Thungela Resources, SA’s leading producer of thermal coal, on Tuesday announced that Moses Madondo will replace July Ndlovu as CEO when he retires in July.
Ndlovu has been at the helm of Thungela since it was unbundled from Anglo American in July 2021.
Madondo, at present the CEO of De Beers Group managed operations, “brings over 25 years of mining experience to the role in various senior leadership positions,” Thungela said in a statement.
He has held various senior leadership positions and served on several boards, including the Minerals Council of SA and Rand Refinery.
The move by Thungela is notable for its rarity in corporate SA, where acting CEOs often fill leadership vacancies for extended periods. Thungela’s planned approach should ensure a seamless transition of leadership.
Madondo’s appointment comes at a critical juncture for the SA coal industry. According to the International Energy Agency (IEA), the industry has a pipeline of 16 new projects with a combined capacity to produce more than 40-million tonnes of coal a year, valued at R80bn.
The IEA data comes as SA’s coal industry faces significant challenges. The Pretoria high court recently halted government plans to approve new coal-fired power stations, citing a failure to consider the environmental and health effects, and the industry has been affected by Transnet’s rail inefficiencies and opposition from environmental groups.
Despite these challenges, the IEA said SA remained the African country with the longest project pipeline, focusing primarily on thermal coal.
The IEA forecasts SA’s coal consumption will increase to 165-million tonnes in 2024, driven by Eskom’s increased usage. The agency attributes this growth to a slight improvement in economic activity and a reduction in load-shedding.
Coal remains the mainstay of SA’s energy system, accounting for about 70% of installed generation capacity. However, the government’s 2019 Integrated Resource Plan outlines a diversification of the power mix by 2030 as the carbon footprint of the energy sector is reduced while meeting growing demand and ensuring a just socioeconomic transition.
With Kabelo Khumalo
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.