Czech energy group Energetický a Průmyslový Holding (EPH) is considering using coal from its Mibrag mine in Germany keep its Elektrárny Opatovice power station running following the withdrawal of mining company Czech Coal from a supply contract, the daily E15 reported on Monday.
Czech Coal on June 7 announced it had terminated its brown coal supply agreement to the plant — the latest salvo in the long-running “coal war” — due to what it said was Elektrárny Opatovice’s repeated failure to honor terms and conditions of the contract, chief among them to pay the purchase price — an allegation that EPH has denied.
The 360 MW Elektrárny Opatovice station — a major heat and hot water producer for the Hradec Králové, Pardubice and Chrudim areas — will soon run out of coal. EPH spokesman Martin Maňák told E15 the company is “exploring all possible alternatives,” including using coal from the Mibrag mine.
However, sector analysts said it was doubtful that EPH would do so because the Mibrag coal has different properties, would be expensive to transport, and there is no contract in place between the respective companies for its delivery.
Czech Coal (controlled by billionaire Pavel Tykač) claims on its books are more than Kč 500 million in overdue receivables from EPH, a venture of investment groups PPF and J&T that is partly controlled by the richest Czech, Petr Kellner.