In printed speech, Transnet SOC Ltd CEO, Brian Molefe revealed that his organisation has signed a 10-year, 24 billion-rand ($2.1 billion) coal-haulage deal with miner BHP Billiton Ltd. to transport the fuel to the country’s ports.
Molefe said: “The agreement with BHP is a massive boost for certainty around Transnet’s capacity-expansion programs on the export-coal line.”
As part of the deal, Transnet will haul 17 million metric tons to 18 million tons annually from BHP’s mines in the eastern Mpumalanga province to the Richards Bay Coal Terminal on the country’s north-eastern coast.
Thus far, BHP, based in Melbourne, is the first major customer to commit to a long-term contract with Transnet, Molefe said.