Optimum coal mine that supplies Hendrina Power Station in Mpumalanga, South Africa informed Eskom that they have commenced with business rescue proceedings on 19 February 2018.
Eskom has fully complied with its contractual obligations to Optimum Colliery.
In January 2018 Optimum Coal Mine failed to meet its contractual deliveries to Hendrina Power Station. This has led to Eskom imposing a failure to supply penalty.
The penalty amount exceeded the invoice amount from Optimum coal mine.
Coal has not been delivered to Eskom since workers at the mine downed their tools yesterday, 22 February 2018. In mitigation, Eskom has diverted coal from other mines to supply Hendrina Power Station.
Eskom will continue to focus on the energy availability of the rest of the fleet to ensure reliability of supply.