Glencore Chrome Venture Provisionally OKs Cheaper Power Deal

Glencore Plc’s ferrochrome operation in South Africa initially accepted an offer for cheaper electricity as the company and the state negotiate the restart of the firm’s smelters.

The company’s joint venture with Merafe Resources Ltd., which processes chrome ore into ferrochrome, has been discussing a deal with state-owned Eskom Holdings SOC Ltd for power supply at a tariff of 62 cents ($0.03) per kilowatt hour. That offer was provisionally accepted with “revised terms and conditions” communicated by Eskom’s board, the venture said in an emailed statement on Friday.