INVESTMENT OPPORTUNITY
INVESTMENT OPPORTUNITY І MiningKolomela Mine. Kumba Iron Oreis a supplier of high-quality ironore to the global steel industry.The Northern Cape is well positioned to supply products that will drive the greentechnology revolution.Avalue-creation strategy in the mining andminerals sector is being pursued by theProvincial Government of the NorthernCape. The province has vast reserves ofiron, manganese, diamonds and copper, as wellas an abundant supply of the rare earth mineralswhich are critical to the development of the globalgreen economy.With the support of mining giants such as AngloAmerican and South32, the province is movingbeyond the export of raw materials and is expandingits beneficiation and processing industries. Byexpanding beneficiation and local processing, theNorthern Cape is generating new jobs, creatingvalue, and adding a new dimension to its resourcebasedeconomy.At Sishen and Kolomela, two of the most productiveiron ore mines in the world, Anglo American’sKumba Iron Ore subsidiary is already investing insophisticated beneficiation facilities to process itsultra-high-grade ore.Working closely with private enterprise, the publicsector is playing a leading role in catalysing theseefforts. The Northern Cape Economic DevelopmentAgency (NCEDA) and the provincial governmentare actively supporting the development ofbeneficiation clusters such as the Northern CapeMetals Industrial Cluster (NCMIC) in Upington.The site will be a hub for smelting, fabrication andalloy production, using locally mined manganeseand iron.Meanwhile, the establishment of the NamakwaSpecial Economic Zone (SEZ) in the town ofAggeneys, with mining multinational Vedanta asthe core tenant, will help accelerate the growth ofthe beneficiation and manufacturing sectors.Businesses operating within the SEZ will enjoysignificant tax reductions as well as infrastructurebenefits. In addition to Vedanta, Luxembourgbasedminer Frontier Rare Earths, which is developinga major deposit of rare earths and batterygrademanganese, has also committed to investin Namakwa.Construction of the Namakwa SEZ is set to begin
| +27 53 833 1503.za | info@investsanc.co.zatsanc.co.zaorthern Cape: A Modern, Growing and Successful Province”2022/232022/06/01 13:03PHOTO: Kumbain 2027-2028 and will mark a new chapter inthe economic history of the province. The SEZ isexpected to create 2 000 jobs in its initial phase,with employment rising to 9 000 during peakconstruction and operation.A strategic priority for the province in thisnew phase is to increase its production ofsought-after products such as iron pelletsfor steel production and battery-grademanganese sulphate for electric vehicles.That will help position the Northern Capeas an emerging exporter to global markets,as demand grows for the processed materialswhich are driving the green technology revolution.“Too often, raw materials leave the provinceonly to return as expensive finished goods,” saysMEC for Finance, Economic Development andTourism Lorato Venus Blennies-Magage. “Weare turning that tide and ensuring that jobs andeconomic returns stay within our communities.”Driving innovationFrom renewable energy to logistics, the province’smining companies are also driving innovation acrossthe Northern Cape economy and supporting thegovernment’s wider ambitions for responsibleeconomic and social development. Local miningcompany Assmang is investing in logisticsoptimisation, particularly around the Hotazel railcorridor, to improve ore handling and reduceturnaround times at the Port of Ngqura in theEastern Cape.For its part, South32’s Hotazel ManganeseMines, a joint venture with African Rainbow Minerals,is integrating solar-power solutions to reduce itsreliance on fossil fuels and improve the security ofenergy supply.“If you look closely, you’ll see it’s all connected;mining, logistics, renewables and exports,” Blennies-Magage says. “We’re creating an integrateddevelopment model where each sector complementsthe other.”IN NUMBERS• 2.4-billion: The Sishen mine has estimated reservesof 2.4-billion tons of iron ore, among the world’slargest.• 80%: The Kalahari Basin holds 80% of the world’smanganese reserves, vital for steel and batteryproduction. ■Vedanta Zinc International will be the core tenant of the Namakwa Special Economic Zone (SEZ) inthe town of Aggeneys.PHOTO: Vedanta
