SOUTH AFRICAN coalminers vowed yesterday to defend jobs at a pit that is the subject of a row between the well-connected Gupta family and the world’s biggest mining firm.
The controversy between the Indian family, Swiss giant Glencore, national electricity supplier Eskom and the African National Congress (ANC) government surfaced in newspaper reports at the weekend.
Yesterday the National Union of Mineworkers (NUM) objected to the publishing of its comments made to the weekend “lekgotla” (assembly) of the ANC, South African Communist Party and trade union federation Cosatu, which comprise the tripartite alliance.
Communist deputy general secretary Solly Mapaila went public after telling the meeting that the Guptas — rumoured to wield great influence over President Jacob Zuma — were the “elephant in the room.”
The allegations stem from a trip to Zurich that Mineral Resources Minister Mosobenzi Zwane made in December to meet Glencore chief executive Ivan Glasenberg — at the same time as a private jet belonging to the Gupta family was seen at the airport.
Following that meeting, Glencore sold the Optimum coalmine in Mpumalanga province to Tegeta Exploration and Resources, in which the Guptas have a stake.
Glencore later complained that it had been forced to sell the mine after Eskom fined it for failing to supply coal in sufficient quantity and of acceptable quality, driving the already unprofitable operation to the wall.
Mr Zwane then invoked legislation forcing the sale, but a three billion rand (£130 million) bid by a black-owned company favoured by the NUM was rejected in favour of a two billion rand (£85m) offer from Tegeta.
NUM president Piet Matosa reportedly complained to the lekgotla that Mr Zwane had not consulted the union before his trip.
NUM spokesman Livhuwani Mammburu said the union’s prime concern was the threat to thousands of jobs at the neighbouring Exxaro Arnot coalmine in Mpumalanga after Eskom did not renew its contract at the end of last year.
“We are not defending or speaking on behalf of the individual mining companies affected,” he said.
Mr Zwane insisted on Monday that he had acted to save jobs at Optimum.
The Gupta family own the New Age, the only South African newspaper that supports the ANC, and have also been buying stakes in British power stations, steel mills and other engineering firms in recent months.