Name and Location
Coega industrial development zone (IDZ), Eastern Cape, South Africa.

Client
Coega Development Corporation (CDC).

Project Description
The project is a multibillion-rand initiative, comprising an IDZ and a deep-water port at Port Elizabeth.

The initiative aims to position South Africa as a platform for global manufacturing and export through foreign and local investments.

Value
Coega has 21 operating investors, which have invested R1.24-billion in the metals, agroprocessing, manufacturing, renewable-energy and services sectors and created 3 208 operational direct jobs and more than 40 000 construction jobs.

Duration
Phased development of about 30 to 50 years.

Latest Developments
The CDC has requested interested contractors to bid for the construction of a 22 000 m2 wind tower manufacturing facility and associated infrastructure on behalf of renewable-energy company, DCD Wind Energy, in the Coega IDZ.

The R300-million project will include bulk earthworks; a 600 m2 office block; 400 m2 of change rooms and ablution facilities; concreted, paved and gravel hardstand areas; site works, services, road paving, a parking area and walkways; and a perimeter fence and gatehouse.

Construction will start on March 1, with the factory becoming operational in November and producing the first units by December, while the ancillary offices and laydown area will be completed in February 2014.

The plant’s capacity could be increased to 180 towers a year, should the market be sustainable enough to justify an additional investment.

The manufacturing facility, which would employ 150 workers, is being established to support the localisation of the wind turbine industry in South Africa.

Interested parties have until February 11 to submit their bids and must be registered with the Construction Industry Development Board and the Companies and Intellectual Properties Commission. The preferred bidder will be announced later in February.

Key Contracts and Suppliers
WBHO (main contractor); Uhambiso Consulting Engineers (principal agent); various national and local consulting engineers and architects (designs of municipal infrastructure for the various IDZ zones and top structures). Numerous civil and building contractors have been appointed for the construction of these projects: Matsim, a joint venture (JV) between Matrolab and Simlab was appointed as a dedicated testing house for all CDC projects; AES (330 MW open-cycle gas-turbine – R5-billion); Ipsa (1 600 MW combined-cycle gas turbine); Dynamic Commodities (R24-million); Cerebos (high-purity sodium chloride plant – R85-million); Straits Chemicals (chlorine refinery and desalination plant – R1.1-billion); Ferrostaal (stainless steel precision strip mill – R1.1-billion); Southern Cross Precision Strip (stainless steel precision strip-processing facility – R1.1-billion); Biomass (biofuels); Afro-Asia Steel (steel billets plant – R75-million); PetroSA (proposed crude oil refinery); Rainbow Nation Renewable Fuels (soya-bean biofuels project – R1.5-billion); General Motors South Africa, or GMSA (parts distribution centre in Zone 1 – R250-million); Studio de Arc (architecture); Mawethu Civils (platform); Siyalungisa Air Conditioning (air conditioning); Ivor Smith Electrical (all electrical work); Electrawinds (25 turbine wind farm – R1.2-billion); GDF Suez (R2.7-billion in energy sector); EAB (R270-million in renewable-energy sector); FAW (R600-million in automotive sector); DCD Dorbyl (R110-million in energy sector as a components manufacturer); Tyre Energy Extraction (R30-million in automotive sector); OSHO Cement (R380-million in construction sector); the Newco Cheese Factory (R30-million in the agro-processing sector); DCD Wind Energy (R300-million in the wind energy sector).

On Budget and on Time?
Yes.

Contact Details for Project Information
CDC spokesperson Senzeni Ndebele, tel +27 41 403 0464, fax +27 41 403 0401, cell +27 83 661 1975 or email senzeni.ndebele@coega.co.za.
CDC business development manager Nkuli Mxenge-Mayende, tel +27 41 403 0400, fax +27 41 403 0401 or email nkuli.mxenge-mayende@coega.co.za.