Apr 14, 2008
State still studying viability of new steel plant - MpahlwaBack
Africa|ArcelorMittal South Africa|Bloomberg|Highveld Steel|Industrial|Industrial Development Corporation|Africa|Mozambique|South Africa|Building|Carbon-steel Plant|Steel|Steel Complex|Steel Industry|Department Of Trade And Industry|South African Government|Fabrication|Iron Ore|Iron-ore|Mandisi Mpahlwa
© Reuse this
"I do know that there are various initiatives that are under way, all of which are aimed at assisting us in terms of availability of steel perhaps much cheaper grades than we are able to get currently from Mittal," Mpahlwa added.
Bloomberg News reported that the feasibility study, which was being overseen by the State-owned Industrial Development Corporation (IDC), would likely be complete in September.
Mpahlwa also noted that there was also "an initiative that we [South African government] have with Mozambique, to establish an iron and steel complex that will stretch between two of our provinces, Limpopo and Mpumalanga, as well as the southern part of Mozambique."
He added that it was an important initiative between the two countries, and that the Department of Trade and Industry continued to do work in a broad number of areas regarding the steel industry in South Africa.
"But, I think that the conclusiveness really as to whether a second steel facility is feasible and viable - that will come in due course," Mpahlwa stated.
The South African government was pursuing the options to deal with the steel pricing issue.
The study was one of five actions aimed at reducing the cost of steel inputs to the downstream fabrication sector, the others being a strengthening of the Competition Act; the creation of a State-owned enterprise pricing and procurement framework; reviewing the role of merchants in the value chain; and putting in place measures to reduce the exportation of scrap.
But while previous plans were centred primarily on the desire to increase the local beneficiation of ferrous minerals, such as iron-ore and manganese, the new study was interrogating the viability of an integrated mill.
It was understood that the prefeasibility study was being undertaken by State minerals and metallurgical research house Mintek, in collaboration with the IDC.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Other Video News
Recent Research Reports
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 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 network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
This Week's Magazine
The international Square Kilometre Array (SKA) radio telescope – which is to be jointly hosted by South Africa and Australia with, later, outstations in other countries – may not yet exist, but international scientific working groups are already deciding what...
A free Web-based solar power plant capacity-planning tool offers project planners and developers, as well as governments, a means to assess the solar energy potential of thin-film solar PV power over an area of land. The tool was developed by thin-film solar...
As yet, no specific methodology, timeline or costs have been finalised to remedy the water ingress, excessive to contractual specifications, into the Gautrain tunnel between emergency shaft two (E2) and Park Station, says Bombela Concession Company technical and...
The “seriously disruptive” electricity outages in South Africa have cost packaging group Astrapak more than R2-million in “irrecoverable downtime costs”, the company said on Monday, adding that the power cuts were negating some of the benefit of energy saving...
Bakkies and more affordable cars dominated South Africa’s new vehicle market in 2014. Unaudited data from the Department of Trade and Industry (DTI) shows that South Africa’s most popular vehicle in 2014 was the Toyota Hilux, selling 37 562 units.