Intra Energy warns of higher coal costs
PERTH (miningweekly.com) – Thermal coal miner Intra Energy on Tuesday warned customers that costs for its Tanzanian coal would increase after the mining commission from that country demanded that a royalty be imposed on the transport of coal.
Intra Energy operates the Tancoal mine, which has been in production since 2011.
Coal from the mine is transported some 52 km to a sales point in Kitai, from where it undergoes final processing and is loaded onto customer trucks.
The ASX-ilsted company on Tuesday said that the Tanzanian Ministry of Minerals and Mining Commission has now directed Tancoal to charge royalties to customers on their cost of transport.
A 3% royalty and a 1% clearance and inspection fee will be charged on the cost of transport from the Tancoal mine to customer plants for both domestic and export customers, with the largest domestic customers now paying an additional $2.94/t of coal, while the largest export customers will pay an additional $8.23/t.
The Mining Commission has warned that it will not issue coal transportation permits after September 15 if the royalty on transport is not implemented.
Since Tancoal does not own any trucks, the company will be forced to sell to licensed dealers buying on behalf of customers.
Intra Energy told shareholders that the company was in discussions with both the government and customers to find a suitable solution.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation














