R/€ = 15.27Change: -0.03
R/$ = 14.44Change: -0.05
Au 1057.02 $/ozChange: -0.86
Pt 831.50 $/ozChange: -4.00
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?

And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters About Us
RSS Feed
Article   Comments   Other News   Research   Magazine  
Jun 04, 2010

04/06/2010 (On-The-Air)

Engineering|Gold|Africa|Export|Gautrain|Mining|Platinum|PROJECT|Stainless Steel|Africa|Gautrain|Services|Steel|Gautrain|Gautrain
Engineering|Gold|Africa|Export|Gautrain|Mining|Platinum|PROJECT|Stainless Steel|Africa|Gautrain|Services|Steel|Gautrain|Gautrain
© Reuse this

Every Friday morning, SAfm's AMLive's radio anchor Florence Letoaba speaks to Martin Creamer, publishing editor of Engineering News and Mining Weekly. Reported here is this Friday's At the Coalface transcript:

Letoaba: Chinese investors have made two bids in as many weeks for gold and platinum mines.

Creamer: Chinese investors in Africa have been very active, in South Africa, not as active, particularly in mining. Now we see them moving through and they go to stressed situations, and they look for bargains.

So, we see in the case of platinum, which is a fantastic world metal at the moment with a great future, they are looking at Wesizwe Platinum where there has been a problem with funding because of the international global meltdown, they found themselves in a funding problem.

Also, there have been problems with the community there, who are part owners. The Chinese are coming in with what you can add up to being R7-billion in all and this is Jinchuan, which is quite a big nickel company backed by Cadfund, which is a big Chinese Development funder.

They are wanting 51%, so that is another thing about it, they will get control if this deal goes through and it should take about three months. They will be prepared to fund the project, which will take many billions to do. Also, on the gold side we see now the Chinese making a bid for the troubled Aurora mines.

There is Orkney and Grootvlei and there has been a funding delay and now the Chinese have moved in there and want to possibly bid slightly more for Orkney and match what was bid for Grootvlei and buy Aurora, which is led by Zondwa Mandela and Khulubuse Zuma and possibly wrest control of that from people who are also having funding problems.

Letoaba: South Africa's new mineral beneficiation strategy will be handed in for Cabinet approval any day now. What can we expect to hear?

Creamer: Well, we can expect a new strategy in terms of adding value. When we look at beneficiation we add value. We haven't been doing that to any great extent in South Africa.

We mine a lot of minerals and metals, but we then export them. It is a very important thing to do, because you are earning foreign exchange and it earns about half our foreign exchange. But, for a long time now the governments of the bay have been looking at adding value and now Susan Shabangu has come forward with a strategy, which she is going to pass on to the cabinet.

This, I understand, is going to look at ten metals and minerals, so they won't look at everything, and they will create five value chains from those metals. The idea will be to create the value chains that build up a local demand for those metals and minerals, which normally go out of the country.

We can just look at chrome, for instance, we have a lot of chrome, I think most of the chrome in the world and we do beneficiate that to some extent, we take it to ferrochrome. But, we haven't done much in the stainless steel front although we produce about 1% of the world's stainless steel that is now owned by a Spanish company, no longer South Africa.

What we want to do is take it even further and develop more the autocatalysis side, which can also take in platinum. So, there is a lot of cross linkages that they want to do, but the big idea is to go downstream and create more jobs and more wealth.

Letoaba: Of course, on a lighter note, the Gautrain goes commercial from Tuesday. Exciting news.

Creamer: Exciting news. We thought that the Gautrain may not be ready for the World Cup, but people put their best foot forward and they've come in slightly ahead of their official schedule but definitely not below budget.

It is a R25,4-billion project which started off in the year 2000 where it was going to be R4-billion, then it went to R7-billion, but the reality ten years later is that it is R25,4-billion. The good news is that people coming in now to OR Tambo will be able to from 05h30 in the morning on Tuesday it will go commercial and they will be able to get on that and in 14 minutes be in Sandton.

They will be R100 and the R100 is for the casual users. So, it can go down to R16,50 when you actually have multiple use and you also use parking. It is linked to bus services as well, so you can get your one ticket, it is a smartcard, and you can get your bus backing, parking backing and also the train.

That will take you into Sandton at this point in time, only that one section of the line ready, but it is important for it to be ready because of the World Cup coming in.

Letoaba: Well, I must tell you Mr Creamer that I am getting on that Gautrain that very Tuesday and I'm very excited. Thanks very much. Martin Creamer is publishing editor of Engineering News and Mining Weekly, he'll be back with us at the same time next week.



Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
Other SAFM
Latest News
Updated 36 minutes ago Rail parastatal PRASA launched a dramatic court action this week to recover from one of South Africa's biggest ever tender debacles involving billions of rand‚ the newspaper reported. The Passenger Rail Agency of South Africa wants the Spanish company that provided...
Updated 52 minutes ago South Africa's trade deficit widened more than expected to R21.39-billion ($1.5-billion) in October from a revised R1.26-billion shortfall in September, the national revenue agency said on Monday. Exports decreased by 6% to R86.35-billion, while imports jumped by...
Updated 59 minutes ago Durban’s proposed “dig-out” port will eventually become a reality, but has been put on the back burner for the moment, with the Transnet Port Authority’s (TNPA) CE declining to even set a date. Richard Vallihu, speaking at a business-to-business breakfast, said: “For...
Recent Research Reports
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
Road and Rail 2015: A review of South Africa's road and rail sectors (PDF Report)
Creamer Media’s Road and Rail 2015 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail infrastructure and network, the funding and maintenance of these respective networks, and...
Defence 2015: A review of South Africa's defence sector (PDF Report)
Creamer Media’s Coal 2015 report examines South Africa’s coal industry with regards to the business environment, the key participants in the sector, local demand, export sales and coal logistics, projects being undertaken by the large and smaller participants in the...
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
This Week's Magazine
The BMW Group will invest R6-billion at BMW Group South Africa’s (BMW SA’s) Rosslyn plant to produce the next-generation X3 sports-activity vehicle (SAV) for the local and export markets. Rosslyn will continue production of the current 3 Series through its lifecycle,...
The lack of consequences for poor performance and transgressions on the part of contractors remains a significant hurdle to tackling South Africa’s service delivery challenges, delegates heard at the Consulting Engineers South Africa Infrastructure Indaba, on...
City of Ekurhuleni executive mayor Mondli Gungubele earlier this month officially named the city’s bus rapid transit (BRT) system, Harambee.
NICK CHRISTODOULOU As about 58% of data stored by organisations is dark, they must identify this dark data to expose risks and valuable information
About 58% of unstructured data stored by companies is dark data, which means that the value or regulatory importance of the data has not been determined. Subsequently, most of the stored data add costs, rather than increasing revenue or reduce regulatory risks, says...
BRIAN VERWEY Effective management, review and administration of non-core elements can improve business operations and increase revenue and decrease unforeseen risks
Effective logistics, import/export and manufacturing consulting services require detailed industry knowledge and experience, but can add significant value to these industries by providing expert advice on various technical elements in their value chains, says...
Alert Close
Embed Code Close
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96