[miningmx.com] – TRANSNET CEO, Brian Molefe, launched a stinging attack on shareholders of Richards Bay Coal Terminal (RBCT) who he said were refusing to share the use of the terminal, preferring to serve “their own interests” instead.
It was for this reason that Transnet was likely to proceed with building its own coal export terminal, also to be situated in Richards Bay, in an effort to serve “the small guys”. A study of a 12mtpa Transnet terminal was underway with scoping details likely to be available at the transport utility’s year-end.
RBCT has a nameplate capacity of 91.5 million tonnes/year (mpta) of which about four million tonnes annually is provided to black-owned companies in terms of the Quattro scheme. RBCT also argues that its shareholders have empowerment deals and therefore use of the terminal is shared relatively broadly.
Molefe said, however, that his company receives regular requests from independent coal export companies saying they can’t get access to export entitlement.
“The problem with Richards Bay is general issue of concessions,” said Molefe, who was commenting on the matter at Transnet’s interim results presentation today.
“They are refusing to allow the small guys to take coal through the port. It’s a problem that confronts us as a nation. Their [RBCT’s] defence is they have already allowed enough in 4mpta through Quattro, and have done BEE deals. All we know is there are a lot of small guys who are asking Transnet to fight for them,” he said.
In an extraordinary disclosure, Molefe said there had been “a disastrous meeting” with BHP Billiton this week in which he had “nearly come to blows” over the issue of freeing up entitlement to small companies.
“BHP Billiton is refusing to give up 1mpta for small guys despite the amount of coal we are railing through to the terminal,” said Molefe. “That is why want to use Richards Bay coal for the small guys. We fight for the small guys. That is what’s at the bottom of this coal hullabaloo,” he said.
“That is why we are prepared to put our own capital next door,” he said of Transnet’s own terminal plans which he added was “counter-productive”. This was owing to the fact that RBCT was on land that had been leased to private shareholders.
He described the terminal as “a state asset that has been given for the private sector for sole pursuit of own interest and nobody else”.
“That is the problem at Richards Bay if the truth be told. It is true we are using part of our land and port capacity to allocate to the small guys,” he said.
Miningmx reported on October 4 that RBCT chairman, Mike Teke, as well as Grindrod, the JSE-listed logistics company, were keen to co-operate with Transnet on expanding their existing terminals rather than building a third independent facility.
Miningmx also quoted Tau Morwe, CEO of Transnet’s National Ports Authority (TPA), to have said that Transnet was concerned that the dominance of existing coal exporting operators was not extended.
“My dream is to sit around a table with Transnet and to collaborate,’ said Teke in the Miningmx report.
That looks unlikely, however. Said Morwe: “When we appoint an operator we will make a decision on whether RBCT or Navitrade [Grindrod] should expand, or if it should be handed to another operator,’ he said.
