BUSINESS • power restrictions that were implemented over the course of a couple of weeks .
State companies were instructed to produce coal in excess of their quotas in an attempt to alleviate the deepening power crisis . China has also influenced the movement of coal and limiting iron manufacturing in the country . In the same vein , the unpredictable nature of supply from China is forcing some countries dependent on imports from China to reconsider domestic production options .
China was one of the few countries that was still funding new coal mining and power projects , both domestically and abroad . In October 2021 however , China revised their position and indicated that the country would no longer invest or develop coal projects outside of China .
Aggreco cooling infrastructure at Cobar mine .
The coal industry has also been struggling to attract and retain skilled labour . In the US , the coal industry is facing a shortage of miners . The number of coal miners in the US has been sliding for years and is down about 8.6 % from 2019 .
But in countries like Australia , coal mining has not stopped with the looming regulations , with a number of new collieries opening . Millennium metallurgical coal mine , in Queensland , a joint venture ( JV ) between coal miner Stanmore Coal and M Resources started production in July of this year . Edenville Energy ' s thermal coal project in southwest Tanzania , has been focused on preparing the site to meet the expected demand for its Rukwa coal project .
In eSwatini , where mining has been virtually non-existent in the past , Lurco Coal Eswatini has been granted a prospecting licence for coal resources at the Mpaka coal mine , in the Lubombo region .
South Africa hosts vast coal reserves , and over the decades these reserves were key in developing the country ’ s industrial sector . The abundance of thermal coal and during the days when Eskom was effectively managed , South Africa was able to generate some of the cheapest electricity in the world , attracting high consumers such as aluminium smelters and producing a surplus of energy which it was able to export to neighbouring countries .
But the worsening conditions at Eskom over the past two decades have now resulted in several smelters having to shut down due to high costs and irregular electrical supply in the wake of loadshedding – which has become a common occurrence in the last decade . The move away from coal is planned to be done in a step-bystep manner over the coming decades , according to the Department of Minerals and Energy ( DME ).
Aggreco cooling infrastructure at Cobar mine .
About the Author Nicolaas Steenkamp has two decades of post-qualification experience in the geological and geotechnical industry . He has been involved in a variety of activities ranging from exploration , geochemistry , geological and geotechnical , desktop studies , country reviews , due diligence , to EPCM contracts and related feasibility studies .
Bowline Professional Services is a boutique consulting and project management firm providing a variety of services to industries . One of their key differentiators is that they embrace new approaches and innovations , and collaborate with associates , partners , clients , and suppliers in all industries from even the most remote locations . •
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African Mining • January 2022 • 23 |