Glencore Merafe Chrome Venture statement on proposed 62c/kWh electricity tariff solution

The Glencore Merafe Chrome Venture (“the Venture”) acknowledges the feedback from Eskom and Government indicating in-principle support for the proposed 62 c/kWh electricity tariff solution for its ferrochrome smelters. The Venture notes that the associated terms, conditions, and contractual framework are still being finalised and remain subject to NERSA approval. 

The Venture appreciates the efforts of Eskom and Government to date.

The Venture emphasises that the specific terms and conditions of the proposed tariff are critical as these must be commercially reasonable and viable, ensuring the long-term operational stability of the smelters. As a responsible operator, the Venture must ensure that no binding commitments are unduly onerous or place the business at risk.

The Venture remains committed to engaging constructively with all stakeholders to achieve a balanced and workable solution.

Following consultation with employee representatives, the Venture confirms that it is willing, in good faith, to extend the current termination date under the Section 189 process from 28 February 2026 to 31 March 2026, to allow these engagements to continue.

However, if agreement on the terms and conditions and implementation of the 62 c/kWh tariff is not reached on or before 31 March 2026, the Venture will regrettably have no option but to proceed with the execution of the Section 189  terminations in accordance with applicable legislation.