Mpumalanga Business 2019/20 edition

OVERVIEW
State coal company AEMFC (African Exploration Mining & Finance
Corporation) runs a colliery at Vlakfontein near Ogies and is planning
to develop other projects.
South32 has four collieries and three processing plants in the province.
The company has 4 860 full-time employees and 4 400 contractors.
ArmCoal is a black-owned coal company that arose out of a deal
between Xstrata Coal SA and African Rainbow Minerals Limited (51%).
ArmCoal was the vehicle used in the creation of the large open-cut
thermal coal mine at Goedgevonden.
Contribution to regional economy
Mining’s contribution to provincial GDP is 25.9% of GDP and the
sector employs 53 000 people. Most of the province’s mining companies
are involved in training. The Colliery Training College (CTC) in
Emalahleni is owned by a consortium of companies: Exxaro, Glencore,
Kanga Coal, South32 and Izimbiwa Coal. Historically the centre was
for mining only, but now it offers a broad range of artisan training,
including auto electrician, fitting and turning and millwrights. CTC
has been recognised as a leader in artisan training by the National
Skills Authority.
Coal, platinum, gold and nickel are the province’s major mineral
resources and all are still in demand, even if coal and platinum have
experienced roller-coaster price fluctuations. South Africa produces
75% of the world’s platinum, 80% of its manganese, 73% of its chrome
and 45% of its vanadium.
Deposits of chromite, magnetite and vanadium are the basis of the
ferro-alloy complex in Witbank-Middelburg (in the District Municipality
of Nkangala) and Lydenburg (Mashishing). Nkomati Mine is South Africa’s
only pure-nickel operation. The province’s coalfields are in the south
and west of the province.
Stillwater Sibanye is the new owner of the Burnstone gold mine near
Balfour. Stonewall Resources runs the TGME Project, near the towns
of Pilgrims Rest and Sabie. Stonewall has ambitious targets of going
beyond production of 40 000 ounces from this and other historic mines
in the area.
ONLINE RESOURCES
Colliery Training College: www.ctctraining.org
Minerals Council South Africa: www.mineralscouncil.org.za
National Department of Mineral Resources and Energy:
www.dmr.gov.za
South African Institute of Mining and Metallurgy:
www.saimm.co.za
Having taken full control of
its Barberton mines, Pan African
improved its BEE position
(Shanduka Gold is a 23.8%
shareholder) and set about
increasing its annual gold output
to 100 000 ounces.
Platinum is an important
mineral for the modern economy.
Two Rivers is a joint venture
between Implats (46%) and
African Rainbow Minerals. The
operation is on the southern part
of the eastern limb of the Bushveld
Igneous Complex, south-west of
Burgersfort.
Northam Platinum, which
has assets on both limbs of the
Bushveld Igneous Complex, has
purchased the Everest mine
from Aquarius Platinum. Everest
is adjacent to Northam’s existing
Booysendal mine.
Jubilee Platinum has sold its
Smelting and Refining business
in Middelburg to Siyanda
Resources for R110.5-million.
Sylvania Platinum now has seven
PGM recovery plants that extract
chrome from tailings on both sides
of the Bushveld Igneous Complex.
Lydenburg is home to the Lion
ferrochrome smelter that is a joint
venture between Glencore and
Merafe Resources. Assmang, the
joint venture between ARM Ferrous
and the JSE-listed Assore, operates
a chrome mine (Dwarsrivier) and a
ferrochrome plant where chrome
alloys are made.
The Manganese Metal
Company (MMC) in Nelspruit
is the largest producer of pure
electrolytic manganese in the
world. MMC is owned by Samancor
(51%) and Bilston Investments
owns the balance.
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MPUMALANGA BUSINESS 2019/20