July 4, 2008

GBP700M Coal Supply Contract is Sealed

A GBP700MILLION coal supply deal, believed to be the biggest ever in Scotland, has been announced.

The fi ve-year agreement between ScottishPower and Scottish Coal will lead to the creation of more than 100 jobs.

It was hailed by First Minister Alex Salmond as a "declaration of faith" in coal A significant proportion of Scottish Power's supply require ments will be met under the deal. It will be worth up to GBP700m, depending on the amount of coal needed.

The coal is expected to come from reserves in Lanarkshire and Ayrshire as well as Fife and the Lothians.

Ignacio Galan, chairman and chief executive of Scottish Power's parent firm Iberdrola, discussed the deal with Mr Salmond over the phone yesterday and met with finance secretary John Swinney.

Originally published by Newsquest Media Group.

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