Wesizwe Platinum has revealed that it is making good progress with the Frischgewaagd-Ledig project after making the decision to install its own diesel generators.

The generators will supply the project with 18MW of power throughout the construction phase and this could be increased to 65MW, enough to power the entire mine.

This would guard the firm against any problems relating to power supply as concerns remain over Eskom's long-term ability to power South Africa.

Chief Executive Officer Mike Solomon told Mining Weekly that he was delighted with outcome of the study.

"We have a completely manageable situation with power availability for the project and the economics and risk thereof," he explained.

The comments follow the news that South Africa's government has allowed Eskom to increase electricity prices by 27.5 per cent this year.

Annual increases of as much as 25 per cent could take place over the next three years, a statement from the National Energy Regulator revealed.

Eskom had applied for an increase of 61 per cent, including the 14.2 per cent granted in September, but this has not been approved.



Source:

Wesizwe to use generators as power contingency plan at flagship platinum project, 17/06/08
http://www.miningweekly.com/article.php?a_id=135865

South Africa Increases Electricity Prices by 27.5%, 18/06/08
http://www.bloomberg.com/apps/news?pid=20601116&sid=aMqxcnXIUhF0&refer=africa