Northern Cape Business 2020/21 edition

The 2020/21 edition of Northern Cape Business is the 10th issue of this highly successful publication that has, since its launch in 2009, established itself as the premier business and investment guide for the Northern Cape Province. Officially supported and used by the Northern Cape Department of Economic Development and Tourism, Northern Cape Business is unique as a business and investment guide that focuses exclusively on the province. In addition to comprehensive overviews of sectors of the economy, this publication has a particular focus on specific, packaged, investment opportunities. These include plans for the establishment of Special Economic Zones (SEZs) within the province, which have specific incentives designed to make investment into the Northern Cape even more attractive. The hi-tech exploits of astronomers and engineers in search of a landspeed record are the focus of an article on engineering sector while the rapidly expanding solar energy sector which continues to attract significant capital is discussed in some detail.

The 2020/21 edition of Northern Cape Business is the 10th issue of this highly successful publication that has, since its launch in 2009, established itself as the premier business and investment guide for the Northern Cape Province.

Officially supported and used by the Northern Cape Department of Economic Development and Tourism, Northern Cape Business is unique as a business and investment guide that focuses exclusively on the province. In addition to comprehensive overviews of sectors of the economy, this publication has a particular focus on specific, packaged, investment opportunities. These include plans for the establishment of Special Economic Zones (SEZs) within the province, which have specific incentives designed to make investment into the Northern Cape even more attractive. The hi-tech exploits of astronomers and engineers in search of a landspeed record are the focus of an article on engineering sector while the rapidly expanding solar energy sector which continues to attract significant capital is discussed in some detail.


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2020/21 2018/19 EDITION

2018/19 EDITION

2019/20 EDITION





2017/18 EDITION







| |

Physical: Metlife Towers,

13th Fl, Cnr Stead & Knight Sts, Kimberley, 8300

Postal: Private Bag X6108, Kimberley, 8301

Tel: 053 839 4000 | Fax: 053 832 6805

Web: http://economic.ncape.gov.za

Email: dedat@ncpg.gov.za



Northern Cape Business 2020/21 Edition


Foreword 6

The Northern Cape’s unique guide to business and investment.

Special features

A regional overview of the

Northern Cape Province 8

A new university, a world-class astronomy project and

billions of rands of investment in renewable energy

underpin the Northern Cape’s investment proposition.

Catalyst to economic growth

in the Northern Cape 12

The planned Namakwa Special Economic Zone to be

established in the Aggeneys region of the Namakwa

District will have a transformative effect on the local,

regional, provincial and national economies.

De Aar Logistics Hub 18

Centrally located hub will reduce costs and improve efficiency.

Boegoebaai Port 20

Port, Rail and Infrastructure Development Project.

Investment opportunities outlined 24

The Northern Cape Economic Development Trade and

Investment Promotion Agency (NCEDA) has four attractive

investment opportunities.

Economic sectors

Agriculture 32

Rooibos is a hit around the world.

Water 35

A water equity scheme is under discussion.

Wine and grapes 36

The Orange River region punches above its weight

in grape and wine production.







A Taste of South Africa

Grown and ripened under the South African sun for the most delicious

tasting fruit. Helping to develop the Rainbow Nation

South African raisins are produced in the Orange and Olifants river regions, which is in the

Northern and Western Cape respectively. These regions experience exceptional levels of sunshine,

on average 10.5 hours every day between January and March, which is when the fruit is harvested

and naturally sundried. The dry, sunny climate, along with the ample supply of water from the

rivers, makes ideal growing conditions to produce the highest quality raisins.

Raisins are a ‘natural powerhouse’ packed full of

nutrients, such as fibre, iron, calcium and

antioxidants. Because most of the water

is extracted from dried fruits, their

nutrients are concentrated.

South Africa is dedicated to

adopting sustainable farming

processes that benefit its

produce, workers and

the environment.

@southafricanraisins @southafricanraisins @southafricanraisins


Mining 38

A public mining company is planned in the Northern Cape.

Engineering 42

Fast cars and superfast data are set to break records.

Tourism 44

The stars are aligned for Northern Cape tourism.

Education and training 46

Enrolment at Sol Plaatje University is rising.

Energy 50

A hybrid wind and solar plant could power a new zinc mine.

Banking and finance 52

Solar projects are attracting financial backing.

Development finance and SMME support 53

Local businesses are thriving in support of mining.



The quiver tree is in fact a

type of aloe, which can occur

in forests. It has become

a botanical symbol of the

stark landscape of the dry

north-west. This picture was

taken near Klein Pella in the

Gordonia district near the

border between South Africa

and Namibia. The bark and

branches of the “Kokerboom”

were used by early residents

of the area to make quivers

for their arrows.

Photo: Sproetniek/iStock.

Key sector contents 30

Northern Cape locator map. 54


Africa Biomass Company (Bandit Industries Inc) 5, 34

Kimberley Diamond and Jewellery Incubator (KDJI) 39, 41

Nedbank 26-29

Northern Cape Chamber of Commerce and Industry (NOCCI) 23

Northern Cape Department of Economic Development and Tourism IFC, 3, 12-22, 39, 41, OBC

Northern Cape Economic Development Trade and Investment Promotion Agency (NCEDA) 24

SA Airlink


Sol Plaatje University 48

Standard Bank 7



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Northern Cape Business

A unique guide to business and investment in the Northern Cape.


Publisher: Chris Whales

Publishing director:

Robert Arendse

Editor: John Young

Managing director:

Clive During

Online editor: Christoff Scholtz

Art director: Brent Meder

Designer: Simon Lewis

Production: Lizel Olivier

Ad sales: Gavin van der Merwe,

Sam Oliver, Jeremy Petersen

Gabriel Venter, Vanessa Wallace,

Themba Khumalo, Shiko Diala

and Sandile Koni.

Administration & accounts:

Charlene Steynberg

and Natalie Koopman

Distribution & circulation

manager: Edward MacDonald

Printing: FA Print

The 2020/21 edition of Northern Cape Business is the 10th issue of

this highly successful publication that has, since its launch in 2009,

established itself as the premier business and investment guide for

the Northern Cape Province.

Officially supported and used by the Northern Cape Department of

Economic Development and Tourism, Northern Cape Business is unique as

a business and investment guide that focuses exclusively on the province.

In addition to comprehensive overviews of sectors of the economy, this

publication has a particular focus on specific, packaged, investment

opportunities. These include plans for the establishment of Special

Economic Zones (SEZs) within the province, which have specific incentives

designed to make investment into the Northern Cape even more attractive.

The hi-tech exploits of astronomers and engineers in search of a landspeed

record are the focus of an article on engineering sector while the rapidly

expanding solar energy sector which continues to attract significant capital

is discussed in some detail.

To complement the extensive local, national and international

distribution of the print edition, the full content can also be viewed online

at www.globalafricanetwork.com under e-books. Updated information

on the Northern Cape is also available through our monthly e-newsletter,

which you can subscribe to online at www.gan.co.za, in addition to our

complementary business-to-business titles that cover all nine provinces as

well our flagship South African Business title. In 2020, the inaugural African

Business joined the Global African Network stable of publications. ■

Chris Whales

Publisher, Global Africa Network | Email: chris@gan.co.za


Northern Cape Business is distributed internationally on outgoing and

incoming trade missions, through trade and investment agencies;

to foreign offices in South Africa’s main trading partners around the

world; at top national and international events; through the offices

of foreign representatives in South Africa; as well as nationally and

regionally via chambers of commerce, tourism offices, airport lounges,

provincial government departments, municipalities and companies.


Global Africa Network Media (Pty) Ltd

Company Registration No: 2004/004982/07

Directors: Clive During, Chris Whales

Physical address: 28 Main Road, Rondebosch 7700

Postal address: PO Box 292, Newlands 7701

Tel: +27 21 657 6200 | Fax: +27 21 674 6943

Email: info@gan.co.za | Website: www.gan.co.za

Member of the Audit Bureau

of Circulations ISSN 2074-0654

COPYRIGHT |Northern Cape Business is an independent publication

published by Global Africa Network Media (Pty) Ltd. Full copyright to the

publication vests with Global Africa Network Media (Pty) Ltd. No part

of the publication may be reproduced in any form without the written

permission of Global Africa Network Media (Pty) Ltd.

PHOTO CREDITS | Cover: Sproetniek/iStock; ACWA Power; Carpe Diem

Group; Charlie Sperring (Bloodhound LSR); Bokkeveld Rooibos; iStock

by Getty Images; John Middleton/Wikipedia; Kumba Iron Ore; Northern

Cape Department of Education; Northern Cape Tourism Authority

(Experience Northern Cape); Paul Dippenaar/Dippenaar Choice Fruit;

Savage + Dodd Architects; South African Agency for Science and

Technology Advancement; South African Radio Astronomy Observatory

(SARAO); South African Heavy Haul Association; SAOpen2019.com.

DISCLAIMER | While the publisher, Global Africa Network Media (Pty)

Ltd, has used all reasonable efforts to ensure that the information

contained in Northern Cape Business is accurate and up-to-date,

the publishers make no representations as to the accuracy, quality,

timeliness, or completeness of the information. Global Africa Network

will not accept responsibility for any loss or damage suffered as a result

of the use of or any reliance placed on such information.






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A regional overview of the

Northern Cape Province

By John Young

Image: Savage + Dodd Architects

A new university, a world-class astronomy project and billions

of rands of investment in renewable energy underpin the

Northern Cape’s investment proposition.

South Africa’s largest province is also the

country’s sunniest and investors in solar

energy are taking advantage of large tracts

of sunlit land to build giant solar farms.

South Africa’s newest university is growing in

Kimberley and one of the world’s biggest scientific

projects, the Square Kilometre Array (SKA) radio

telescope, is taking shape around Carnarvon.

Sol Plaatje University has a strong suit in

teacher training, but an expanding curriculum

speaks both to being able to exploit the SKA link

through subjects such as ICT and data science and

an appreciation of the past via heritage studies

and paleo-sciences. The university’s location in

an arid region means that future programmes

will be developed to study agriculture in waterstressed


Building on the campus, which will eventually

cover 190 000m², is expected to continue for another

decade. The competition held to choose architects for

the first new buildings lead to some award-winning

designs, including the multi-functional building

(pictured) which houses a canteen, residences,

offices and a retail section. The colourful wind-driven

louvres were designed by Savage + Dodd Architects

and executed by RVI Architectural Solutions.

Several black and women-owned companies

have been active on the 12 projects currently




underway. A Great Hall is planned on a portion of

the Oppenheimer Gardens.

Mining and agriculture, the traditional pillars of

the provincial economy, remain important. Both

sectors continue to contribute (despite fluctuating

iron-ore prices and periodic droughts) but both

sectors are showing potential to expand into new

and productive terrain.

The Kalahari Basin contains 80% of the world’s

manganese reserve, but only 15% of global production

comes from this area so there is enormous

scope for development. Several new black-owned

manganese projects are underway. The world

receives 7% of its diamonds from the Northern

Cape, and exports of zinc and lead from the

province account for 13% of global demand.

Iron-ore miners have done particularly well

recently but it’s the development of new zinc and

copper projects that is catching the eye. Vedanta

Zinc International has invested $400-million in

the first phase of its Gamsberg project and Orion

Minerals announced in 2019 that its bankable

feasibility study was positive for a planned zinc and

copper project at Okiep.

The modern global economy needs particular

minerals for its cellphones, renewable energy

batteries and electric vehicles, and the Northern

Cape has a lot of them. Investors are expected

to follow in search of cobalt, copper, lead, nickel

and zinc.

A notable feature of Northern Cape agriculture

is its diversity, a result of the diverse soil

and weather conditions. The 38 000ha Vaalharts

Irrigation Scheme produces wheat, fruit,

groundnuts, cotton and maize and along the

banks of the Orange River many high-value

horticultural products such as table grapes, wine

grapes, sultanas and cereal crops are cultivated.

A quarter of the country’s onions are produced

in the Northern Cape and in the drier areas, goats

and sheep do well.

Niche products such as rooibos tea and

karakul pelts are other provincial specialities,

with aquaculture and mariculture showing great

potential. Sea Harvest, the new owner of Viking

Aquaculture, has started work on expanding its

Diamond Coast Aquaculture facility near Kleinzee.

It currently covers 400ha and produces 100 tons

of abalone per year. The plan is to increase

production five-fold to cater for increased

demand, particularly from Hong Kong.

The Provincial Government of the Northern

Cape wants to develop an industrial base for the

province based on agriculture and mining.

Various projects such as the creation of a

rooibos tea plant are supporting that plan, as

are the various spatial planning initiatives being

pursued by provincial government. These include

corridors of development, industrial parks and

Special Economic Zones.

There are plans to build on the existing

infrastructure that lies on the east-west axis roughly

aligned with the existing N14 national highway and

the Sishen-Saldanha railway freight line.

• At the far east of this corridor lies the mining

towns of Sishen, Kathu and Kuruman – an

industrial park is planned for Kathu.

• In the middle is the town of Upington – a Special

Economic Zone is envisaged with a focus on solar

energy and manufacturing. The existing airport is

an important part of the region’s transport and

logistics infrastructure.

Viking Aquaculture’s abalone factory near Kleinze.

• Aggeneys lies 277km west of Upington on the N14

where Vedanta Zinc International is mining zinc – a

smelter and a refinery would be the centrepieces

of the Namakwa Special Economic Zone.

• Boegoe Baai/Port Nolloth – feasibility studies are

being done into deepening and expanding this

harbour to be able to export minerals. This would

happen in conjunction with investments into

fishing and aquaculture.



The Northern Cape is home to six national parks

and five provincial parks and nature reserves. The

Richtersveld Cultural and Botanical Landscape is a

World Heritage Site and the Namaqualand spring

flower display draws many visitors.

Most of the province is semi-arid (with a

coastal strip) and it receives relatively little rainfall.

Summers are hot and winters are cold.

Quiver trees in the Richtersveld.


The Northern Cape has five district municipalities.

Frances Baard District Municipality

Towns: Kimberley, Barkly West, Warrenton,

Hartswater, Jan Kempdorp

This district accounts for 40.3% of the province’s

economic activity. It is the smallest but with a population

of approximately 325 500, it is the most

densely populated. Although Kimberley is historically

renowned for diamond mining, its economy

is now driven by its role as the administrative

headquarters of the province. Strategically located

and with good infrastructure, Kimberley is the

leading centre in the province for retail, financial

services, education, commerce and light industry.

The Mittah Seperepere Convention Centre

and the Sol Plaatje University are in Kimberley.

Mining and agriculture are found in rural

municipalities. Agriculture in the region comprises

crop cultivation and stock and game farming. The

Vaalharts Water Scheme is the largest irrigation

project of its kind in the southern hemisphere.

Investment opportunities:

• Sol Plaatje University

• Kimberley International Diamond and

Jewellery Academy (KIDJA)

• Mining: diamonds and precious stones

• Manufacturing: textiles, agri-processing.

John Taolo Gaetsewe District Municipality

Towns: Kuruman, Kathu, Hotazel

Kuruman is the headquarters of local government

in this region and contributes 19.7% to the

province’s economy. The local spring produces

20-million litres of water every day.

Most of the district is situated on the Ghaap

Plateau, over 1 000 metres above sea level and

can experience extreme temperatures. Most

agricultural activity is limited to grazing and

boer goats are a popular breed among farmers,

although game hunting is growing.

Kathu has a well-developed CBD with

shopping malls that arose when iron demand

was high. The Sishen iron ore mine outside Kathu

is a vast undertaking, providing employment for

thousands of people. Samancor’s Mamatwan and

Wessels manganese mines and plants are situated

at Hotazel.

Investment opportunities:

• Kathu Industrial Park (IDC involvement)

• Eco-tourism and hunting

• Boesmansput diving resort

• Gamagara Mining Corridor (housing,


• Goat commercialisation

• Agri-processing: olives, grains, pecan nuts,

medicinal plants.

Namakwa District Municipality

Towns: Springbok, Calvinia, Niewoudtville, Garies,

Williston, Fraserburg, Sutherland, Pofadder, Okiep,

Port Nolloth, Alexander Bay

The Namakwa district stretches from the northwestern

corner of the province, and the country,

bordering Namibia and the Atlantic Ocean to the

southern border of the province with the Western

Cape Province. It includes the famous star-gazing

town of Sutherland on its southern edge. The

district is sparsely populated, and predominantly

rural. It contributes 11.1% to economic activity in

the province.

A major new investment has been undertaken

in zinc at the Gamsberg project.

The mining and agricultural sectors provide

most employment, while tourism and small-scale

manufacturing are also present. There are plans to

upgrade the harbour at Port Nolloth.




The region’s economy gets a boost every spring

when tourists flock to see the veld in bloom.

The climate and soil support certain niche

crops, and the sites and sights are unique to the

region, offering opportunities in agriculture and

tourism. Niewoudtville is the site of a rooibos

tea factory.

The /Ai/Ais/Richtersveld Transfrontier Park, the

Namakwa National Park and the Tankwa Karoo

National Park have the potential to grow as travel

destinations, as does the western coastline.

Investment opportunities:

• Development of Port Nolloth and smaller


• Hondeklip fish factories

• Abalone and hake

• Kelp processing and export

• Game and nature reserve infrastructure

• Rooibos tea

• Calvinia: sheep and goat processing.

Pixley Ka Seme District Municipality

Towns: De Aar, Hanover, Carnarvon, Douglas,

Marydale, Prieska, Hopetown, Richmond,

Noupoort, Norvalspont, Colesberg

The district covers 102 000 square kilometres in

the central Karoo and contributes 11.3% of the

economic activity of the province. It has four

national roads passing through it. De Aar, the

site of the municipal headquarters, has national

significance as a railway junction.

The provincial government has published

plans to create a logistics hub at De Aar. The area

around the town has several new solar farms.

Star gazing is Carnarvon’s great claim to fame,

and it is host to the Square Kilometre Array (SKA)

radio telescope project.

The district is home to three of South Africa’s

major dams. Agricultural production includes

wheat, maize, peanuts, grapes, beans, potatoes,

nuts and sheep farming.

Pixley Ka Seme is the largest wool-producing

district in South Africa, but most of what is

produced is processed in the Eastern Cape, so

opportunities exist for the establishment of a

cotton mill, a tannery and a facility to add value to

semi-precious stones. Horse breeding is a valuable

contributor to the regional economy.

Investment opportunities:

• De Aar rail cargo hub and workshops

• SKA engineering, science, logistics support and


• Douglas holiday resort

• Booktown Richmond festivals

• Wool, pistachio nuts and venison processing

• Water tourism activities on dams.

ZF Mgcawu District Municipality

Towns: Upington, Groblershoop, Kenhardt,

Kakamas, Postmasberg

The Orange River supports a thriving agricultural

sector and a growing tourism sector. The

investment climate is ripe for tourism along

the Orange River and around unique physical

attractions such as the Augrabies Falls.

Upington is already a busy town with

processing facilities for agricultural products. The

planned development of a Special Economic

Zone (SEZ) in the town and next to Upington

International Airport will boost manufacturing.

The main targeted sectors at this stage are in the

renewable energy sector, for example, solar panels.

Most of the population of the //Khara Hais

Local Municipality lives in Upington. Agriculture is

a prominent feature of the local economy, as well

as wholesale and retail services in and around the

town. Various kinds of high-speed car racing and

testing takes place on the roads, tracks and airport

runway in or near the town.

The processing of wine and dried fruit is one of

the biggest manufacturing activities in the province.

Mining activities take place in Kgatelopele, where

diamonds and lime are found. Together with sheep

and cattle farming, mining provides most of the

employment to be found in Siyanda.

Investment opportunities:

• Upington Special Economic Zone

• Upington Cargo and Electronics hub: SKA,

renewable energy and aircraft storage

• Upington International Airport

• Orange River Smallholder Farmer Settlement

and Development Programme

• Tourism: wine tours, adventure and hunting

• Upington vehicle testing site

Business Process Outsourcing (BPO). ■



Catalyst to economic

growth in the

Northern Cape

The planned Namakwa Special Economic

Zone to be established in the Aggeneys

region of the Namakwa District of the

Northern Cape Province will have a

transformative effect on the local, regional,

provincial and national economies.

Photos: Kevin Wright/Vedanta Zinc International & iStock

The Northern Cape Department of Economic Development

and Tourism, in conjunction with the national

Department of Trade, Industry and Competition (dtic), is in the

process of finalising submission documents for the declaration

of a Namakwa Special Economic Zone.

The anchor investor of the SEZ will be Vedanta Zinc International

which is already running the Gamsberg Zinc Mine and intends to build

a smelter. The SEZ would advance the aims of developing infrastructure,

accelerating skills development

and empowerment, and consolidating

economic development

in the Northern Cape.

Executive summary

At the official launch of the

Vedanta Gamsberg Zinc Mine,

President Cyril Ramaphosa

suggested that the mine

complex could be the core

and catalyst for economic

development for the region

through the establishment of

a SEZ. He specifically called for

more beneficiation of South

Africa’s minerals to take place in

South Africa.

Vedanta Zinc International

started exporting product from

the mine in 2018 and has so far

invested about $400-million

in the project. The company is

considering the construction of

a smelter; together, these facilities



Development in the Norther



would form the base of the SEZ.

Investors in related

downstream activities such

as fertiliser, explosives, paints

and sulphuric acid would use

product from the mine and the

smelter. Further opportunities in

renewable energy, transportation,

storage and construction would

naturally flow from the primary

activities. All investors would

benefit from the special benefits

that accrue to investors in SEZs

(outlined below).

The plan for the Namakwa

SEZ complies with and is aligned

with the Provincial Growth

and Development Strategy

of the Province, the Northern

Cape Spatial Development

Framework and the National

Spatial Development Framework.

Furthermore, the plan supports

the concept of development

corridors and local economic


Aggeneys is in the Khai-Ma Local Municipality within the Namakwa

District Municipality of the Northern Cape Province. Aggeneys is 66km

from Pofadder (headquarters of the local municipality) and 110km

from Springbok, where the office of the district municipality is located.

All three towns are on the N14, the national road that links Springbok

with Pretoria.

The proposed Namakwa SEZ is strategically located along a bulk

commodity corridor, which runs from a planned port on the Atlantic

coast (the Boegoebaai Deep Port Harbour) through Aggeneys to the

large urban centre of Upington and beyond to the concentrations of

iron ore and manganese ore at Sishen and Kathu. Upington Airport

is capable of handling large aircraft. The railway line that currently

transports ore from Sishen to the coast at Saldanha is one of the

engineering marvels of the world, moving 40-million tons every year

along an 861km route.

Building a new industrial city in the Northern Cape as

part of the Northern Cape Industrial Corridor: Namakwa

SEZ in Aggenys where you will live, work and play.



Anchor investment

The value proposition of the Namakwa SEZ is based on the existence

of the Vedanta Gamsberg Zinc Mine and the proposed building of

a smelter by Vedanta Zinc International. These would be the anchor

tenants of the SEZ.

In 2010 Vedanta Resources acquired Black Mountain Mining (Pty)

Ltd from Anglo American. Black Mountain Mining (Pty) Ltd, part of

Vedanta Zinc International, owns and operates the Gamsberg Zinc

Mine. By 2014 environmental authorisation had been granted to

Vedanta, together with a waste management and water-use licence.

Versatile zinc offers great investment opportunities

Zinc is an incredibly versatile and useful product so there are

many investment opportunities related to Gamsberg and the

proposed smelter within the Namakwa SEZ.

Uses of zinc

Coats and protects steel from corrosion, temperature and

oxygen. Used in the automotive parts industry for door-lock

housing, pawls, retractor gears and pulleys in seatbelt systems,

camshafts and sensor components. Zinc oxide is widely used

in the manufacture of several products such as paints, rubber,

cosmetics, pharmaceuticals, plastics, inks, soaps, batteries,

textiles and electrical equipment.

Development work began

in June 2016 and the mine is

currently mining four-million

tons per annum and producing

up to 250 000/tpa of zinc metal

in concentrate for export.

The mine’s approved

capacity to produce zinc and

lead concentrate is 10-million/

tpa. The planned increase

in volumes will lead to the

concentrator plant producing

1.1-million/tpa of zinc and

lead concentrate. The opencast

mine and concentrator

plant are being developed in

phases. The construction of the

concentrator plant began in

2017 with the official opening

in February 2019. Phase 1 is

complete, and planning work

for the commencement of

Phase 2 is currently underway.

Identified investment opportunities

Fertiliser phosphates

Sulphuric acid as by-product could allow for the establishment

of a sulphuric acid plant to support and stimulate agriculture in

the province.

Zinc-coated steel

The availability of locally-produced zinc concentrate creates

production opportunities at steel plants throughout the


Battery storage

Zinc is a cheaper product than lithium for use in newtechnology

batteries. New technology is creating opportunities

for zinc-bromide redox flow batteries.

Copper smelter project

Potential for further exploration and mining in the region, which

the smelter could stimulate.





It is proposed that a smelter be

built to treat zinc concentrate

produced at Gamsberg. The zinc

concentrate produced at the

existing concentrator plant will

be treated in the smelter using

the conventional roast-leachelectrowinning

(R-L-E) process.

The full process would involve

the treatment of 680 000/tpa

of zinc concentrate to produce

300 000/tpa of high-grade zinc

ingots for export.

As a by-product 450 000/tpa

of 98.5% pure sulphuric acid will

be produced for both export

and consumption within South

Africa*. Various types of infrastructure

will be needed to support

the smelter. These include:

• Secured landfill facility: 21ha in

extent and situated 1km away

from the smelter, connected by

a paved road.

• New water pipeline: Approximately

7km water pipeline to

connect the Horseshoe reservoir

with the smelter complex.

Business partner camp: 12ha for accommo-dation during the

construction period.

• Laydown area: 15ha for use during the construction period.

• Upgrade of transmission line: upgrade 66kV transmission line to

132kV transmission line within the existing servitude and associated

upgrades to the Eskom substation at Aggeneys.

In 2018 alone, Vedanta spent R44-million on skills development, health,

enterprise development and municipal infrastructure support, with a

further R77.5-million spent with local businesses.

In the period 2014 – 2019, Vedanta over R77 million on a range

of CSR programs, and over R88 million on various training initiatives.

Gamsberg is considered one of the most digitally advanced mines in

South Africa, which will give impetus to the provincial ICT sector.

Downstream investment

Non-ferrous metals such as zinc have characteristics that make them

immensely useful in a wide range of downstream applications.

Resistance to corrosion and their non-magnetic qualities are among

the reasons for the wide range of uses to which they can be put.

It is envisaged that investors wanting to take advantage of the

by-products of the mine and the smelter will be attracted to the

Namakwa SEZ.

Various wastes and by-products will be generated by the smelter

that could be useful to investors. Waste includes: Iron cake stabilized

(dry), Jarofix; effluent treatment plant cake (dry); evaporation pond

salts (dry); and cellhouse sludge (dry).

By-products include: manganese cake (dry); Cu-Cd cement (dry);

Co-Ni cement (dry); and sulphuric acid (wet). Investors in this category

include businesses in the follow sectors:



• Sulphuric acid (including pharmaceutical,


batteries and paper 9


• Fertiliser

• Explosives

• Paints

There is another category

of potential investors in the

SEZ who will provide ancillary

services to the companies 7

using the by-products of the

mine and smelter complex.

These include:

• Construction

• Engineering

• Transport

• Storage

• Housing


& supplies

• Mine

• Agri

• Renewable energy

• Transport

• Construction


& food

• Zinc

• Food Additives

• Hoodia





• Agriculture supplies

• Agriculture volume


• Agriculture processing

& packaging




• Galvanising-Steel,

wire, tube

• Super alloys-automotive,


• Batteries

• Roofing

Localisation & Supplier


• Incubator

• Skills Development







A third category of investor will provide power, over and above

what is available from the national grid. All of the enterprises within

the SEZ will require power, so the opportunity exists for independent

power producers to propose alternative energy sources.

The Northern Cape is already the country’s leading province

with regard to solar power, and there are also a number of windpower

projects operating throughout the province. A total of 18

investments were made into the province between January 2011

and March 2016. Companies from a wide array of countries were

among the successful investors including Enel Green Power (Italy),

ACWA Power International (Saudi Arabia), Mainstream Renewable

Power (Ireland) and Accione (Spain).



• Zinc

• Granite

• Copper

• Rare Earth

• Rose Quartz

• Slate



• Mine & Agriculture

• Regional

• Depot + Services

• Agri consolidation



• Sulphuric acid

• Fertilizer

• Explosives

• Paints

• Hydrogen production

• Fertilizer Phosphates




• Zinc processing plant

• Zinc smelter

• Copper processing plant


• Mine

• Smelter

• Housing

• Regional

• Harbour

• Dam




Benefits of SEZ investment

The planned Namakwa SEZ

reflects a trend in South African

industrial planning. National

government is supporting the

idea of creating industrial parks

and SEZs as a means to cluster

together businesses that can

benefit from proximity to one

another and as a way to boost

local manufacturing through

incentives and tax rebates. The

policy aims to attract new skills

and develop new industries.

SEZs are created in terms of

an act of the national parliament,

the Special Economic Zones Act

of 2014 (Act 16 of 2014). The act

defines an SEZ as “geographically

designated areas of the country

that are set aside for specifically

targeted economic activities

and supported through special

arrangements and systems

that are often different from

those that apply to the rest of

the country”. Lower corporate

tax rates and duty-free imports




are among the advantages that

accrue to investors.

Key goals behind the

establishment of SEZs are:

• To encourage industries to

develop in clusters, leading

to economies of scale, skillssharing

and easier access by


• To create industrial

infrastructure to promote


• To promote cooperation

between the public and private


• To use the zones as a launching

pad for other developments.

Apart from attracting foreign

direct investment and boosting

employment, SEZs can also play

a role in adding new sectors or

subsectors to an economy.

Various industrial parks

(private or public) are pursuing

similar goals. The emphasis

in most of these initiatives is

on beneficiation, mainly of

minerals but also of agricultural

products. South Africa’s most

recent Industrial Policy Action

Plan has a manufacturing focus,

so beneficiation supports the

diversification of the economy

and strengthens the country’s

ability to make things.

The current suite of

incentives consists of tax

incentives, administered by

SARS; grants, administered by the DTIC; and various incentives offered

by the municipalities where the SEZ is located.

The SARS-administered tax incentives are as follows:

• Corporate Income Tax Incentive: Businesses located in a SEZ may be

eligible for a reduced rate of 15 percent.

• Building Allowance: Businesses and operators may be eligible for the

building allowance which allows companies to reduce their taxable

income linked to expenditure incurred on the cost of any new or

unused building or improvement. This allowance may be claimed at

a rate of 10% per annum.

• Employment Tax Incentive: Allows employers hiring people,

regardless of age, to reduce the amount of employees’ tax paid on

behalf of their employees whilst leaving the wage received by the

employee unaffected. It allows employers hiring people to reduce

the amount of employees’ tax paid by the employer. This creates a

cost-sharing mechanism between employers and government.

• Customs and Excise Incentive: Goods imported into a customscontrolled

area (CCA) situated in a SEZ are relieved from applicable

import customs, excise duties and economic restrictions whilst

stored and undergoing manufacturing (which includes processing,

cleaning and repair) within the CCA. Goods manufactured in the

CCA and subsequently supplied to the local domestic market are

subject to the payment of the import customs and excise duties that

were relieved at time of importation on the imported goods (raw

materials). The liability for customs and excise duties, which enjoyed

relief on imported goods used in manufacturing in the CCA, cease

upon subsequent export.

• Value-Added Tax Incentive: Goods and services that are acquired

from the domestic market are charged with VAT at 0% and

the import of goods is exempt from VAT. This applies only in the


* This information is taken from the Draft Scoping Report, Non-

Technical Summary, prepared by SLR Consulting, January 2020.

Contact Details

Address: Northern Cape Department of Economic Development

and Tourism, Metlife Towers, Corner Stead and Knight Street,

Kimberley 8300

Enquiries: Riaan Warie (Director: Trade & Investment Promotion)

Tel: +27 87 310 7683 • Fax: +27 53 831 3668

Fax2email: 086 641 9321 • Cell: 079 877 2828

Email: rwarie@ncpg.gov.za or warieriaan@gmail.com

Website: www.northern-cape.gov.za/dedat

Enquiries: Mr Hendrik Louw (Director: Regional Economic

Development) Email: hlouw416@gmail.com

Tel: +27 53 802 1638 • Cell: +27 81 323 2533


Promotion of Economic Grow

Development in the Norther


De Aar Logistics Hub

Centrally located hub will reduce costs and improve efficiency.

Project location

De Aar is strategically located in the centre of South

Africa. It is a major rail junction at the intersection

of the Cape Corridor (Johannesburg to Cape Town),

the Namibian corridor (Gauteng to Namibia) and

provides a link to the three ports of the Eastern

Cape. The N10 road highway (Port Elizabeth outskirts

to Upington) passes through the town.

Project background

There are inefficiencies in the transport sector which

restrict economic growth and job creation because

over 80% of freight in South Africa is moved via

road. The result of this is poor road conditions which

have an impact on product quality, product losses

and substantial expenditure towards vehicle maintenance

and related costs. The result is increased

operational expenditure for miners and farmers.

The Northern Cape is a major exporter of table

grapes, fruit and meat and is responsible for much

of the cattle, sheep and goat farming in the country.

Long distances and poor access to markets and

storage facilities are limiting profitability for farmers.

Small-scale and emerging farmers are excluded

from exporting due to the lack of critical mass and

other dynamics such as access to markets and financial

resources. The mining sector has expressed

similar concerns. Approximately 60% of the commodities

from three large producers (BHP, Kumba

and Assmang) is already moved from Hotazel by

rail through the province via De Aar or Bloemfontein

to Port Elizabeth. Various other commodities are

moved via rail through the town of De Aar, of which


Project cashflows

Project IRR 14.1%

Project NPV 197 645

Payback period

Equity cashflows

8 years

Equity IRR 18.8%

Equity NPV 209 146

Payback period

8 years

the most notable are cement from Ulco (domestic

market), coal and lime, and containers holding

general cargo and automotive components.

Train drivers and locomotives are changed in De

Aar which supports the concept of De Aar becoming

a consolidation point for freight to ensure migration

from road to rail due to its location and connectivity.

The De Aar Logistics Hub serves as the first step

for the long-term solution sought by the Northern

Cape Department of Transport, Safety and Liaison

(NCDTSL) to optimise the freight strategy and logistic

functions of the province.

Project desription

The project entails construction of an inland

intermodal system comprising a container terminal,

a vehicle parking terminal, and a warehouse/cold

room terminal. Once completed it is envisaged

that De Aar Rail Freight Intermodal Terminal will

be an internationally accessible trade free zone,

with facilities that can handle intermodal operations,

warehousing, logistical services and a rail

cargo-carrying service.

Project objectives

The long-term goal is to provide a sustainable

transport network for the transportation of freight/

commodities by miners and farmers using the hub




as a central storage facility that can be redistributed

to its destination via rail. The immediate plan is to

develop SMME enterprises that will benefit from

the hub’s key facilities such as the storage, foodprocessing

plant and a multi-purpose container

depot. Local SMMEs will participate in an enterprise

development and incubation programme that

will prepare them to play an integral part in providing

core services.

Potential impact

The project has the potential to add R1.7-billion

to local economic development in the Pixley ka

Seme District and to create 2 475 temporary and

full-time jobs.

Project structure

The Northern Cape Department of Transport,

Safety and Liaison appointed a team of specialist

advisors to embark on Transactional Advisory

(TA) Services, spearheaded by the TM/Nelutha

Consulting Joint Venture to determine project

feasibility and to develop the De Aar Logistics Hub

business case. This project will be structured as a

Public Private Partnership (PPP) and by using the

PPP model in terms of Treasury Regulation 16 issued

to the Public Finance Management Act (PFMA)

No 1 of 1999.


Total development costs are estimated at around

R780-million, excluding borrowing costs during

construction. This will be expended in building


Iron ore


Auto manufacturers


School nutrition

Upington Cargo Hub

Namibian trade

Transnet Strategic Material

Supply Hub


the car parking terminal, container terminal and

the cold-room warehouse. Development of the

project is estimated at 24 months. The proposed

funding structure entails a cash equity injection of

15% and the balance being funded through senior

and subordinated loans.

Potential commodity mix

The Northern Cape has many commodities that

can be traded and transported via the De Aar

Logistics Hub which could serve as a catalyst for

local and regional economic development (see

table above).

Contact details:

Northern Cape Department of

Transport, Safety and Liaison

Tel: +27 53 839 1743

Email: mdichaba@ncpg.gov.za ■

50 to 60mtpa predominantly for the

export market

18mtpa for the local and export


15 000 units per annum

2mtpa (exports and local markets)

45 000 tons (provincial market)

Tonnages to be confirmed and to

serve the export market

Tonnages to be confirmed

Tonnages to be confirmed for provincial

market only

Company Work description 2020 2020 2020 2020 2021 2021 2021 2021

Q-1 Q-2 Q-3 Q-4 Q-1 Q-2 Q-3 Q-4

DTSL/TM-NELUTHA Conclusion of land acquisition process

TM-NELUTHA Commencement with the scoping study and engagement

with the authorities for environmental process

Environmental Impact Assessment Study

Establishment of the project management office (PMO)

Setting up of ICT infrastructure and project data bank

Updating of Feasibility Study Reports

Revision of Commodity Demand Mix Studies

Updating of Financial Model


Legal Services/Revision of Commodity Demand Mix Studies


and Rail Project

Project Sheet

21 June 2018

epartment of Transport, Safety and Liaison (NCDTSL)

al Department of Transport, Department of Public Enterprises, Treasury

Consulting JV (TM)


FEL2 phase. Finalisation of FEL2 is planned for December 2018.

+/-40% accuracy. Rail = ~R9 billion +/-50%

t and 18 000 indirect jobs

Project location

Boegoebaai is approximately 60km north of Port

Nolloth and 20km south of the border between

Namibia and South Africa in the Richtersveld Local

Municipality area.

udy at FEL 2 level to be completed end of April 2019

ry bulk export

il line (550


catalyst for


sion from

anha line

anese route

n gas fields


tructed close

ovince and

e SA port


y for SA

Project background

The Northern Cape Province has the volumes of


commodities to warrant a deep-sea commercial

port, specifically as a result of mining and agricultural

activities. All commodities are currently transported

via road or rail for exports through ports in other

New volume from junior miners

Lower cost logistic solution

Closest port to mines


Boegoebaai Port

Port and Rail Infrastructure Development Project.

Multi-purpose commodities, agricultural, mining and low container volumes

provinces, effectively making the Northern Cape

province economically landlocked, even though it

has access to 338km of Atlantic coastline. Despite a

70% gross domestic product (GDP) growth in the

transport sector between 2010 and 2016, save for

Port Nolloth, the Northern Cape did not experience

the GDP growth as a result of seaport activities.

The Boegoebaai site has all the advantages

for the potential development of a deep-sea port,

namely: the 20-metre contour is 250m offshore

and it is a greenfield site owned by the people of

the Richtersveld through the Community Property

Association (CPA).

Project key drivers

· To reduce the economic cost of moving cargo

within the Northern Cape hinterland.

· To unlock greater export logistics capacity for

minerals from the Northern Cape.

· To optimise the cargo distribution within the

South African port system.

· Stimulating regional and provincial socioeconomic


· Securing a competitive advantage regionally for

South African ports.

· Offers an alternative to Saldanha Bay for exporting

surplus volumes of minerals.

Targeted sectors

Exporting dry bulk, liquid, bulk commodities and

containerised multi products.

Key facts

Project metrics

Capital cost

Temporary jobs created during construction


1 000 per year

over 3 years

Permanent jobs created at the port 400

Export volumes

On average 9 megatons per annum

of dry bulk

On average 30 000 TEUs per annum

Import volumes

On average 1.5 megatons per annum

On average 100 000 TEUs per annum

Project indicators

Mainly manganese

Mainly agriculture

Mainly diesel

General cargo

Project IRR 15,5%

Project NPV


Economic IRR 47,4%

Economic NPV

Promotion of Economic Growth a

Development in the Northern Ca



Economic Benefit Cost Ratio 2.43

Economic benefits to the region over time

• Surrounding towns expand and develop

•Land values increase

•Additional jobs in the mining sector due to

expansion in export of minerals

13th Fl, Cn





Boegoebaai: Port, Rail & Infrastructure Development Project

Project Location

The Boegoebaai Port, Rail & Infrastructure Development Project is situated approximately 60km north of Port

Nolloth and 20km south of the border between Namibia and South Africa in the Richtersveld Local Municipality area.

The figure below shows the position of Boegoebaai.

Project description

Deep-water port development comprising two

berths: one dry bulk export berth and one break

bulk berth, supported by a 550km railway line, bulk

services and associated social infrastructure.

Transaction advisory team

TM/Nelutha Consulting (JV) was appointed by the

Northern Cape Department of Transport, Safety

and Liaison (NCDTSL) to embark on Transactional

Advisory Services to assist with project structuring,

technical feasibility, financial viability and potential

funding mechanisms to realise the dream of a

Northern Cape Deep Water Port which is strategically

poised to support producers with exports and to

attract potential investors.

Public-Private Partnership

This project will be structured as a PPP, primarily to

transfer risk and to source investment. Optimal risk

allocation creates value. By granting a long-term

concession, market, investment and operational

risks can be transferred to a terminal that can

absorb part of the commercial risk.

A PPP for a deep-water port of the nature

being contemplated at Boegoebaai would typically

operate within a concession framework.

This means that the private party/concessionaire

is granted permission by the appropriate

public procuring entity to design, build, finance,

insure, operate and maintain the port and collect

revenues from it, for a fixed period of time

after which the port will be handed back to the

public entity.

The project is being developed in terms of

the PPP Project Cycle in terms of the Treasury

Regulation 16 of the Public Finance Management

Act, 1999. The development of a Northern Cape

Provincial SEZ Establishment Framework will be

used for a Special Economic Zone as an economic

growth and development instrument to

attract new local and foreign investment.



Company Work description Stage 2018 2019 2020 2021 2022 2023 2024 2025

PRDW Marine infrastructure design* FEL2

NAKO ILISO Landside infrastructure design* FEL2

PRDW Project technical coordination Interim phase

Marine infrastructure design

Marine infrastructure



Disbursements allowance 1.0%

NAKO ILISO Project technical coordination Interim phase

Landside infrastructure design

Landside infrastructure design



Disbursements allowance 1.0%


Site monitoring (marine)

Quarry investigation

Offshore geotechnical




NAKO ILIOS SURVEY STUDIES Landside geotechnical FEL3

Landside topographical survey


Sundry surveys




FASKEN Legal services FEL3


PMO, ICT, Transaction Advisory,

ICT and Financial Model

To date the following FEL2 deliverables have been completed:

• Marine Infrastructure Design

• Landside Infrastructure Design

• Setting up of Project Management Office • Legal Services, ICT and Financial Modelling


* (invoiced to date)

Project status

Business case and feasibility

studies reports have been

completed and submitted as

part of TA1 National Treasury’s

approval process.

The table above outlines the

project’s deliverables both completed

and outstanding, as well as

their respective budgets. ■

Project contacts Person Tel Mobile Email

Dept of Transport, Safety

and Liaison

Mr MP Dichaba + 27 53 839 1743 082 675 1933 Lntobela@ncpg.gov.za

Dept of Transport, Safety

and Liaison

Mr P Mguza,

Project Promoter

+27 53 807 4812 079 694 3254 PMguza@ncpg.gov.za

National Dept of Transport Mr Clement Manyungwana +27 12 309 3408 083 679 9662 manyungc@dot.gov.za

Transnet Nat Ports Auth Mr H Nxumalo +27 31 361 8821 083 299 7966 Hamilton.nxumalo@transnet.net

TM/Nelutha Consulting Mr P Maniza +27 53 833 1010 082 889 3685 Info@manzholdings.co.za

TM/Nelutha Consulting Mr T Mqina +27 53 833 1010 065 907 8401 thamie@tmqconsulting.co.za




Northern Cape Chamber of

Commerce and Industry

Your ultimate business connection.

Our heritage in brief

NOCCI was established on 22 February 2000

when the Chamber of Business and the Kimberley

Afrikaanse Sakekamer amalgamated. At the time,

these two organisations had served the business

community of Kimberley for 120 years.

From left: Cornel Nel (Personal Assistant), Sharon Steyn

(CEO of NOCCI) and Beverley Deke (Members Manager)

Membership advantages

A Chamber assesses and evaluates the needs of the

local business community, in particular the need

for services to small business at a reasonable cost:

• Monitors developments at the local level

• Mobilises business opinion on local issues

• Exerts a positive influence on the environment in

which business operates and helps prospective

members grow their business

• Promotes and encourages the pursuit of a high

standard of business ethics

• Disseminates information that is useful to the

business fraternity

• Creates opportunities for improving business skills

• Extends business contacts locally, regionally and

nationally, and allows individual businesspeople

to share in the provincial and national business

decision-making processes

• Upholds the market economy and private

enterprise system

• Has committees which are ideal places for

members of diverse interests to consolidate

and unify their thinking as they work together –

committees accurately sense the environment,

process information and provide valuable

guidance to the member

• Holds functions and special events, allowing members

to network and learn about interesting topics

Can you afford not to belong?

The increasingly complex business and social

environment requires a comprehensive support

structure to ensure the most favourable climate for the

continued viable existence of individual businesses

in a system of free enterprise. At the same time,

the Chamber movement facilitates adjustment by

business to those realities that cannot be altered.

Involvement in the Chamber movement bears

abundant fruit for the well-being of each business.

If you are a businessperson with vision, you cannot

afford not to join the Chamber movement.

Executive Committee of NOCCI

Chairperson: Hendrik Wessels (Bookkeepers Online)

1st Vice-Chairperson: Tasneem Motlekar (Engelsman

Magabane Inc)

2nd Vice-Chairperson: Pieta Serfontein (Hancor Dairy)

Treasurer: Anton Nicolaisen (Standard Bank)

Executive members: Hannes van Niekerk (Super

Armature Winding), Harry Hurndel (Roburn

Construction), Innes Joubert (GWK), Jaime

Goncalves (KEW), Johan Du Plessis (DFA), Lian Laing

(Ekapa Mining), Louw Van Rheenen (Beefmaster),

Nicola Smith (ACSA). ■

Contact info

CEO NOCCI, Kimberley: Sharon Steyn

Tel: +27 53 831 1081 | Fax: +27 53 831 1082

Cell: 083 457 8148 | Email: Sharon@nocci.co.za

Website: www.nocci.co.za



Investment projects

Four of the current development projects currently

seeking investor partners in the Northern Cape.

Project focus



Investment value


Job creation

30 jobs (direct &




Project location

The town of Postmasburg is

located in the Z F Mgcawu

District Municipality, 196km

from Kimberley (to the

south-east) and 217km

from Upington (to the


Project background

There are many commercial and smallscale

stock farmers in the district. Distance

from market and access to processing

plants are limiting factors for farmers. A

meat-processing plant will focus on beef

and game meat-processing, drawing from

suppliers in the surrounding district.

Project focus


Poultry & packaging

Agri-processing and


Investment value


Job creation

60 (direct & indirect/

construction phase)

Project location

The town of Danielskuil is

located on the R31 road

south of Kuruman and

between Upington

and Kimberley in the

Z F Mgcawu District


Project background

Poultry farming has low barriers

to entry and is therefore

a good response to dealing

with food security. A poultryprocessing

facility would give

small-scale farmers a chance

to create more value for their


Project focus




Investment value


Job creation

40 (direct & indirect/

construction phase)

Project location

Keimoes is about halfway

between Upington

and Kakamas in the

Z F Mgcawu District


Project background

Wollastonite is a mineral that has several industrial

applications. The mining sector in

the Northern Cape is well-established with

good infrastructure and there are strong

support systems for investors. Wollastonite

has applications in plastics, as a paint filler

and in ceramics, among other things.

Project focus



and farming

Investment value


Job creation

50 (direct & indirect/

construction phase)

Project location

Kakamas is located on the

banks of the Orange River

on the N14 highway that

connects Springbok with

the interior. Kakamas falls

under the Z F Mgcawu

District Municipality.

Project background

Small-scale farmers and producers are

often restricted in their growth through

not gaining good value for their products

because they are sold in their raw state.

The Ecksteenskuil Raisin Co-operative in

Kakamas seeks to change that by engaging

in processing to add value to their raisins.


To discuss these and other opportunities, contact:

Babalwa Mbobo, Sector Specialist, NCEDA

Tel: +27 54 333 1137

Mobile: +27 78 179 7611

Email: bmbobo@nceda.co.za

Project description

The company intends to establish a beef and

game-processing plant in Postmasburg. Investors

are invited to participate. The plant will act as an

agri-hub, using the value chain network created

by the Agri-parks programme. This project will

enable the growth of market-driven commodity

value chains as well as contributing to the

achievement of rural economic transformation.


Property developers and investors.


Northern Cape Economic Development

Agency (NCEDA), Department of Trade,

Industry and Competition (dtic).

Project status

Project feasibility complete

Business case complete.

Project description

Investors are invited to support a poultryprocessing

and packaging company in

the rural town of Danielskuil. There is

good access to the urban concentrations

of Upington and Kimberley. Chickens

will be sourced from the network arising

from the Agri-parks programme and the

plant will act as an agri-hub.


Property developers & investors. Enabling infrastructure and various

incentives will be available from relevant national government, provincial

and municipal authorities as part of support for the project.


Northern Cape Economic Development Agency (NCEDA),

Department of Trade, Industry and Competition (dtic).

Project status

Project feasibility complete. Business case complete.

Project description

The company intends to

establish a wollastonite

mining and beneficiation

plant. Investors are sought

to finance the project

which will contribute to

local economic growth.


Property developers and investors. Enabling infrastructure and various

incentives will be available from relevant national government,

provincial and municipal authorities as part of support for the project.


Northern Cape Economic Development Agency (NCEDA),

Department of Trade, Industry and Competition (dtic).

Project status

Project feasibility complete. Business case complete.

Project description

Ecksteenskuil Raisin Co-operative grows and

produces raisins. Investors are needed for the

project. This is a community project which

benefits a wide range of families and farmers.

Investors will enable the growth of a marketdriven

commodity chains and contribute to

rural economic transformation.


Property developers and investors. Enabling infrastructure

and various incentives will be available from relevant

national government, provincial and municipal

authorities as part of support for the project.


Northern Cape Economic Development Agency (NCEDA).

Project status


Project feasibility complete. Business case complete.


see money differently




Gary Long, Nedbank’s Provincial Business Banking Manager for

the Free State and Northern Cape, says there is good news for

Free State and Northern Cape business owners and entrepreneurs.

Nedbank Business Banking has

18 business managers in the two

provinces who are specialists in

commercial industries, agriculture and the

public sector.

‘At Nedbank Business Banking, we believe

that you need a flexible, resilient financial

partner who not only understands your

circumstances and aspirations, but who

also provides you with relevant solutions

and a banking experience that is hasslefree,

allowing you to concentrate on what’s

most important to you – running your

business,’ says Long.

Our bigger-picture banking approach

enables us not only to provide you with the

banking solutions you need, but also to give

you a holistic view of how our products are

connected to create a framework that

yields maximum impact across every facet

of your business and beyond. We know that

success in business is about partnerships,

and that is why we put the building of

deep, lasting, value-adding relationships at

the centre of everything we do. This means

your goals are our goals, your vision is our

vision, and your success is our success –

while you rely on our additional support

We understand that the various

spheres of government and

their agencies face unique

challenges, and are ready and

able to draw on the bank’s

innovative, seamless and hasslefree

products to help build a

greater nation.

that is most needed in times of change and


Nedbank has a dedicated public sector

team to provide financial solutions that

enable the broader mandate of service

delivery. ‘We understand that the various

spheres of government and their agencies

face unique challenges, and are ready and

able to draw on the bank’s innovative,

seamless and hassle-free products to help

build a greater nation,’ says Long.

If you are interested in taking your business

to the next level, please contact

Gary Long on +27 (0)72 985 5009 or

GaryL@nedbank.co.za or visit



see money differently




Heino Bosman, Nedbank’s Regional Manager for the Free State

and Northern Cape, explains how Nedbank continues to build

on its client-centred strategy aimed at delivering distinctive

experiences for businesses in the region.

Innovation and technological

advancements, as well as training and

development of staff, have been key

pillars in achieving the bank’s objectives.

At the core of Nedbank’s offering in the

Northern Cape and Free State is a

relationship-based model, with a business

manager dedicated to your business as the

key entry point into the bank.

Bosman’s team operates from offices in

Kimberley and is ready to assist clients

with professional advice, industry-specific

solutions and a comprehensive range of

financial products and services. In addition,

his team is supported by skilled agricultural

specialists, who provide specialised advisory


Bosman says the bank encourages its

clients to see money differently with the

bigger-picture approach that Business

Banking offers. ‘This is an additional benefit

of banking with Nedbank Business Banking

and means that your business and your

personal financial needs are managed in

one place. Because business owners and

their businesses are very often financially

dependent on each other, our client service

teams now also offer individual banking

solutions to them and their staff, because

… an additional benefit of banking

with Nedbank Business Banking

and means that your business

and your personal financial needs

are managed in one place.

we already know and understand their

needs,’ he says.

‘We believe you need a financial partner

with a thorough understanding of your

business, and who offers innovative,

relevant solutions and support and gives

you a banking experience that is hasslefree.

As money experts, we are committed

to doing good, so you can concentrate on

making a success of your business and

contributing to building the economy as a

whole,’ says Bosman.

If you are interested in taking your business

to the next level and would like more

information about Nedbank’s specialised

service offering, please call Heino Bosman

on +27 (0)76 011 1400, sendanemailto

HeinoB@nedbank.co.za or visit



see money differently




Nedbank’s Provincial Manager of Small Business Services

for Free State and Northern Cape, Kim Lawrence, explains

how Nedbank is committed to partnering with businesses

for growth.

Small businesses are the mainstay of

the economy. Nedbank has, over the

years, instituted various interventions

aimed at giving support to the smallbusiness

sector. Over and above our Small

Business Services solutions, we provide

small-business owners with support that

goes beyond banking – freeing up their

time to truly focus on running their

businesses,’ she says.

Nedbank has built a solid reputation as a

bank for small businesses through

initiatives such as SimplyBiz.co.za, The

Essential Guide for Small-business Owners,

business registration services and free

small-business seminars – all geared to

support small and medium enterprises.

SimplyBiz.co.za is a free-to-join

networking portal designed especially for

small businesses. It helps them improve

their business administration skills, keep up

with the latest trends, network with other

small businesses and share ideas. The

Essential Guide helps entrepreneurs be

better prepared for engagements with the

bank to avoid common mistakes and be set

up for success from the start, while our

business registration services allow you to

The Essential Guide helps

entrepreneurs be better

prepared for engagements

with the bank to avoid

common mistakes and be

set up for success from

the start.

register your business online through

SwiftReg and open a business account

online in one seamless process.

‘Our experts are available to provide all

the support you need when starting off.

Nedbank offers simple, affordable banking

solutions and value-added services to get

you and your business going,’ says


If you wish to tap into our small-business

expertise to reach your business goals,

get in touch with Nedbank’s Small Business

Services. Call Kim Lawrence on

+27 (0)82 352 2964, sendanemailto

KimL@nedbank.co.za or visit



see money differently




Chantelle Kuhn, Nedbank’s Provincial Sales Manager for the

Free State and Northern Cape, says that a deep connection

with the community is what underlies the team's personal

and professional values.

Kuhn says that, as money experts

who do good, Nedbank strives to

empower the people who drive the

Northern Cape and Free State economies

by saving them time and money, as well as

helping them manage their money better

through the bank’s Workplace Banking.

'We help them save time by providing onsite

assistance from our dedicated teams, and

we help them save money through our

preferential banking packages and our

award-winning Financial Fitness and

Consumer Education programmes. These

help them manage their money better by

providing budgeting and money

management training, equipping their staff

to deal with everyday money management

challenges better.'

And the innovative banking journey

continues, ensuring greater value for clients.

Our market-leading Nedbank Money

app allows clients to manage accounts

and investments, make payments and set

savings goals and budgets from their

smartphone. The Money app also allows

clients to make instant payments to anyone

on their smartphone’s contact list, even if

the recipient is not a Nedbank client.

Our market-leading Nedbank

Money app allows clients to

manage accounts and

investments, make payments

and set savings goals and

budgets …

Kuhn adds that working with communities

is entrenched in the bank’s values

through community development, skills

development, education and job creation,

as well as environmental conservation.

‘These play a vital role in building a

sustainable economy and vibrant society.

We believe our fast-growing presence in

communities goes a long way in enabling

greater financial inclusion while contributing

towards economic growth,' she says.

If you are interested in taking your business

to the next level and would like more

information about Nedbank’s specialised

service offering, please call Chantelle Kuhn

on +27 (0)83 236 0527, send an email to

ChantelleK@nedbank.co.za or visit


Nedbank Ltd Reg No 1951/000009/06. Authorised financial

services and registered credit provider (NCRCP16).





Overviews of the main economic

sectors of the Northern Cape.

Agriculture 32

Water 35

Wine and grapes 36

Mining 38

Engineering 42

Tourism 44

Education and training 46

Energy 50

Banking and finance 52

Development finance

and SMME support 53


Overviews of the main economic

sectors of the Northern Cape

Agriculture 34

Grapes and wine 38

Mining 42

Water 50

Tourism 52

Banking The and Mittah financial Seperepere services Convention 58 Centre

in Kimberley can accommodate up to

Development finance

2 500 delegates. Kimberley hosted the SA

and SMME support 60

Open Chess Festival at this venue in 2019.

Image: SAOpen2019.com.




Rooibos is a hit around the world.

Image: Bokkeveld Rooibos

From a funky coffee bar in Des Moines, Iowa, to the refined

palates of discerning Japanese tea-drinkers, rooibos is on

trend around the world. And that’s good news for farmers and

producers in the Northern Cape.

Bill Bryson was famously sniffy about the sophistication of

his hometown in the middle of America, but at Zanzibar’s Coffee

Adventure in downtown Des Moines, red cappuccino is now a popular

favourite. Using rooibos allows for any style of espresso that comes

without the caffeine kick.

Rooibos has not yet made a big dent in the 200 000 tons of tea

consumed by Japan every year, but sales grew 7% in 2018 and

introducing a new variety to a country of tea aficionados is easier than

tackling a nation of coffee drinkers. A total of 2 000 tons were shipped

to Japan from South Africa in 2018.

Rooibos is competing in the “Healthy Tea” segment and a popular

restaurant chain’s decision to use the tea as a complement to its

pork bone broth has helped to promote the product. Brazil is being

explored as a potential market.

Recent studies proving that rooibos tea increases antioxidant

capacity in human blood are further proof of the beverage’s healthy

qualities. The unique climate and soil of the western part of the

province support this niche crop. About 6 000 tons of tea is exported

to more than 30 countries and domestic consumption is about 8 000

tons. The South African Rooibos Council states that more than 5 000

Sector Insight

• Food security is a key

concern for social planners.

• The successful goat kid

project has expanded

to Botswana.

people are employed in the

rooibos industry.

Only the leaves of the

Aspalathus linearis (a legume

that is part of the fynbos family)

are used in making rooibos

(Afrikaans for “red bush”).

Harvested while still green,

the leaves are left to dry and

ferment in the sun after being

cut up. Naturally high in a range

of vitamins and potassium, zinc

and iron, its low tannin content

makes it an excellent alternative

as a hot drink.

Another niche product of

the Northern Cape is karakul




pelt, which is a speciality of the

Gordonia district of Upington.

This exclusive product is

distributed via the capital of

Denmark and the Italian fashion

capital of Milan. Copenhagen is

the site of two auctions of karakul

pelts that are held annually.

Agri-company KLK is the only

organisation that handles these

pelts in South Africa. Glovemakers

in Milan are among the

international clients to whom

farmers of the dorper sheep

breed sell the wrinkle-free skins

of their sheep, at good prices.

Another exclusive niche is

horse stud breeding, a speciality

of the area around Colesberg,

where the cold evenings and

warm days combine to drive

out disease and promote strong

growth. Among the studs are

Henham and Southford, a 900ha

property near the Gariep Dam

which once was home to the

famous stallion “Damask”.

Compared to other types

of manufacturing, agri-processing

can be scaled up relatively quickly

with good financial rewards. It

can also be labour-intensive. As

such, agri-processing is a key

plank in the growth plans of the

Northern Cape.

Work has already been done

in providing manufacturing

facilities for rooibos at

Niewoudtville and investments

have been made in fisheries and

new vineyard development for

groups of people who previously

had not had exposure to the

grape and wine sector.

The Northern Cape Department

of Agriculture, Land Reform

and Rural Development

(DALRRD) was behind the

rooibos tea factory, which now trades as Bokkeveld Rooibos. The

factory takes tea from 85 local farmers with the goal of helping to

integrate these farmers into the agricultural and agri-processing

business chain.

Two areas of interest to assist small-scale farmers are being

explored with regard to hemp and crops that can produce liquor. The

dry interior of the Northern Cape is suitable for the growing of Agave

that provides the source material for tequila and there are several other

opportunities. The rapidly-changing legislative environment for hemp

and marijuana holds potential in textiles and medicine.

A programme to empower black farmers is supporting six farmers

in 2020. The Commercialisation of Black Producers Programme targets

farming and agri-processing in the expectation that graduates will

mentor young people and create employment.

The commercialisation of the goat project which was successfully

extended to Namibia has now been further expanded to include

Botswana. Small-scale farmers are being given access to market and

further expansion is expected.

Food security

The Integrated Food Security and Nutrition Programme aims to

promote and support urban agriculture and to support community

and institutional food gardens. Beneficiaries practising poultry farming

in their backyards will receive broilers and layers for egg production.

This will improve household nutrition and generate income.

Long-term thinking underpins the adoption by the provincial

government of the Northern Cape Climate Change Adaptation

Response Strategy. This allows for a framework to tackle drought and

other climate change issues.

Occupying 36-million hectares, the Northern Cape is the largest

province in the country, almost a third of South Africa’s total land area.

Although the province is a predominantly semi-arid region, agriculture

is a major component of the regional economy and the province’s

farmers contribute 6.8% to South African agriculture.

The agricultural sector also plays a vital role in the broader economy

of the Northern Cape, employing as it does about 45 000 people. This

represents about 16% of employment, a much higher figure than the

national figure of 5.5%.

Online Resources

Northern Cape Department of Agriculture, Land Reform and Rural

Development: www.agrinc.gov.za

Northern Cape Economic Development, Trade and Investment

Promotion Agency: www.nceda.co.za

South African Pecan Nut Producers Association: www.sappa.za.org

South African Rooibos Council: www.sarooibos.co.za

Zanzibar’s Coffee Adventure: www.zanzibarscoffee.com





First-world technology and quality combined SABS-approved roadworthy trailers built at Africa

with African simplicity. The main woodchipper Biomass Company in Worcester, South Africa.

unit is manufactured by Bandit Industries, Inc. Engine-powered woodchippers are fitted

with 35-plus years’ experience with Tier 3, South African standard, diesel or

in innovation and international petrol engines, depending on the woodchippers’

research. These units specification or clients’ preference. Electric and PTO

are shipped to options are also available in various Bandit models.

South Africa The add-ons are specifically handpicked to give

where they are you the best set-up and will provide you with a

fitted onto well-balanced woodchipper that will outperform

most other chippers in Africa.


Agricultural development takes place along defined corridors

within the province:

In the Orange River Valley, especially at Upington, Kakamas

and Keimoes, grapes and fruit are cultivated intensively. High-value

horticultural products such as table grapes, sultanas and wine grapes,

dates, nuts, cotton, fodder and cereal crops are grown along the

Orange River.

Wheat, fruit, groundnuts, maize and cotton are grown in the

Vaalharts Irrigation Scheme in the vicinity of Hartswater and Jan

Kempdorp. The Vaalharts Irrigation Scheme is one of the biggest

systems of its kind in the world. Ranging over more than 30 000ha,

it has transformed a semi-desert zone into a productive area that

sustains cotton, wheat, maize, lucerne, citrus, peanuts, fruit, grapes,

olives and pecan nuts.

Vegetables and cereal crops are farmed at the confluence of the

Vaal River and the Orange River in the vicinity of Douglas. Of the nearly

40-million 10kg bags of onions produced in South Africa (outside of

linked production chains set up by supermarkets), about 10-million

10kg bags come from the Northern Cape.

Wool, mohair, karakul, Karoo lamb, venison, ostrich meat and

leather are farmed throughout most of the province. The province

is second only to the Eastern Cape in terms of the number of sheep

farmed and is the fourth-largest wool-producing province based on

annual sale of producer lots. The Beefmaster abattoir in Kimberley

is one of three abattoirs in South Africa to export frozen beef to

China. The company processes and packages about 30 000 tons per

annum at the abattoir.


KLK is based in Upington and does much more than karakul pelts. The

company’s interests include 19 retail outlets, 12 petrol stations, four Build

it franchises and a strong auction division. KLK runs three abattoirs in

Calvinia, Carnarvon and Upington

that slaughter lamb and beef

carcasses. SA Dorper manages

the production and export of

dorper skins and the production

of cattle hides. GWK is another

company with its headquarters

in the Northern Cape, in this case

the town of Douglas.

Senwes is one of the country’s

biggest agri-companies and

its Northern Cape area of operation

is mostly around the Vaalharts

irrigation area, which is close

to the headquarters just over

the provincial border in North

West, at Klerksdorp. Storage and

handling of grains and oilseeds

are the speciality of Senwes.

OVK controls the large

Gariep abattoir at Strydenburg,

which has a daily capacity of

1 300 sheep, 100 cattle and

either 250 ostriches or 750

small game animals. OVK also

has trade branches, vehicle

dealerships, a finance division

and manufacturing facilities for

maize meal and wheat meal.

Kaap Agri, a Western Cape

company, has a significant

presence in the Northern Cape

and Namibia. ■



A water equity scheme is under discussion.

The right to use water in a water-scarce area can often be a

contentious issue. An analysis of Water Equity Schemes is

underway to establish whether or not they are working to the

benefit of intended beneficiaries.

It is thought that if the scheme is correctly applied, more than

3 000ha of land currently lying fallow could be brought into production

for food security and for the cultivation of high-value crops.

One of the major private suppliers of water in the province is

Sedibeng Water. Sedibeng Water’s Central Laboratory, based at

Balkfontein near Bothaville, is accredited by the South African National

Accreditation System (SANAS). A new laboratory has been built to

monitor the quality of water at the revamped Vaal Gamagara scheme.

The laboratory’s four sections cover Instrumentation, Wet Chemistry,

Sewage and Microbiology.

The Eye of Kuruman

Six municipalities have been identified for the eradication of informal

settlements. A major obstacle in the municipalities of Sol Plaatje,

Phokwane, Tsantsabane, Dawid Kruiper, Gamagara and Ga-Segonyana

is the lack of bulk water and sanitation facilities. Ring-fenced funding in

terms of the Division of Revenue Act has been approved.

Two of South Africa’s great rivers meet in the Northern Cape at

a point south-west of Kimberley. After absorbing the Vaal River, the

Orange River continues westwards to the Atlantic Ocean and provides

the basis for agriculture all along its path.

Online Resources

National Department of Water and Sanitation: www.dwa.gov.za

South African Association of Water Utilities: www.saawu.org.za

Water Institute of South Africa: www.wisa.org.za

Water Research Commission: www.wrc.org.za

Sector Insight


The Vaal-Harts irrigation

system supports intensive


North of Kimberley, the

confluence of the Vaal and the

Harts rivers encompasses one

of South Africa’s most intensely

irrigated areas. The Vaal-Harts

irrigation system is one of the

most productive in the country,

covering about 38 000 hectares

with a variety of crops. Various

water users’ associations (WUAs)

representing particular areas

(such as the Vaal-Harts) are

recognised by the national water


Two of South Africa’s biggest

dams, the Gariep and Vanderkloof,

also provide water for irrigation

and hydro-electric power. Many

parts of the province are dry with

sections of the north and northwest

classified as semi-arid and

arid. The southern Kalahari Desert

receives rain but the fact that

mining is a primary economic

activity in the dry regions of

the province presents many

challenges. The town of Kuruman

is an exception in that it has a

natural and prolific spring, the Eye

of Kuruman.

Engineering group ELB

Group has been appointed by

Vedanta Zinc International to do

a wide range of jobs at its new

Gamsberg project. This includes

laying a water pipe from the

Orange River to the mining

company’s processing plant. ■




Grapes and wine

The Orange River region punches above its weight in grape and wine production.

Photo: Dippenaar Choice Fruit

The word “audit” is normally associated with financial institutions

or public bodies that must account for their expenses.

But for the grape farmers and wine producers of the Northern

Cape, meeting various health standards is a serious business

on which rests access to lucrative export markets.

Although the province has just 3% of South Africa’s vineyards, 18%

of the nation’s white wine grapes are cultivated along the Orange

River. For grape producers such as the family-run company Dippenaar

Choice Fruit, their three-person HACCP team is a vital element in

operations. HACCP stands for Hazard Analysis and Critical Control

Points. Among the audits which this team oversees are the BRC (British

Retail Consortium) Version 8 Audit and SiZA, the Sustainability Initiative

of South Africa.

An instructive feature of the Dippenaar Choice Fruit website is the

Chinese language option, a strong signal of the growing popularity of

South African grapes in China. The company farms seedless grapes on

306ha across eight farms, including Gamcaip Grape Farm (pictured),

along the Lower Orange River. The intention is to expand to 340ha and

increase production from one-million cartons (4.5kg carton equivalent)

to 1.5-million cartons by 2022.

Sector Insight

Northern Cape wines are

winning awards for quality.

The region as a whole

has 5 688ha of vines and

the Orange River Producer

Alliance represents its farmers.

According to the South African

Table Grape Industry (SATI),

the grape industry in the

Northern Cape employs 1 215

people permanently, with a

further 12 415 people finding

seasonal work. Harvesting

happens from early November

to early February.

Almost a third of South

Africa’s table grape crop is




produced in this fertile region.

The South African table grape

industry has been investing in

hardier varietals which produce

a better yield. A variety of seedless

grapes dominate plantings,

with Thompson Seedless,

Prime, Sugraone, Grapaes and

Crispy Flame Seedless among

the most popular.

If ambitious plans to create

a Special Economic Zone at

Upington come to fruition, the

grape, raisin and wine traders of

the Northern Cape could get their

products to market more quickly.

There are plans to add 40 000

tons of grapes for wine, juice

and raisins to the Northern

Cape’s capacity. A draft six-year

plan has been developed for

the Northern Cape Vineyard

Development Scheme.

Of the Sultana grapes grown

in the Lower Orange River Region,

70% are used for vine-fruit products.

There are 1 250 Sultana grape

growers in the province, producing

three Sultana-type grapes

which rank among the best in

the world: the Sultana Clone H5,

a new hybrid called Merbein

Seedless, which has proved

resistant to splitting after rain, and

the most popular type, the 143B.


The 2019 season was a good

one for Northern Cape wine

farmers. Warm to hot conditions,

coupled with the nutrient-rich

land on the banks of the Orange

River and sharply contrasting

temperatures combine to

produce consistently excellent

wines. Average annual rainfall in

the area is 150mm.

The Northern Cape’s Orange River wine region accounts for 25.6%

of South Africa’s Colombar vines and 10% of Chenin Blanc. The focus is

on Colombar and Hanepoot grapes.

Orange River Cellars (ORC) is the region’s biggest producer,

sourcing its grapes from 850 grape producers in the area known as the

Green Kalahari. ORC has a winery at its head office in Upington and a

further four at Keimoes, Groblershoop, Kakamas and Grootdrink.

Orange River Concentrate Producers (part of the ORC group)

produces about 7.5-million litres of white grape juice concentrate,

a percentage of which is exported to Japan where the Itochu

Corporation uses it in soft drinks and food.

ORC reported better yields in 2019 than the year before, at about

35 tons per hectare. Both Chenin Blanc and Colombar performed well

with the latter doing exceptionally well.

At the 2019 Top 100 SA Wines/National Wine Challenge, ORC went

some way to changing the narrative about the type of wine that the

region produces. ORC is famous for its sweeter wines, such as Muscadel

but a blend of Petit Verdot and Shiraz (Lyra Vega) won a spot among

the competition’s top 100 wines. In addition, the cellar garnered

two Grand Cru Awards (best in category) and a further two Double

Platinum positions in the select 100.

The Douglas Wine Cellar produces about 6 000 cases per year.

Together with the Landzicht cellar (just over the border in the Free

State), the Douglas Wine Cellar is a GWK company. The Douglas cellar

crushes 7 000 tons of grapes every

year and produces 5.6-million litres

of wine.

Hartswater Wine Cellar is a part

of the region’s other big agricultural

company, Senwes. Two wine

brands (Overvaal and Elements) are

produced in the Hartswater irrigation

area north of Kimberley.

The 2019 national wine grape

crop was slightly smaller than the previous year. The Orange River was

one of four regions to record a slight increase, but that was off a low

base in 2018. For 2019, the national crop estimate was 1.2-million tons

(SAWIS, South African Wine Industry Information & Systems).

Vinpro is an organisation that 2 500 South African wine grape

producers, wineries and wine-related businesses. ■

Online Resources

Photo: Carpe Diem Estate

Northern Cape Department of Agriculture, Land Reform and Rural

Development: www.agrinc.gov.za

Raisins South Africa: www.raisinsa.co.za

SA Wine Industry Information & Systems: www.sawis.co.za

South African Table Grape Industry: www.satgi.co.za

South African Wine and Brandy Company: www.sawb.co.za




A public mining company is planned in the Northern Cape.

Photo: Anglo American

The Premier of the Northern Cape has announced that his administration

wants to “vigorously pursue the possibilities of

establishing a Northern Cape State Mining Company”.

This company will do prospecting, apply for licences and

look for investments on behalf of the people of the Northern Cape.

The Northern Cape Economic Development, Trade and Investment

Promotion Agency (NCEDA), the province’s investment agency, is

tasked with researching feasibility.

Base metals are showing great potential and it is in that sector that

any public mining company would likely be active. The world market

for base metals (which includes zinc and nickel) is in good shape

because of trends in the energy and automotive markets and the fact

that the global supply of copper is expected to decline.

One of those base metals, manganese, is finding its ways to ports

much more rapidly and in greater bulk thanks to a concerted effort by

Transnet Freight Rail (TFR). In 2019 TFR announced a ninth manganese

mining freight contract. The decision to rail manganese to a variety

of South African ports, rather than being limited to Port Elizabeth,

led to 14.5-million tons of the metal being transported in 2018, a

massive increase on the five-million tons achieved in 2012. The target

is 16-million tons.

The other reason TFR is able to cope with such volumes is the

incredible Sishen-Saldanha train, which continues to set world records

in terms of length of train and volumes. The latest is 375 wagons

Sector Insight

Transnet Freight Rail is

ramping up manganese


carrying 63 tons each and seven

of the 49 weekly trips on this

line have been given over to

manganese, the balance being

devoted to iron ore.

The biggest new mine in

the country is a zinc mine at

Aggeneys, the Gamsberg project

of Vedanta Zinc International,

which will deliver 600 000 tons

of zinc when phase three is

complete. About $400-million has

been invested since the project

began and the company started

trucking product to the Port of

Saldanha in 2018.

The provincial government

is using the mine’s location

(and possible future smelter) as



Our History

We are located at the Kimberley Diamond Jewellery Centre in the Northern Cape Province of

South Africa. We have entrenched ourselves as the only incubator in the Precious Stones

exchange, shared infrastructure and technology support services to the unemployed,

Our Clients

have work experience or informal sector businesses.

Our Purpose

Our Vision

Our Mission

Our Values

To be the premium

incubator in the diamond

and precious metal

• Provide an enabling

environment that gives

access to technology

and business


• Assist entrepreneurs

• Integrity;

• Innova

• Transparency;

• Reliability;

• Customer centric.

and sustainable.

Our Partners


the basis for an application to

create a new Namakwa Special

Economic Zone.

An old zinc mine that

produced a million tons of zinc

and 430 000 tons of copper

before it closed in 1991 is to

be revived by Australian miner

Orion Minerals. A bankable

feasibility study was completed

in June 2019 and it confirmed

earlier positive findings.

Good earnings

Good prices for iron ore

served Northern Cape mining

companies well in 2019. Afrimat,

a construction materials group

which recently got into mining

with the purchase of Demaneng

mine, boosted overall earnings

for FY 2018/19 on the back of

this diversification strategy.

Afrimat hit a record R3-billion in

revenue. The company intends

expanding into coal.

Assore was another

company to set a record, with its

R6.4-billion in headline earnings

(12 months to June 2019) being

25% better than the year before.

This was despite small decreases

in production and sales.

Major expenditure on Gloria,

Nchwaning and Black Rock has

been underway for some time,

with 93% of the latter expansion

project spent.

Kumba Iron Ore’s six-month

earnings to June 2019 followed

the same trajectory, with

global prices and a weak

rand mainly responsible. The

company expected to produce

between 42-million and

43-million tons but sell 44-million

tons, drawing on reserves.

The improved services of TFR, noted above, contributed to better sales.

The National Youth Development Agency (NYDA), the provincial

government and Mintek is collaborating on the Prieska Loxion

Hub (PLH), which beneficiates Tiger’s Eye for jewellery and stonecutting


Mining assets

The Northern Cape Department of Economic Development and

Tourism’s “Economic and Investment Profile” reports that the province

is responsible for:

• 95% of South Africa’s diamond output.

• 97.6% of alluvial diamond mining.

• 13.4% of world lead exports. Aggeneys, in the Namaqualand district

produces approximately 93% of South Africa’s lead.

• 80% of the world’s manganese resource.

• 25% of the manganese used in the world.

• 100% of South Africa’s Tiger’s Eyes.

• Largest national production of sugilite (a semi-precious stone).

Super-conductors, X-ray machines, nuclear batteries and PETscan

detectors are just some of the technologies that rely on rare

earth elements (REEs) such as promethium, thulium and holmium.

China controls 95% of the world’s supply of REEs and the search is on

for alternative sources. Two sites have attracted investors’ attention:

Zandkopsdrift (Northern Cape) and in the adjoining province of the

Western Cape, Steenkampskraal.

Away from the underground kimberlite pipes and fissures, river and

coastal deposits of diamonds are also present in the Northern Cape.

Diamonds have been recovered along the Orange, Buffels, Spoeg,

Horees, Groen, Doom and Swart rivers in the province, while coastal

deposits have been found from the mouth of the Orange River to

Lamberts Bay.

Diamond mining company West Coast Resources (WCR) has a

production plant at Michells Bay. Trans Hex, with a 40% shareholding

in WCR, manages the mine and market the diamonds produced from

it. The National Department of Trade, Industry and Competition (dtic)

owns 20% of WCR.

The Kimberley International Diamond and Jewellery Academy

provides training with a total of 406 graduates having so far passed

through the academy. In a recent development, De Beers Sightholder

Sales South Africa awarded KIDJA an amount of R500 000 for bursaries. ■

Online Resources

Minerals Council of South Africa: www.mineralscouncil.org.za

National Department of Mineral Resources: www.dmr.gov.za

Northern Cape Department of Economic Development and Tourism:


South African Mining Development Association: www.samda.co.za



markets dependent on Small Medium Enterprise phase.

Phase Title Timeline

3. Graduates/Exits SME Support Services Contract (GSSSC) Ad-Hoc contract














or volunteer services please email us on info@kdji.org

25 Villiers Street, Kimberley, 8301 info@kdji.org +27(0)53 831 1570



Fast cars and superfast data are set to break records.

Sector Insight

The South African Institute

of Electrical Engineers

has launched a branch

in Kimberley.


Most engineering work in the Northern Cape is done on or

around mines. But the construction of a new university

from scratch, a landspeed record attempt and a vast international

radio telescope project are putting advanced

engineering at the forefront of activity in the province.

The bulk of the new structures for the Sol Plaatje University were

subject to a competition. From a total of 59 entries, nine architectural

firms were selected to enter the second round of the competition with

five firms chosen as winners to complete different aspects of the project.

The Sol Plaatje University Library and Student Resource Centre

earned Aurecon an award at the 2018 CESA Aon Engineering

Excellence Awards. The building on South Africa’s newest campus

in Kimberley also won a Fulton Concrete Award. It was designed by

designworkshop: sa, the construction work was done by Murray and

Dickson and Aurecon’s brief was structural, civil, electrical, fire and wet

services design.

Another striking building, designed by Savage + Dodd, was “highly

commended” at the World Architecture Festival. The multi-purpose

building encompasses a residence, offices, meeting spaces and retail

space on the ground floor.

The long-anticipated attempt on the world landspeed record

moved a step closer with tests conducted early in 2020 at Hakskeenpan.

The flat stretch of dusty land chosen for the attempt by a team called

Bloodhound is not far from Verneuk Pan, where Sir Malcolm Campbell

failed to go beyond the record of 370.4km/h in the Blue Bird in 1929.

The record now stands at

1 227.9km/h and the feat of

engineering required to

propel Andy Green (who holds

the record) past that speed

is awesome. Speeds above

1 000km/h were achieved during

tests, but the focus was on

how the car reacted to desert

conditions. The car has been

described as a combination of

a rocket, a Formula 1 car and a

jet aircraft. An extensive local

project, in which 317 members

of the Mier community cleared

the track, was funded by the

Provincial Government of the

Northern Cape.

High-level science and engineering

underpin the Square

Kilometre Array Radio Telescope

(SKA). Unimaginable amounts of

data are set to be collected in this

transformative radio telescope

project that is centred on

Carnarvon but has global reach.

The data that the SKA will

collect in a day would take twomillion

years to play back on

an iPod. The radio telescope’s

image-resolution quality will

exceed that of the Hubble Space

Telescope by a factor of 50.

The SKA will be the world’s

largest radio telescope, made

up of thousands of antennae




throughout Australia and Africa.

In 2019, 15 countries involved

in the SKA project gathered

in Rome for the signing of the

international treaty establishing

the intergovernmental

organisation that will oversee

the delivery of the world’s

largest radio telescope. This

is the Square Kilometre Array

Observatory (SKAO), which

is tasked with delivering and

operating the SKA.

In South Africa, the South

African Radio Astronomy

Observatory (SARAO), a facility

of the National Research

Foundation, manages all radio

astronomy initiatives and

facilities, including the MeerKAT

radio telescope in the Karoo.

To maximise the return on

South Africa’s investment in radio

astronomy, SARAO is managing

programmes to train people in

radio astronomy science and

engineering research and is

building the technical capacity

to support site operations. Some

of the Large Survey Projects

(defined as requiring more

than 1 000 hours of telescope

time over five years) being

undertaken via MeerKAT are the

hunt for dynamic and explosive

radio transients (ThunderKAT)

and observations of nearby

galactic objects (Mhongoose).

Great results were achieved

in December 2019 when rare,

bright “starburst” galaxies never

previously observed in radio

light were observed by MeerKAT.

A composite photograph is

shown on the previous page.

The Renewable Energy

Independent Power Producer

Procurement Programme

(REIPPPP) has created an entirely new industry in less than seven years,

with investment of about R200-billion in solar parks and wind farms.

This has created many opportunities for engineers, many of which are

in the Northern Cape.

Photo: Charlie Sperring

New spark in Kimberley

The South African Institute of Electrical Engineers (SAIEE) has launched

a new branch in Kimberley. The SAIEE Northern Cape Centre will

attend to the needs of members and hold events of interest related to

electrical or electronic engineering. SAIEE has 6 500 members around

the country and is registered as a non-profit voluntary association with

ECSA (Engineering Council of South Africa).

An important body in the South African context is the Institute of

Municipal Engineering of Southern Africa (IMESA), which has more

than 1 000 individual and company members. A key focus for the body

is to provide training in sustainable infrastructure asset management,

something that has proved a challenge for many municipalities.

Engineers continue to be critical to the work of the mining industry

in the Northern Cape. Aveng company Moolmans reported good

results in 2019, partly on the back of renegotiating the contract to work

on the Gamsberg zinc project.

ELB Group’s Engineering Services division employs more than

1 000 people and the company is currently working full-time on the

vast Gamsberg zinc project. Manganese, iron ore and coal are other

mining sectors where ELB is active. ■

Online Resources

Consulting Engineers South Africa: www.cesa.co.za

Institute of Municipal Engineering of Southern Africa:


South African Institute of Electrical Engineers: www.saiee.org.za

South African Radio Astronomy Observatory: www.sarao.ac.za

Southern African Institution of Civil Engineering: www.civils.org.za




The stars are aligned for Northern Cape tourism.

Sector Insight

Coastal regions have a

chance to shine.

Astro-tourism could be the next big thing. The Northern

Cape has always attracted star-gazers with its wide-open

skies and superb facilities for astronomical observation at

Sutherland. But two pupils at Carnarvon High School have

seen how this sector could reap huge benefits for the province on

the back of the allocation of the Square Kilometre Array (SKA) project.

Amy Lee Visage and Chrislin De Koker won a national tourism

competition for their project on the benefits of astro-tourism. Northern

Cape Tourism has organised a number of initiatives to ensure that local

communities can be part of the growing sector. Tourist maps have

been produced for walking trails at Carnarvon, Fraserberg, Sutherland

and Williston.

A visitors’ centre, the Carnarvon SKA Exploratorium, is planned

as a key piece of tourism infrastructure around which to plan

other activities. The Department of Economic Development and

Tourism reports that in 2018/19 training was provided to 86 tourism

entrepreneurs, 43 of whom were young people. By giving financial

support to some businesses, 20 permanent and 30 temporary jobs

were created.

The province is aiming to broaden its offering to include coastal

towns and regions. The suggested new brandings include beach

experiences, coastal experiences and marine experiences.

Another thrust is to put increased emphasis on existing assets

in the social and cultural field

such as events and festivals and

cultural, historical and mining


An existing event combines

elements of adventure with

wide open spaces. The Tankwa

Trek traverses the southern part

of the Great Karoo through

the Bokkeveld and Witzenberg

areas to “star-gazer’s Central” at

Sutherland. It is a mountain bike

trail marathon over 265km that

typifies the adventure tourism of

the province’s brand.

Tough sportsmen and women

take to mountain bikes and canoes

to take part in the Desert Knights

Tour through the Richtersveld

Transfrontier Park and on the

Orange River. The river is also

the venue for the 73km Orange

Descent Canoe Marathon.

National parks

There are no fewer than six

national parks and five provincial

reserves in the province, each

with distinct geographical and

biological features. Most of the

province lies in the Nama-Karoo

Biome and the annual display of

spring flowers is spectacular.

The north-western portion

of the province is known as the

Green Kalahari, much of which

is taken up by national parks.




The Kgalagadi Transfrontier Park

(with Botswana) encompasses

3.7-million hectares, making it

one of the biggest conservation

areas in the world.

The Kalahari in the north-east

is home to many of the province’s

biggest mines, but also to great

numbers of raptors, vultures and

owls. A specialist raptor route

has been developed. Birders can

look out for 50 species, including

the Booted Eagle, the Pygmy

Falcon and the Bateleur. Tours of

the area’s vast open-cast mining

operations can be arranged.

A proposed Heritage Route

traces the footprints of the early

missionaries to Southern Africa

and will include Kuruman and

the Robert Moffat Mission.

Hunting is a lucrative

subsection of the tourism

sector that brings valuable

economic development to rural


The Diamond Fields region

contains the spectacular Big

Hole, the Mokala National Park

and portions of the famed

South African War or Battlefields

Route. The Magersfontein War

Memorial is an iconic attraction.

The town of Kimberley is itself an

extremely popular attraction.

The Karoo region encompasses

the south-eastern portion

of the province. While most of the region is dry, the Vanderkloof Dam

is a major tourism asset. Many of the region’s small towns are geared

to cater to tourists drawn to the magic of the Karoo’s open spaces

and features famous Karoo towns such as De Aar, Britstown, Hanover,

Victoria West and Carnarvon. Other attractions are the unique Karoo

architecture, rock art, ancient Paleo surfaces, farm stays and the famous

Karoo lamb.

The Namakwa region is famous for its flowers, such as those that

surround the church at Kamieskroon (pictured), but it also hosts the

South African Astronomical Observatory, several historic mission

settlements, the Namaqua National Park (on the West Coast) and the

awe-inspiring Richtersveld Transfrontier Park. Springbok and Calvinia

are the two major towns in this huge district, which is also the only

Northern Cape region with a coastline and soon to be the home of a

new small harbour.

The Richtersveld Cultural and Botanical Landscape is a UNESCO

World Heritage Site. This 160 000-hectare landscape lies on the border

between South Africa and Namibia.

Investment opportunities

General opportunities for investors in the tourism sector include:

• Nature and game reserves

• Adventure tourism

• Upgrading of accommodation facilities

• New attractions and entertainment features (theme parks)

• Improve air transport networks.

Adventure sports at Kimberley: the possible establishment of an

adventure sports resort in the Big Hole Precinct, Kimberley.

Steam train: reviving steam train tourism (“Gems on Track” is the

working title) could be done along a variety of routes including routes

out of Kimberley to Belmont and from De Aar to Victoria West.

Eco-resort at Boesmansput: development of a diver training facility

would form part of the plan at this popular fresh-water cave-diving site.

An eco-lodge is envisaged and a conference facility.

Wildebeest Rock Art Centre: more than 400 pieces of rock art

would form the cornerstone (together with the nearby Nooitgedacht

Glacial Paving) of a world-class heritage and archaeological site.

Developments would include the creation of a performance arena (for

the depiction of San Bushman culture) and facilities for game viewing

and photographic safaris. ■

Online Resources

Gariep Arts Festival: www.gariepfees.co.za

Northern Cape Tourism Authority: www.northerncape.org.za

Orange Descent Marathon: www.orangedescent.co.za

Richtersveld: www.richtersveld-conservancy.org

South African National Parks: www.sanparks.co.za



Education and training

Enrolment at Sol Plaatje University is rising.


The two big events that stand out in the Northern Cape education

sector in recent times are the opening of Sol Plaatje

University and the establishment of one of the world’s great

scientific ventures within the province’s boundaries, the

Square Kilometre Array radio telescope project.

But there is another development that should not be ignored: the

selection as provincial premier of Dr Zamani Saul. Already the holder

of a PhD in law, two Master’s degrees and a BProc, Dr Saul is studying

towards a second PhD. On his watch, the province’s various bursary

programmes have been consolidated in the Premier’s Bursary Fund,

with a total spend in the 2019/20 year of about R36-million.

A further R7-million was allocated by the Office of the Premier to

youth skills development with a focus on portable skills such as basic

refrigeration and air-conditioning maintenance and security.

Speaking at the AGM of the Fund, Saul said, “At the heart of a

modern, growing and successful province is education. We won’t be

able to modernise the province if we do not place emphasis on the

education of our children.”

At the time that Saul took office, 97% of all schools in the Northern

Cape had Internet connectivity (542 out of 556) for teaching and learning

purposes and he promised a renewed effort to connect the remaining

14 schools. The project has drawn praise for the fact that the public and

private sectors are working together to achieve agreed goals.

The Namaqua Maths and Science project (NaMaSci) is a

partnership between the Northern Cape Department of Education

and the University of Stellenbosch which aims to help students in the

Sector Insight

Carnarvon High School’s

Lego Robotics team won

gold in Uruguay.

Namakwa district gain access

to tertiary study. Tutors offer

holiday classes in Springbok.

The Provincial Government

of the Northern Cape has several

skills programmes, including

the Artisan Construction Programme,

a three-year incubation

programme aimed at young

people, the Phakamile Mabija

Apprenticeship (artisan incubation

programme) and the

S’hamba Sonke Contractor

Development Programme.

Big data

Carnarvon is the physical focus

of the SKA, but the province as

a whole and the new university




in Kimberley will benefit from its

broadband connectivity, highperformance

computing, big

data and data analysis.

With support from SKA,

Carnarvon High School is the

only school in the area offering

maths and science. As of 2019,

15 matriculants from the school

have been awarded university

undergraduate bursaries.

Five schools in the area

participate in Lego Robotics

programmes and a team of

eight from Carnarvon High won

a gold cup for “inspiration” at

the 2019 International Lego

League competition in Montevideo,


Artisan training has also

benefitted from the presence

of SKA in Carnarvon. The new

technical training centre has

trained 84 students as electricians,

fitters and turners, in

instrumentation, diesel mechanics,

in IT and boilermaking, as

well as in carpentry, plumbing,

bricklaying and welding.

Image: NCDOE

for equal rights, Sol Plaatje. One of his books, Native Life in South Africa,

tells the story in harrowing detail of how black South Africans were

thrown off their land as a consequence of the 1913 Land Act. He was

also a novelist, a translator and one of the founding members and

first Secretary-General of the South African Native National Congress

(SANNC), which became the ANC. Kimberley is part of the Sol Plaatje

Local Municipality.

The first intake of students at the Kimberley campus in 2014

was 124. At the 2019 graduation ceremony, 319 students were

congratulated and when classes began for the 2020 academic year,

over 700 first-time students enrolled. Approximately 60% of the

students are enrolled in teacher training courses.

A group of students from the university (Team Dumela) has already

made waves at national level, being awarded second place at the

National ITWeb Security Summit.

The academic programme is housed in four schools: Education;

Humanities; Natural and Applied Sciences; Economic and Management

Sciences. Bachelor’s degrees are offered in education, science, science

in data, ICT, heritage studies, commerce and arts. A diploma in retail

business management (three years) and a one-year higher certificate

in heritage studies completes the prospectus.

The provincial government is implementing its Northern Cape

Information Society Strategy in partnership with the university.

Astronomy-related courses are planned for the future to dovetail with

the Square Kilometre Array.

The Northern Cape Urban TVET College comprises three campuses

in Kimberley: City Campus, Moremogolo Campus and Phatsimang

Campus where teacher training is done. At City Campus, students have

access to three departments: business studies, engineering studies and

a business unit that organises short courses in partnership with various

public and private partners. At Moremogolo Campus students are

offered courses in either the business studies or skills departments.

The Northern Cape Rural TVET College has campuses at Kathu,

Upington, De Aar, Kuruman and Namakwaland. These colleges offer

students courses in finance, economics and accounting; engineering;

IT and computer science; management; hospitality; marketing; and

tourism. NCRTVET College has a variety of part-time programmes

and short skills programmes delivered in the form of learnerships,

internships or apprenticeships. This enables adults and employed

people to study after hours or to do enrichment courses. ■

After years of lobbying for

a university, the Northern

Cape now has its own place

of higher learning, Sol Plaatje

University, named after the great

intellectual, writer and advocate

Online Resources

Northern Cape Department of Education: http://ncdoe.ncpg.gov.za

Northern Cape Rural TVET College: www.ncrtvet.com

Northern Cape Urban TVET College: ww.ncutvet.edu.za

Sol Plaatje University: www.spu.ac.za

Square Kilometre Array: www.ska.ac.za



South Africa’s newest university

is making an impact

Sol Plaatje University, with award-winning buildings on a growing campus in

Kimberley, is responding to local needs as enrolment rises.

In developing its academic disciplines, Sol Plaatje University took

into account the unique needs and characteristics of the Northern

Cape region. This approach led to the current focus areas of

teacher education, ICT, heritage studies, data science and creative

writing in African languages.

The university is named after Solomon Tshekisho Plaatje, one of

South Africa’s great intellectuals. He was a novelist, a translator and

one of the founding members and first Secretary-General of the South

African Native National Congress (SANNC), which became the ANC.

In 2014 Sol Plaatje University, in its inaugural intake, enrolled just

124 students, Enrolments have been growing steadily ever since and

in 2020 it exceed 2000 students.

The fifth graduation ceremony in the university’s young history

was held in December 2019 for 319 graduates from across its four

schools. It now has over 700 successful graduates. Judge Steven

Majiedt, the Chancellor, presided over the ceremony in the Taberna

Dei Hall in New Park and the keynote address was delivered by

outgoing Vice-Chancellor and Principal Professor Yunus Ballim.

Professor Andrew Crouch, a distinguished full professor of

chemistry with extensive research and educational experience, took

up the position of Vice-Chancellor and Principal from 1 April 2020.

Building beautifully

More than one philosopher has noted the link between beautiful

surroundings and a good educational experience, so when it was

decided to create a new university in Kimberley, every effort was

made to create an atmosphere conducive to learning.

A competition was held to choose the architects to work on the

new university. From a total of 59 entries, nine firms were selected in

2013 to enter the second round of the competition. Ultimately, five

firms were chosen as winners, and they were tasked with completing

work on the campus.

In terms of infrastructure, the jewel in the crown is the Central

Campus, where the bulk of the academic operations are situated. The

site of the historic William Pescod School and adjacent land parcels

are now beyond recognition as state-of-the-art building after building

have sprung up, with more being built as this article is written. The

flagship Moroka building which houses student accommodation,

academic offices, teaching and

seminar rooms, an examination

hall and academic

offices, has been joined by the

customised Teaching Practice

Building, the Humanities

Building, the Natural Science

Laboratories Building and the

iconic and prize-winning Library

and Resource Centre Building.

Currently under construction are

the laboratory building for the

applied sciences and a further

academic science building.

The Library and Student

Resource Centre (see the

advert opposite), designed

by designworkshop: sa, won

the 2017 Fulton Concrete

Awards for “Buildings Greater

Than 3-Stories”. In 2019, the

building design received the

International Architecture

Award. The Library and Resource

Centre was designed as the

functional and physical centrepiece

of university life, including

a state-of-the-art library, teaching

study and social space. It

is a social space where people

make themselves available to

wide-ranging incidental and

planned interchanges in the

course of daily life, both in the

physical space and online, with

and without books, collectively

and in solitude, directed and

enabled by mentors and among

themselves. ■




A hybrid wind and solar plant could power a new zinc mine.

Photo: ACWA Power

Renewable energy is cleaner and rapidly becoming cheaper

than conventional power, but security of supply is still a

problem. Getting a reliable power supply to a remote mining

destination in the Northern Cape presents its own challenges,

and this makes the collaboration between Orion Minerals and juwi

Renewable Energies particularly interesting. The suggested solution is

a hybrid system combing wind and solar energy. The juwi Group has

experience with hybrid systems, having delivered a 10.6MW solar

hybrid system to a mine in Australia, which integrated with an existing

19MW diesel-fired power plant.

The study will look into supplying the Prieska Zinc Copper

Project with 35MW of electricity from a site less than 20km from the

mine, therefore allowing for a dedicated feed via overhead power

transmission lines. The energy company reports that the region already

has 190MW of solar power plants in operation and 240MW of wind

power under construction adjacent to the project.

After a lengthy planning period and many years after it was first

announced, the giant solar park that national utility Eskom wanted to

build in the Northern Cape has been cancelled. The concentrating solar

power (CSP) plant would have generated 100MW. Eskom’s debts make

any large expenditure risky, although it is also true that the company’s

Sector Insight

Eskom has scrapped its

solar park plan.

reliance on coal is itself a risky


A Renewable Energy Directorate

is to be established by

the Provincial Government of

the Northern Cape. The brief

of the directorate is to assist

local and district municipalities

to create revenue streams

related to renewable energy.

Concern has been expressed

at provincial government level

that developers of wind and

solar projects are not doing

as much as they could in

terms of developing local skills




and employing local people in

good jobs.

Industry associations claim

that benefits are indeed being

shared with local communities.

Figures released by the South

African Wind Energy Association

(SAWEA) showed shareholding

for local communities reached

an estimated net income of

R29.2-billion for projects initiated

nationally since 2012. Some

14 000 new jobs are expected to

be created, mostly in rural areas,

and more than R30-billion has

been spent on Black Economic

Empowerment (BEE) in the

construction phase.

In less than a decade, an

entirely new sector has been

created through legislation

that invited local and foreign

investors to bid for and then

build renewable energy

generation plants. South Africa’s

National Development Plan

(NDP) requires 20 000MW of

renewable energy by 2030.

That will be achieved mainly

through the Renewable Energy

Independent Power Producer

Procurement Programme


The wind and solar parks now

spreading over the vast spaces of

the Northern Cape indicate that

renewable energy has well and

truly arrived. Approximately 60%

of the projects so far allocated

have been in the nation’s

sunniest province.

Projects such as Kathu Solar

Park, a concentrating solar power

(CSP) project, and the Roggeveld

Wind Farm are indicative of

the large scale of most of the

energy generation that is being

rolled out.

Xina Solar One is located at Pofadder on the N14 between

Upington and Springbok. The R9.4-billion project is a joint venture

between Spanish energy firm Abengoa Solar, the Industrial

Development Corporation (IDC), the Public Investment Corporation

(PIC) and a community trust representing the local population. Kaxu

Solar One is also near Pofadder but Khi Solar One is closer to Upington.

All three plants use concentrated solar power (CSP) which reflects

the sun’s rays during the day in to a molten salt storage system. The

energy is then slowly released during the night. The 205m tower that

collects the rays at the Khi Solar One site is one of the tallest structures

in South Africa.

The Northern Cape is the natural home for the generation of solar

power. Long-term annual direct normal irradiance (DNI) at Upington is

2 816kWh/m 2 , according to a survey done for Stellenbosch University

by Slovakian company GeoModal Solar. South Africa’s national average

is among the best in the world. Stellenbosch University’s Solar Thermal

Energy Research Group has six sites monitoring irradiation levels.

The small towns of Postmasburg and Groblershoop lie between

Upington and Kimberley. They are modest settlements which have

ticked along in support of surrounding farmers with some diamond

mining and wine cultivation. They are now the centre of some of the

world’s most advanced technological innovation in concentrated

solar power.

Saudi Arabian electricity group ACWA Power has won approval

for the 100MW Redstone project near Postmasburg and the 50MW

Bokpoort CSP plant (pictured on previous page) near Groblershoop is

in operation.

Large wind projects are also winning approval in the Northern

Cape. The commissioning of the 100MW De Aar Wind Power Project

brings together Mulilo Renewable Energy and the China Longyuan

Power Group Corporation.

Commercial operations have begun on Khobab Wind Farm and

Loeriesfontein Wind Farm, collectively providing 280MW via 61 wind

turbines. The projects were developed by Lekela Power, a joint venture

between Actis and Mainstream Renewable Power. Noblesfontein was

one of the earliest wind farms to be constructed in the Northern Cape,

about 40km from Victoria West. Spanish company Gestamp Wind was

an early investor.

The 147MW Roggeveld Wind Farm, which has 47 Nordex wind

turbines and was developed by G7 and then taken over by Building

Energy, will operate commercially in the first quarter of 2021. ■

Online Resources

IPP projects: www.ipp-projects.co.za

National Energy Regulator of South Africa: www.nersa.org.za

South African Photovoltaic Industry Association: www.sapvia.co.za

South African Renewable Energy Council: www.sarec.org.za

South African Wind Energy Association: www.sawea.org.za




Solar projects are attracting financial backing.

With the renewable energy sector booming in South

Africa, a whole new sector in need of project funding has

opened up for banks. The Northern Cape has attracted

a high percentage of independent power producers

which have won the right to build power plants.

The other new sector is astronomy as represented by the Square

Kilometre Array project. The education sector has received an

investment by way of Absa Bank which has given R4.5-million to Sol

Plaatje University to develop the field of Data Science.

The Northern Cape is also taking an interest in the activities of the

newly-formed BRICS Development Bank. Of particular interest is the

bank’s initiative in developing an infrastructure roadmap and a SADC

Industrialisation Strategy.

News that a mutual bank in Limpopo had been hollowed out by

corrupt practice put the spotlight on banking practice in South Africa.

Despite this experience, the appetite for mutual banks is strong, given

the nature of the South African market. The Young Women in Business

Network (YWBN) intends applying for a mutual bank licence and Bank

Zero will use the mutual model. Other new entrants such as TymeBank

(free transactional accounts) and Discovery Bank are introducing

innovations to the South African banking sector.

South Africa’s four big retail banks (Nedbank, Absa, Standard Bank

and First National Bank) have a solid presence in the major towns in

the province. Relative newcomer, Capitec, is rapidly moving towards

Online Resources

Association for Savings and Investment South Africa: www.asisa.org.za

Auditor-General of South Africa: www.agsa.co.za

Banking Association South Africa: www.banking.org.za

Chartered Institute for Government Finance, Audit and Risk Officers:


Sector Insight

New banks are shaking up

the sector.

being part of a Big Five and it has

announced that it will partner

with Centriq Life to enter the

insurance market. Capitec has

no fewer than18 branches in

the Northern Cape. The fact

that it has four branches in

Kuruman, one more than in

Upington, suggests that Capitec

has successfully sold its low-cost

banking model to mine workers.

The established banks

have dedicated units such as

Nedbank Agribusiness. Focus

areas for this unit are agronomy,

livestock, horticulture and

secondary agriculture which

covers agricultural processing

and storage. Nedbank has a

total of 27 business managers

in Nedbank Business Banking

for the province and the

neighbouring Free State.

The Land and Agricultural

Development Bank of South

Africa (Land Bank) is a major

participant in the Northern Cape

financial sector and the Industrial

Development Corporation (IDC),

as an equity investor, is another

important player.

Most agricultural companies

in the Northern Cape have

financing and services divisions,

as one would expect in a

province with a strong and

varied agricultural sector which

exports much of its produce. ■



Development finance

and SMME support

Local businesses are thriving in support of mining.

Opportunities for building and civil engineering contracts

are hard to come by in Danielskuil, population 13 597. The

tiny town, which lies north-west of Kimberley, falls within

an area rich in mining and for father and son Paul and Marvin

Oss, that spelt opportunity.

With access to work at Kolomela Mine through Kumba Iron Ore’s

inclusive procurement project, P&E Artisans (pictured) now has a staff

complement of 35 with plans to

grow to 100 in five years. Work

on the mine included making

brackets and erecting steel

structures. In 2017 Kumba Iron

Ore spent R36-billion through

its inclusive procurement and

enterprise development initiatives.

The province’s biggest new

mine, the Vedanta Zinc International

mine at Aggeneys, spends

generously on corporate social responsibility, of which supplier

development forms a large part. Some 45 black-owned businesses

have so far been supported on the project, with the 12 new businesses

created having tripled in value since 2015.

The Provincial Government of the Northern Cape is focussed on

two sectors for SMMEs, agriculture and tourism. The intention is to link

80 young agricultural graduates for in-service training with commercial

operations for two years. These young people would then be expected

to start small businesses. Tourism is seen as a sector where the barriers

to entry are low, and the growth of options in the heritage tourism

sector should provide further opportunities for small operators to

begin or grow their businesses.

SMMEs will be catered for in the planned Kathu Industrial Park

which is being supported by the Industrial Development Corporation

(IDC) and companies in the mining sector. The focus of the park will be

metals. The park’s infrastructure will enable smaller companies to be

Online Resources

Department of Small Business Development: www.dsbd.gov.za

Industrial Development Corporation: www.idc.co.za

Northern Cape Economic Development Agency: www.nceda.co.za

Small Enterprise Development Agency: www.seda.org.za

Sector Insight

Agriculture and tourism

are good sectors for

SMME growth.


in a position to tender for supply

contracts to mines.

The Industrial Development

Corporation is one of the biggest

development finance operators

in the Northern Cape. As part of

national government’s renewable

energy programme which

aims to get private investors

into the sector, the IDC has

approved funds for 12 renewable

energy projects in the province,

including Abengoa’s Khi Solar

One concentrated solar power

farm near Upington and the

Kakamas Hydro-Electric Power

plant on the Orange River.

The Small Enterprise Development

Agency (Seda) is a

partner in the Kimberley incubation

hub related to the

Kimberley International Diamond

and Jewellery Academy.

The Kimberley Diamond and

Jewellery Incubator (KIDJA)

helps establish SMMEs, supports

existing business and trains

students. There are six Seda

branches in the province and a

satellite office of the Seda unit

known as the Zenzele Technology

Demonstration Centre, offering

technical and research support to

small-scale mining and mineralrelated

enterprises. ■



Kareeberg Municipality

Umsobomvu Municipality

Tel: +27 53 382 3012 | Fax: +27 53 382 3142

Tel: +27 51 753 0777/8 | Fax: +27 51 753 0574

Northern Cape Local Government

Website: www.kareeberg.co.za

A guide to district and local municipalities in the Northern Cape Province.

Renosterberg Municipality



53 663 0180

Website: Physical www.renosterbergmunicipality.gov.za

address: 51 Drakensberg Avenue,

Carters Glen, Kimberley 8301

Siyancuma Municipality

Postal address: Private Bag X6088, Kimberley 8300

Tel: +27 +27 53 53 298838 18100911 | Fax: | Fax: +27 53 +27 29853 3141 861 1538

Website: www.siyancuma.gov.za


Siyathemba Dikgatlong Municipality











| Fax:









531 0624

Website: www.siyathemba.co.za


Thembelihle Municipality

Magareng Municipality

Tel: +27 53 203 0008/5 | Fax: +27 53 203 0490

Tel: +27 53 497 3111/2/3 | Fax: +27 53 497 4514

Website: thembelihlemunicipality.gov.za

Website: www.magareng.gov.za

Ubuntu Municipality

Phokwane Municipality

Tel: +27 53 621 0026 | Fax: +27 53 621 0368


Tel: +27


53 474 9700 | Fax: +27 53 474 1768

Website: www.phokwane.org.za

Sol Plaatje Municipality


Main Road

Tel: NORTHERN +27 53 CAPE 830 PROVINCE 6911/6100 | Fax: +27 53 833 1005


Website: www.solplaatje.org.za


Physical address: 4 Federal Mynbou Street,

Kuruman 8460


Van Zylsrus




Postal address: PO Box 1480, Kuruman 8460


Tel: +27 53 712 8700 | Fax: +27 53 712 2502 R31


Website: www.taologaetsewe.gov.za




Alexander Bay Vioolsdrif

Gamagara Municipality

Port Nolloth





Tel: +27 53 Okiep 723 6000 | Fax: +27 53 723 2021

Kleinsee Springbok



Website: www.gamagara.gov.za

Van Wyksvlei










Ga-Segonyana Municipality










Victoria West



Tel: +27 53 Vredendal 712 Vanrhynsdorp 9300 | Fax: +27 Fraserburg 53 712 3581 N1

Three Sisters


Website: www.ga-segonyana.gov.za






Joe Morolong


Saldanha Municipality







Beaufort West


R44 Worcester



Paarl N1

Tel: +27 53 773 9300 | Fax: +27 53 George 773 9350



CAPE TOWN Stellenbosch



Website: www.joemorolong.gov.za Mossel Bay



Union’s End






Postmasburg Ulco Barkly West







North West



De Aar













Free State



N1 N9




Eastern Cape


Somerset East






Jeffreys Bay

Website: www.umsobomvumun.co.za


Mandela Avenue and Upington Road,

Upington Physical 8801 address: Van Riebeeck Street,

Tel: Springbok +27 54 3378240

2800 | Fax: +27 54 337 2888

Website: Postal address: www.zfm-dm.co.za Private Bag X20, Springbok 8240

Tel: +27 27 712 8000 | Fax: +27 27 712 8040


Email: info@namakwa-dm.gov.za

Kruiper Municipality

Tel: Website: +27 54 338 www.namakwa-dm.gov.za


Fax: +27 54 531 0019

Website: Hantam www.dkm.gov.za Municipality

Tel: +27 27 341 8500 | Fax: +27 27 341 8501

Kai! Garib Municipality

Website: www.hantam.gov.za

Tel: +27 54 461 6400 / 6700 | Fax: +27 54 461 6401

Website: Kamiesberg www.kaigarib.gov.za Municipality


Tel: +27 27 652


8000 | Fax: +27 27 652 8001

Website: www.kamiesberg.gov.za

Tel: +27 54 384 8600 | Fax: +27 53 384 0326




Hoogland Municipality

!Kheis Tel: +27 Municipality

53 391 3003

Fax: +27 53 391 3294

Tel: +27 54 833 9500 | Fax: +27 54 833 0690

Website: www.karoohoogland.gov.za

Website: www.kheis.co.za

Tsantsabane Khâi-Ma Municipality Municipality

Tel: +27 +27 5354 313933 73001000

Fax: +27 +27 5354 313933 16020252

Website: Website: www.tsantsabane.gov.za




Western Cape


North West

Free State

Eastern Cape













54 69



Nama Khoi Municipality

Tel: +27 27 718 8100 | Fax: +27 27 712 1635

Website: www.namakhoi.gov.za

Richtersveld Municipality

Tel: +27 27 851 1111 | Fax: +27 27 851 1101

Website: www.richtersveld.gov.za


Physical address: Cnr Nelson Mandela Avenue and

Upington Road, Upington 8801

Tel: +27 54 337 2800 | Fax: +27 54 337 2888

Website: www.zfm-dm.co.za


Physical address: Culvert Road, Industrial

Area, De Aar 7000

Tel: +27 53 631 0891 | Fax: +27 53 631 2529

Website: www.pksdm.gov.za

Emthanjeni Municipality

Tel: +27 53 632 9100 | Fax: +27 53 631 0105

Website: www.emthanjeni.co.za

Kareeberg Municipality

Tel: +27 53 382 3012 | Fax: +27 53 382 3142

Website: www.kareeberg.co.za

Renosterberg Municipality

Tel: +27 53 663 0041 | Fax: +27 53 663 0180

Siyancuma Municipality

Tel: +27 53 298 1810 | Fax: +27 53 298 3141

Website: www.siyancuma.gov.za

Siyathemba Municipality

Tel: +27 53 353 5300 | Fax: +27 53 353 1386

Website: www.siyathemba.co.za

Thembelihle Municipality

Tel: +27 53 203 0008/5 | Fax: +27 53 203 0490

Website: thembelihlemunicipality.gov.za

Ubuntu Municipality

Tel: +27 53 621 0026 | Fax: +27 53 621 0368

Website: www.ubuntu.gov.za

Umsobomvu Municipality

Tel: +27 51 753 0777/8 | Fax: +27 51 753 0574

Website: www.umsobomvumun.co.za

The offices of the ZF Mgcawu District

Municipality are in Upington.

Dawid Kruiper Municipality

Tel: +27 54 338 7000

Fax: +27 54 338 7350

Website: www.dkm.gov.za

Kai! Garib Municipality

Tel: +27 54 461 6400 / 6700 | Fax: +27 54 461 6401

Website: www.kaigarib.gov.za

Kgatelopele Municipality

Tel: +27 54 384 8600 | Fax: +27 53 384 0326

Website: www.kgatelopele.gov.za

!Kheis Municipality

Tel: +27 54 833 9500 | Fax: +27 54 833 0690

Website: www.kheis.co.za

Tsantsabane Municipality

Tel: +27 53 313 7300 | Fax: +27 53 313 1602

Website: www.tsantsabane.gov.za



Northern Cape

Provincial Government

A guide to the Northern Cape’s provincial government departments.

Office of the Premier

Premier: Dr Zamani Paul

JW Sauer Building, 6th Floor, cnr Roper and Quinn

streets, Kimberley 8301

Tel: +27 53 838 2600 / 2900 | Fax: +27 53 838 2626

Website: www.northern-cape.gov.za

Department of Land Reform,

Agriculture and Environmental Affairs

MEC: Nomandla Bloem

162 George Street, Kimberley 8301

Tel: +27 53 838 9100 / 087 630 0887

Fax: +27 53 831 4685 / 3635

Website: www.agrinc.gov.za

Department of Cooperative Governance,

Human Settlements and Traditional Affairs

MEC: Bentley Vass

JS du Plooy Building, 9 Cecil Sussman Road,

Kimberley 8301

Tel: +27 53 830 9400 | Fax: +27 53 831 2904

Website: www.coghsta.ncpg.gov.za

Department of Economic Development

and Tourism

MEC: Maruping Matthews Lekwene

14th Floor, Metlife Towers, cnr Knight and Stead

streets, Kimberley 8301

Tel: +27 53 839 4000 | Fax: +27 53 831 3668

Website: www.northern-cape.gov.za/dedat

Department of Education

MEC: McCollen (Mac) Jack

156 Barkley Road, Homestead, Kimberley 8301

Tel: + 27 53 839 6500 | Fax: +27 53 839 6580

Website: www.ncdoe.ncpg.gov.za

Department of Health

MEC: Galerekwe Mase Manopole

144 Dutoitsta Road, Kimberley 8301

Tel: +27 53 830 2100 | Fax: +27 53 833 4394

Department of Environment and

Nature Conservation

MEC: Nomandla Bloem

90 Long Street, Kimberley 8301

Tel: +27 53 807 7300 | Fax: +27 53 807 7328

Department of Roads and Public Works

MEC: Abraham Vosloo

9-11 Stockroos Road, Square Hill Park,

Kimberley 8301

Tel: +27 53 839 2100 | Fax: +27 53 839 2291

Website: www.ncrpw.ncpg.gov.za

Department of Social Development

MEC: Barbara Martha Bartlett

Mimosa Complex, Barkley Road,

Homestead, Kimberley 8301

Tel: +27 53 874 9100 | Fax: +27 53 871 1062

Department of Sport, Arts and Culture

MEC: Bernice Sinexve

32 Abbatoir Road, Kimberley 8301

Tel: +27 53 807 4700

Fax: +27 53 807 4600

Website: www.dsac.ncpg.gov.za

Department of Transport, Safety and


MEC: Nontobeko Eveline Vilakazi

Cnr Lennox and Sydney Roads, Kimberley 8301

Tel: +27 53 839 1700

Fax: +27 53 839 1773

Website: www.northern-cape.gov.za/dtsl

Provincial Treasury

MEC: Maruping Matthews Lekwene

14th Floor, Metlife Towers, cnr Knight and Stead

streets, Kimberley 8301

Tel: +27 53 830 8200

Fax: +27 53 831 4235

Website: www.ncpt.gov.za





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Promotion of Economic Growth and Economic

Promotion of Economic Growth and Economic

Development in the Northern Cape Province

Development in the Northern Cape Province

Physical: Metlife Towers,

13th Fl, Cnr Stead & Physical: Knight Sts, Metlife Kimberley, Towers,


13th Fl, Fl, Cnr Postal: Cnr Stead Private & & Knight Bag Sts, X6108, Sts, Kimberley, Kimberley, 8309

8300 8300

Postal: Private Tel: 053 Bag Bag 839 X6108, 4000 Kimberley, | Fax: 0538300

832 8301 6805

Tel: Tel: 053 053 Web: 839 839 http://economic.ncape.gov.za

4000 4000 | Fax: | Fax: 053 053 832 832 6805


Web: http://economic.ncape.gov.za

Email: dedat@ncpg.gov.za

Email: dedat@ncpg.gov.za

Promotion of Economic Growth and Econo

Development in the Northern Cape Provin

Physical: Met

13th Fl, Cnr Stead & Knight Sts, Kimb

Postal: Private Bag X6108, Kimb

Tel: 053 839 4000 | Fax: 05

Web: http://economic.nc

Email: dedat@n

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