steam coal and as an electricity consumer, has emerged as a material risk. In a first-half preclosing... 

B&E International Supplies Aggregates To Major Power Station Projects In South Africa

The ability to understand customer requirements in challenging conditions, coupled with years of experience in a variety of crushing and screening applications, set B&E International in good stead for supplying aggregates to major power station projects in South Africa, Dewald Janse van Rensburg,... 

Load-shedding a reality until 2023, says former Eskom adviser 

By: Natasha Odendaal South Africa’s rotational load-shedding would likely extend until 2023 as strained State-owned Eskom battled several challenges that could potentially sink the power utility in five years if left unchecked, Blom Consulting and Training mining and energy advisory partner Ted Blom claimed on... 

Bulk handlers up the ante in dense phase conveying

By: Dylan Stewart Bulk handling solutions provider Clyde Bergemann Power Group’s dense-phase pneumatic conveying system, installed at Unit 6 of national power utility Eskom’s Medupi power station, in Limpopo, is exceeding its contractual capacity since commissioning started in December, Clyde Bergemann executive... 

Ferrum mulls Moonlight infrastructure options

By: Natasha Odendaal Triple-listed Ferrum Crescent on Tuesday said its Moonlight iron-ore project, in Limpopo, would have access to an “almost complete” infrastructure solution. While negotiations for the project’s infrastructure access continued, the potential mine had access to the Thabazimbi railhead 220 km away,... 

Waterberg Coal seeking go-ahead for 600 MW power station

By: Ilan Solomons ASX- and JSE-listed Waterberg Coal Company (WCC) has submitted an application to the Department of Energy (DoE) – through its subsidiary Waterberg Energy Company – to establish a coal-fired, independent power producer (IPP) with an initial capacity of 600 MW to support power generation for its... 

Eskom terminates Alstom’s Kusile C&I contract, appoints ABB

By: Terence Creamer State-owned electricity utility Eskom reported on Friday that the control and instrumentation (C&I) works contract with Alstom at the Kusile power station project would be “consensually terminated” as from April 17, 2015. ABB South Africa had been selected to complete the execution of the C&I... 

Platinum fuel cells to power five-million Japanese homes – Ivanhoe 

By: Martin Creamer Japan was building platinum-using fuel cells to provide clean electricity and heat to 5.3-million homes, Ivanhoe Mines executive chairperson Robert Friedland told the Mining Indaba on Wednesday. Japan was also planning to run the Tokyo Olympics on fuel cells to showcase the arrival of the... 

GMEP a model for future Waterberg development-consultancy

By: Mia Breytenbach The model applied by mining and metals major Exxaro to its Grootegeluk Medupi Expansion Project (GMEP) 

Grootegeluk Medupi expansion nearing completion

By: Mia Breytenbach Coal and heavy minerals mining company Exxaro Resources’ Limpopo-based Grootegeluk Medupi Expansion Project (GMEP) is 97% complete, with total project costs still estimated at R10.2-billion, according to the company’s 2013 Integrated Report. The GMEP is a brownfield expansion project and forms... 

New hydraulic products could benefit GMEP

By: Mia Breytenbach Having supplied hydraulic cylinders, pumps and torque wrenches to State-owned power utility Eskom’s Medupi power station and coal and metals major Exxaro’s Grootegeluk-Medupi Expansion Project (GMEP) over the past three years, the South African branch of US-based high-pressure equipment company... 

Eskom still finalising interval between first and second Medupi units 

By: Terence Creamer State-owned electricity producer Eskom plans to announce the completion date of Medupi Unit 5 – the second 794 MW unit at the Limpopo power project – by the latest March next year, having indicated that the original commissioning interval of six months following the introduction of the first... 

Group Line Projects

By: Samantha Herbst Group Line Projects, an industrial linings solutions provider, was founded in 1991 and acquired in 2012 by Wonderstone, which is part of the larger Assore Group, whose origins date back to the early 1900s. Group Line Projects’ core business is focused on the appropriate specification, selection... 

Power transmission products on show

Bibby Turboflex SA, which is celebrating 85 years in South Africa, will again be exhibiting at Electra Mining Africa. 

Right Eskom price will trigger R10bn Waterberg coal investment 

By: Martin Creamer A successful bulk sample burn test at Majuba power station has opened the way for Waterberg coal to be used at Majuba power station in Mpumalanga. As part of the feasibility and technical work the ASX- and JSE-listed Waterberg Coal Company has been doing with Eskom over the last 18 months –... 

Southern Africa’s largest spreader commissioned at Grootegeluk expansion project

By: Anine Vermeulen State-owned power utility Eskom’s  Medupi power station has comissioned a PA299-2100/50+50  spreader – the largest type in Southern Africa – from mining equipment manufacturer Sandvik earlier this month for the  coal miner Exxaro-owned Grootegeluk Medupi Expansion Project (GMEP), to supply coal... 

Pig iron project could boost company profile

By: Mia Breytenbach Once pig iron developer Ironveld’s Limpopo-based pig iron project starts production, which is expected in the second half of 2015, the company is likely to become South Africa’s first producer of high-purity iron (HPI), says Ironveld CEO Peter Cox. “Currently, no company is producing HPI and, as... 

Grootegeluk production dampened by rain

Operations at the Limpopo-based Grootegeluk coal mine, owned by coal and heavy minerals mining company Exxaro Resources, experienced a setback following heavy rainfall in March. 

ANC’s Mantashe backs fracking to meet SA’s energy needs 

By: Shannon de Ryhove Hydraulic fracturing, or fracking, would have to begin in the Karoo to meet South Africa's growing energy needs despite resistance from environmental and other lobby groups, African National Congress secretary general Gwede Mantashe said on Tuesday. He was speaking at a breakfast meeting of the... 

Supplying Eskom is coal industry’s greatest challenge, says professional services firm

By: Dylan Slater The greatest and most immediate challenge currently facing the South African coal sector is security of supply for State-owned power utility Eskom, says professional services firm KPMG Africa mining transaction leader Werner Jacobs. 

Transnet boosts Exxaro’s coal railing, Eskom paying invoices

By: Martin Creamer State-owned rail enterprise Transnet was praised at Thursday’s Exxaro Resources results presentation for boosting the JSE-listed company’s coal exports by 15% last year and facilitating the doubling of them in 2014. But at the other end of the parastatal spectrum, investors had to be assured... 

Second Waterberg operation has to come to the party – Meyer

By: Leandi Kolver A second operation in the Waterberg coalfield, where mining major Exxaro’s Grootegeluk colliery was currently the only producing mine, had to come to party to meet the country’s future needs, PC Meyer Consulting exploration geologist Peet Meyer said on Tuesday. Speaking at a symposium hosted by... 

Strong focus on electricity supply, access negatively affecting climate 

By: Leandi Kolver At present, countries are so focused on the immediate challenges of energy security and energy access that the environmental impact associated with addressing these challenges is mostly ignored, Mac Consulting principal consultant Dave Collins said on Tuesday. Speaking at Southern African... 

Medupi-linked water scheme delayed, but ‘poses no risk’ to start up

By: Terence Creamer The first phase of the Mokolo and Crocodile Water Augmentation Project (MCWAP), which is under construction partly to provide water from Mokolo dam to the Medupi power station, is behind schedule, Eskom has confirmed. However, the State-owned power utility insists that the delay does not pose a... 

Power, labour pose risks to realising weak-rand benefits in 2014 

By: Terence Creamer The weaker rand should be supportive of a reduction in South Africa’s current account deficit over the medium-term, but Standard Bank chief economist Goolam Ballim warns that continued industrial unrest and ongoing electricity constraints remain key risks to realising the potential trade benefits... 

Hitachi confirms Medupi progress, insists it can meet revised schedule

By: Terence Creamer Engineering group Hitachi Power Africa (HPA) reports that 98% of its scope of work on boiler Unit 6 at the Medupi power station, being built in Limpopo, has been completed. It has also confirmed that it is in a position to meet Eskom’s revised commissioning programme, despite having to replace up... 

Waterberg opens up to Exxaro as Transnet expansion gains traction

By: Natasha Odendaal JSE-listed Exxaro said it was optimistic about the “action on the ground” at State-owned Transnet Freight Rail (TFR) as it progressed plans to expand capacity on the existing rail network out of the Waterberg coal region. The Waterberg region had one of South Africa’s largest remaining coal... 

Big implications for SA’s power plan as Eskom’s sales fall to 2006 levels 

By: Terence Creamer State-owned utility Eskom reported a 3.7% decline in electricity sales to 216 561 GWh for the year ended March 31, 2013, lowering its sales to levels similar to those reported in 2006 and 2007, prior to the 2008 power crisis. It had been budgeting sales for the year of 222 083 GWh, which would... 

Alstom admits boiler protection system tests were not ‘fully satisfactory’ 

By: Terence Creamer French energy solutions group Alstom acknowledged on Tuesday that tests performed on the boiler protection system (BPS), which forms part of the control and instrumentation (C&I) solution to be installed at the Medupi power station, had not been “fully satisfactory”. However, in a statement... 

Eskom coal ‘cliff’ could deal another blow to already battered electricity outlook 

By: Martin Creamer Electricity supplies will be further constrained if South Africa fails to secure coal supplies, the Energy Intensive User Group (EIUG) warned a day after State-owned power utility Eskom confirmed that it would not be in a position to meet the end-of-year deadline for the flow of first power from... 

Medupi start-up delayed to mid-2014, costs rise to R105bn 

By: Terence Creamer State-owned power utility Eskom confirmed on Monday that it would not be in a position to meet the end of year deadline for the flow of first power from the Medupi power station, which is being built in the Limpopo province. CEO Brian Dames reported that, following an independent assessment and... 

05/04/2013 (On-The-Air)

By: Martin Creamer The US’s new clean-energy centre in Johannesburg is a shot in the arm for renewable energy in Africa; The production lines for South Africa’s joint missile project with Brazil are beginning to take shape; and The confirmation of coking coal at Makhado is another boost for the Limpopo province. 

22/03/2013 (On-The-Air)

By: Martin Creamer South Africa as a whole, collectively needs to deal with the wildcat strikes that are impacting on the country 

Coal strike talks fail, power disruption fears intensify 

By: Martin Creamer Talks to end the coal strikes at Exxaro coal-mines have been unsuccessful and the fear of electricity disruption at the power stations the mines serve is intensifying. Diversified resources group Exxaro said in a media release, on Tuesday, that, following unsuccessful engagement with the... 

Exxaro adds R700m to GMEP undertakings, receives force majeure from Eskom

By: Natasha Odendaal Diversified miner Exxaro has added R700-million to the cost of expanding the Grootegeluk Medupi coal operations as labour unrest, scope expansion and steel shortages weigh on the capital expenditure of the project. The Limpopo-based, 92%-complete Grootegeluk Medupi expansion project (GMEP) was... 

Company Announcement: Wade Walker Forges Ahead with E & I Projects at GMEP

Electrical, control and instrumentation engineers and constructors Wade Walker, a wholly owned subsidiary of Murray & Roberts, is progressing on schedule with electrical and instrumentation work at Exxaro’s Grootegeluk Medupi Expansion Project in Limpopo 

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