looking outside the box towards stage 2

Hi all,

I have been thinking about stage 2 of our mine, in my last post if you read in-between the lines, you could almost say that the article was giving us a hint of what could happen with stage 2 of our mine.

We all know that Eskom needs coal lots of it, between now and 2040, Eskom needs about 2 Billion tonnes of coal which they have not yet find a supply for the coal, I have been thinking about the way things are in SA ATM, with the problems that SA have been having with the unions of late, also supply of coal to Eskom’s power stations.

I’m looking way outside the box, now what would happen if SA have some power blackouts this year? What will the SA Government do about this?......Will the Government say to Eskom why has this happen? How can we fix the problem up?

Also with the troubles at FSE/RNG, depending on what happens there, Eskom just might need to find another supply of coal.

I like what the article mentions below from my last post.

Paul Jury, MD of Resgen, likens it to a “who blinks first” Western moment”

“Alternatively, existing shareholders such as Calcutta Electric (11.6% or Bhushan Steel (6.65%) could increase their exposure to Boikarabelo”

“Said Jury of the investment by Noble Group: “This is the first step in getting to stage two”.

Now I keep on thinking what PJ said above on this matter. “This is the first step in getting to stage two”

Not only is PJ taking about this, but also Goldman Sachs who said this about RES.

“Stage two of the project could be developed from internal cash flow, but that there was a possibility that it could “get fast-tracked” such that it was developed alongside stage one”

Let’s just say that stage 2 is fast tracked alongside stage 1 as in above, the only way that this could happen is this, knowing that Eskom and SA needs the coal in the Waterberg Coal Fields, our 2 biggest investors might invest some more money into RES, putting up the cash for RES to increase its output of coal at our mine, therefore developing our mine from stage 1 straight to stage 2 by sometime around 2016/18.

The other thing to consider if this was to happen is this, the Waterberg Coal Fields needs infrastructure built ASAP railways, roads and so on, until this happens unfortunate stage 2 is a long way off unlessssssss?


Just having a nice glass of red or two after work.



Good luck to all that hold RES