https://www.miningweekly.com

Malaysian project not abandonment of local beneficiation – ARM

African Rainbow Minerals ferrous division CE Jan Steenkamp tells Mining Weekly Online’s Martin Creamer that the company’s investment in a joint venture manganese alloy smelting facility in the Sarawak State of Malaysia is a small part of a longer-term South African beneficiation plan. Photographs: Duane Daws. Video: Nicholas Boyd. Editing: Darlene Creamer.

2nd September 2013

By: Martin Creamer

Creamer Media Editor

  

Font size: - +

JOHANNESBURG (miningweekly.com) – The new manganese alloy smelting project in Malaysia was not an abandonment of the company’s commitment to viable beneficiation, African Rainbow Minerals (ARM) ferrous division CE Jan Steenkamp said on Monday.

Steenkamp was answering questions after ARM posted 8% higher headline earnings for the year to June 30, which saw its share price rise 4% to R196 a share. (Also watch attached video).

“We’re not walking away from local beneficiation,” Steenkamp assured, in giving the compelling reasons why ARM, in joint venture with Assmang, would be constructing a 160 000 t/y, $328-million manganese alloy smelting facility in Sarawak, Malaysia, together with China Steel Corporation and Sumitomo Corporation.

Assmang will supply South African manganese ore for the project; China Steel will buy an estimated 30 000 t/y of the manganese alloys produced; and Sumitomo Corporation will coordinate the project and sell manganese alloy in specific markets.

The company is also working on another investment, the details of which are not yet in the public domain, to find solutions for profitable local beneficiation on a larger scale, with the help of new research and development.

In the meantime ARM is holding on to the advantage of retaining integrated production boosted by high-grade South African manganese and will continue the search for longer-term solutions.

An attractive 15-year electricity supply agreement, at a fixed 2.5% escalation clause, has been concluded in Malaysia, where the electricity is already 12% to 15% cheaper than in South Africa.

The project has also managed to clinch the last distribution capacity from the first phase of the new hydro power station.

Failure to go ahead with the integration Malaysian opportunity would have resulted in the closure of local plants and the loss of jobs at both plant and mine levels, Steenkamp told Mining Weekly Online.

“Our commitment to local beneficiation continues,” ARM executive chairperson Patrice Motsepe said, on the basis of it being globally competitive and profitable.

The company’s South African smelters have been hit by weak market demand, which has led to two furnaces being placed on care and maintenance.

Edited by Creamer Media Reporter

Comments

Showroom

Actom image
Actom

Your one-stop global energy-solution partner

VISIT SHOWROOM 
Magni SA
Magni SA

Magni SA is committed to developing the safest Telehandlers available to our customers for underground and surface mining, construction, forestry,...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Hyphen, Eva mine, ferrochrome price make headlines
Hyphen, Eva mine, ferrochrome price make headlines
27th March 2024
Resources Watch
Resources Watch
27th March 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.135 0.171s - 90pq - 2rq
Subscribe Now