Edenville Energy has signed a contract with an industrial customer for the supply of a specialised coal product.
The customer, an industrial group operating in East Africa, will use the coal as part of its manufacturing process.
Edenville has been working with the customer through 2018, to create a product specifically suited to the customer’s operations and has been supplying test batches of coal.
The upgrades currently being undertaken at the company’s Rukwa project site will ensure this contract, along with its other customer deliveries, can be met.
“I am very pleased we have formalised this relationship and have secured Edenville’s largest single coal contract to date," comments Edenville CEO, Rufus Short.
"We look forward to supplying this customer with coal from our operation in Tanzania and we will continue to work with them to ensure their needs are met.
"With this contract, we now have in excess of 8 000 tons per month of regular orders and are busy implementing the expansion plans at site.
"I look forward to providing further updates on the progress of the operation as we continue to establish the project as a significant supplier of coal in East Africa," he continues.
The terms for supply
- the contract duration is for an initial period of two years;
- coal will be supplied with a gross calorific value averaging 5.500 kCal/kg;
- pricing has been agreed and is based on local commercial rates;
- the customer will be responsible for transport of the coal from the mine gate; and
- the contract is for the supply of 3.500 tons of coal per month with an option for the customer to increase this up to 6.000 tons per month