The Department of Trade and Industry has issued a special economic zone (SEZ) operator’s permit for the Musina-Makhado SEZ to South African Energy Metallurgical Base, a subsidiary of Chinese conglomerate Shenzhen Hoi Mor Resources.
The permit, approved by Trade and Industry Minister Dr Rob Davies after recommendation from the SEZ Advisory Board, authorises the operator to develop, operate and manage the South African energy and metallurgical zone.
“This development will go a long way in accelerating much needed economic growth, attracting foreign and domestic direct investment, expanding the manufacturing sector and mineral beneficiation, as well as creating employment in the region, which is currently faced with high levels of poverty, unemployment and underdevelopment,” said Davies in a statement on Monday.
The Musina-Makhado SEZ, which was designated in July 2016 to focus on energy and metallurgical processing, agroprocessing, petrochemicals and logistics, comprises a pipeline of a minimum of eight catalytic projects with a total investment in excess of R40-billion.
The energy and metallurgical complex will initially comprise a power plant, steel plant, stainless steel plant, coking plant, ferrochrome plant, ferromanganese plant, ferrosilicon plant, pig iron metallurgy plant and lime plant.
“These projects will be implemented over the next ten years and are expected to create over 21 000 jobs in the region,” Davies said.
The official handover of the permit will take place on Tuesday in China during the Brics Exhibition.