EXXARO Resources CEO, Mxolisi Mgojo, said that without a properly functioning power utility company – Eskom – South Africa’s mining industry would cease to function.
“The current state of Eskom is going to be the one thing that is going to be the death knell of this industry,” Mgojo was cited by Bloomberg News to have said in an article republished by Yahoo Finance. Mgojo is also the president of the Minerals Council South Africa.
Mgojo was commenting at a conference organised by Business Unity South Africa, the country’s largest business lobby group. “Without fixing Eskom we don’t have a mining industry. It is as dire as that.”
Eskom has a monopoly on electricity generation and distribution, preventing mines such as Exxaro from producing the power they need to operate, said the newswire. South Africa is the world’s largest producer of platinum, and earns more that half of its export revenue from raw materials.
“We have been in discussion with the ministries around that, how we would actually go about investing our own monies in alleviating the electricity demand within the grid,” Mgojo said. “That is out there; it just needs the will from somebody else to make that happen.”
For the rest of this article: https://www.miningmx.com/trending/39719-failure-of-eskom-to-be-the-death-knell-of-sa-mining-sector-says-exxaros-mgojo/