Minergy indefinitely suspends operations at Masama

Grounded: Operations have been suspended at Masama due to cash flow troubles. The Mine kicked off in 2019 and had enjoyed a bumper 2022 after Russia’s invasion of Ukraine raised global coal prices PIC: MINERGYCOAL.COM
Grounded: Operations have been suspended at Masama due to cash flow troubles. The Mine kicked off in 2019 and had enjoyed a bumper 2022 after Russia’s invasion of Ukraine raised global coal prices PIC: MINERGYCOAL.COM

Minergy Ltd has indefinitely suspended operations at its Masama Mine in Medie, saying coal prices have fallen by 33% since mid-December affecting the company's cash flows.

CEO Morne du Plessis confirmed the latest developments in a statement released this evening. The move will affect more than 300 workers employed by mining contractor Jarcon Opencast Mining Botswana.

"As with many businesses, when structural changes occur in a market and external demand factors influence price, operational adjustments need to be made to bring operating costs in line," he said.

Editor's Comment
Accounting officers should be held accountable

Particular trepidations lie with the seemingly embedded nature of embellishing tender sums, in most cases without the barest minimum of authority. The worrying thing is that the inflated amounts run into millions of pula across the government ministries and departments. The Auditor General’s report of March ending 2022, which we cover extensively in this edition, paints a gloomy picture on management of the government coffers. It depicts the...

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