Exxaro’s Grootegeluk
coal mine, which will
supply Eskom for
40 years
 
Johannesburg, South Africa — MININGREVIEW.COM — 15 September 2010 – The Medupi power station has not been delayed by two years, and media reports suggesting this are not true, says electricity parastatal Eskom.

This statement follows earlier reports that Exxaro manager for growth and energy Thomas Garner had said at a co-generation conference here that the Medupi power station would be behind by two years, and that South Africa would shortly be in a dire situation.

“Eskom is concerned by comments that have purportedly been made by third parties outside of the electricity company on its capital expansion programme,” it stated. It had previously mentioned that there was a potential three-month delay on Medupi for the commissioning of the first unit to September 2012, with additional units coming on stream individually every six to eight months thereafter.

“Various scenarios, including stopping the building of the second Kusile power station or delaying Medupi for two years, have been run for the department of energy’s Integrated Resources Plan 2 modelling, but they are no more than scenarios," Eskom finance director Paul O’Flaherty said.

He confirmed that the government and Eskom were 100% committed to building Kusile. “Costs for Medupi are R125 billion and for Kusile R140 billion, as previously announced,” he added.

Meanwhile Exxaro said in a statement that the scheduled start-up dates had not been changed.

“The group continues to work closely with Eskom to supply coal for the power station’s scheduled start-up of the first generating unit in the second quarter of 2012,” the statement added.

“The construction of the R9.5 billion brownfields expansion of Exxaro’s Grootegeluk mine was also progressing well,” it said. The mine would supply the power station with coal for over 40 years.