South Africa electricity supply insufficient, Rio Tinto aluminum smelter project may delayed

Rio Tinto may delayed the 2.7b $ aluminum smelter project in South Africa because electricity supply of Eskom is insufficient. Eskom may negotiate with Alcan again on the electricity supply agreement. Eskom London spokesman Robert Valdmanis said Rio Tinto hasn’t prepared to do a new negotiation. Alcan has signed a contract with Eskom to supply electricity to Alcan for 25 years, this contract was expect to launch in 2010 to ensure the electricity to the aluminum smelter in Eastern Cap in South Africa.