Development of the Thabametsi project by Exxaro Resources, a prospective greenfields opencast coal mine adjacent to the company’s Grootegeluk colliery is expected to coincide with a planned 600 MW coal-fired base load independent power producer (IPP) in South Africa. The Thabametsi mine will supply about 3.8 million tonnes a year of coal to the 600 MW Waterberg IPP post ramp-up.
The period of the coal supply agreement will be determined by the duration of the power purchase agreement signed with Eskom. It is estimated to extend up to 25 years. The pre-feasibility study for the Thabametsi mine has commenced and is anticipated to be completed by the end of 2013, whilst the bankable feasibility study will commence at the beginning of 2014.
Read on Esi-Africa >