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Econ Oil says it has instructed its attorneys to appeal a recent High Court ruling that set aside a R8 billion tender it was awarded in 2019 to provide fuel oil to 11 Eskom power plants.
On Tuesday, Judge Bashier Vally of the South Gauteng High Court in Johannesburg ruled that the tender was blemished by "irregularity and illegality of the most fundamental kind".
He invalidated Eskom's board's decision to award the tender to Econ, while also finding that no binding contract had been entered into between fuel oil supplier and the power utility.
Eskom CEO, André de Ruyter, said afterwards the ruling was a "vindication of the board's and management’s unwavering stand to protect Eskom's financial and operational interests from corrupt elements, thereby safeguarding the public purse".
But Econ Oil said on Wednesday in a statement that the contract was in its view "legally binding" and it would appeal. First it would have to be granted leave to appeal, however.
"It is evident in the judgment that the initial allegations of corruption, collusion, fraud and overcharging by Eskom were not relied upon by the court," it said in a statement.
"Econ would like to reiterate that the case was about Eskom's request to cancel the Fuel Oil contract. The cancellation was going to impact a legally binding contract the power utility had entered with us, which Econ believes is validly in force and effect."
