Name of the Project
Kapstevel South (KSS) project.

Location
The project is located 22 km from Postmasburg, in the Northern Cape, in South Africa.

Project Owner/s
Anglo American subsidiary Kumba Iron Ore.

Project Description
The project entails the development of a new pit ­– KSS – and associated infrastructure at Kolomela. The pit is a conventional truck-and-shovel operation producing high-quality direct shipping ore. 

While the pit is included in Kolomela’s current life-of-mine (LoM), it contributes significantly to sustaining production of about 13-million tonnes for the remainder of the mine’s life. 

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
It is expected that the addition of the KSS pit will deliver an after-tax internal rate of return of about 25%.

Capital Expenditure
Capital expenditure (capex) is estimated at R7-billion.

Planned Start/End Date
Kumba Iron Ore announced the approval of the project on July 24, 2020.

First ore is expected in 2024. 

Latest Developments
Kumba has further developed the KSS pit, with waste mined of 20.6-million tonnes in 2021.

The company has also increased Kolomela’s reserve life from 2031 to 2034, with a clear pathway to 2040 through the development of the Ploegfontein and Heuningkranz deposits.

Construction on the workshops and infrastructure is in progress and Kumba’s exploration work continues on its Northern Cape targets.

Expansion capex of between R4.1-billion and R4.5-billion has been allocated to develop the KSS pit and the Sishen ultrahigh dense-media separation project in 2022.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Anglo American (media), Sinah Phochana, tel +27 12 683 7019 or email sinah.phochana@angloamerican.com.
Anglo American (investors), Penny Himlok, tel +27 12 622 8324 or email penny.himlok@angloamerican.com.