Vedanta opens billion-dollar Gamsberg mine in SA

VEDANTA Zinc International last week opened its US$400 million (approximately N$5,7 billion) Gamsberg mine outside Aggeneys in South Africa’s Northern Cape province.

Vedanta Limited, a subsidiary of Vedanta Resources Limited, is one of the world’s leading natural resources companies with business operations in India, South Africa, Namibia and Australia.

Vedanta produces oil and gas, zinc, lead, silver, copper, iron ore, aluminium, steel and commercial power.

In a statement released last week, the company said Gamsberg has a reserve and resource of more than 214 million tonnes with a grade of between 6% and 6,5% zinc, and an estimated life of mine (LoM) of 30+ years.

The company unveiled the first phase of the Gamsberg mine last week, which phase has a LoM of 13 years, and will see four million tonnes per annum (mtpa) of ore produced from the open pit, and 250 000 tonnes per annum (tpa) of concentrate from its concentrator plant.

Meanwhile, an evaluation for phase 2 and 3, with a further investment of US$350 million to US$400 million, is underway, and will see ore mined increase to 8 mtpa and an increase in zinc-in-concentrate production in a modular way to 450 000 tpa, and ultimately to 600 000 tpa.

Moreover, Vedanta is pursuing a feasibility study into the development and construction of a smelter-refinery complex to the course of Vedanta and the government’s commitment to local metal beneficiation.

South African president Cyril Ramaphosa, who officiated at the event and delivered the keynote address, said the Vedanta-Gamsberg project is an important step in that country’s shared journey to revive its mining industry.

“It confirms our view that with an effective regulatory framework, improved collaboration between all stakeholders and sustained investment, mining has the potential to be a sunrise industry. We welcome this substantial investment by Vedanta which not only deepens South Africa’s relationship with India, but also signals Vedanta’s confidence in the future of South Africa’s mining industry,” he noted.

Also speaking at the unveiling, Vedanta Resources chairman Anil Agarwal emphasised their commitment to South Africa, and his belief in the future of the South African mining industry. He also reiterated his and Vedanta’s support towards Ramaphosa’s vision for the industry.

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