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Eskom not backing down from R2bn claim against Optimum Coal

Gupta-owned Tegeta Resources and Exploration is prepared to fight the state-owned power utility over the fine.

Picture: Reinart Toerien/EWN

JOHANNESBURG - Eskom says it's not backing down from its R2 billion claim against Optimum Coal Mine and will proceed with the matter in court.

Gupta-owned Tegeta Resources and Exploration is prepared to fight the state utility over the fine it inherited from Glencore when it bought the mine earlier this year.

In an interview with Carte Blanche, Oakbay Investments' Nazeem Howa said that Glencore had provided them with a legal case against Eskom, and it will continue to pursue it.

It all relates to the quality of coal that Eskom was being supplied with.

Eskom's Group Executive for Generation, Matshela Koko says the court will have to decide the way forward.

"It's not in dispute that the coal quality is not compliant. We've valued our dispute to R2.1 billion. They have a different version, but we're not backing down."

Koko says, "We'll go right through with it and we'll end up in court and ultimately it's going to be the judge who's going to decide, but we're not backing down."