Exxaro’s Grootegeluk mine in Lephalale in Limpopo. (Supplied)
Exxaro Resources has warned that its half-year coal production and sales volumes are expected to decrease by 14% and 12%, respectively, “mainly due to the reduced demand from Eskom” at its Grootegeluk operation, the mining group said in a pre-close briefing on Tuesday.
Exxaro said the first three months of the year were challenging in terms of offtake from Eskom’s power stations in the Waterberg region, although improvements were observed in the second quarter.
Eskom is Exxaro’s largest customer, accounting for close to 60% of the miner’s annual sales volumes.
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