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Metals News
Iron-ore soars as China port stocks dip, stimulus hopes grow
By: Reuters 2nd March 2020 China's iron-ore futures hit the upside limit on Monday as declining stockpiles at ports indicated steel mills' improving appetite for the raw material, while expectations grew Beijing will roll out further support for its paralysed economy. iron-ore on the Dalian Commodity Exchange ended up 5.8%... →
SAISC calls for the revival of the steel sector
28th February 2020 The steel industry has significantly contracted over the last four years and shed thousands of jobs, as many of South Africa’s long-standing and successful construction companies closed down or went into business rescue, South African Institute for Steel Construction (SAISC) CEO Paolo Trinchero... →
Sector in dire need of transformation
By: Mamaili Mamaila 28th February 2020 The manufacturing industry, and particularly the metals and engineering sector, is in much need of transformation, says national employer federation the Steel and Engineering Industries Federation of Southern Africa (Seifsa). →

Market feels project pinch
By: Mamaili Mamaila 28th February 2020 The lack of significant public infrastructure spend to boost steel consumption and construction activity are some of the challenges that the local steel tube market has to deal with, says steel industry association the Association of Steel Pipe Manufacturers (ASTPM). →

Stainless steel growth unlikely in 2020
By: Mamaili Mamaila 28th February 2020 The level of activity in the local stainless steel sector’s value chain has dwindled in the past decade, mainly owing to international competition, low steel prices and the slow growth of the local economy. →

Digitalisation beneficial for steel producers
By: Mamaili Mamaila 28th February 2020 Digitalisation will become an increasingly important strategy for steel producers to achieve a competitive advantage in the market, says metallurgical industry plant and integrated systems provider SMS group MD Pieter Bezuidenhout. →
Local steel industry still holds much potential 
By: Mamaili Mamaila 28th February 2020 The current capacity and capabilities of the local steel industry are still largely understated, says export trade promotion agency the International Steel Fabricators (ISF). →
Volatile steel prices to continue in 2020
By: Mamaili Mamaila 28th February 2020 The volatile prices of domestic steel producers and domestic steel merchants are likely to continue in 2020, says national employer federation Steel and Engineering Industries Federation of Southern Africa (Seifsa) chief economist Dr Michael Ade. →

Turning challenges in the steel sector into opportunities
28th February 2020 Despite the local steel sector currently experiencing tough challenges, some businesses within the steel supply chain have seized the opportunities presented by these challenges to grow their success. One such business is nitrogen generation equipment manufacturer and supplier NitraLife which... →
First bauxite cargo from Chalco's Guinea mine arrives in China
By: Reuters 27th February 2020 The first cargo of bauxite shipped from Aluminum Corp of China's Boffa mine, in Guinea, has arrived in China, a spokesperson for the company, which is also known as Chalco, said on Thursday. The 55 000 t cargo arrived at the port of Rizhao in eastern China's Shandong province on Wednesday after... →
Global steel output rose 2.1% y/y in January – worldsteel
By: Reuters 26th February 2020 Global crude steel production rose 2.1% to 154.4-million tonnes in January from the same month a year ago, figures from the World Steel Association showed on Tuesday. Crude steel output from China, the world's top producer and consumer of the alloy, gained 7.2% to 84.3-million tonnes in January. →
PSV considers clawback offer with DNG as part of restructuring strategy
By: Marleny Arnoldi 26th February 2020 AltX-listed industrial engineering group PSV Holdings on Wednesday announced that its board was considering a turnaround strategy for the business. The turnaround strategy includes a potential clawback offer whereby liquefied natural gas infrastructure provider DNG Energy Proprietary will... →
Record stash of steel in China as demand slammed
By: Bloomberg 25th February 2020 The world’s largest steel industry just sent out another warning flare as producers grapple with the coronavirus outbreak: nationwide stockpiles of reinforcement bar have swelled to the most on record. The surge is a reflection of the dislocation caused by the disease and efforts to fight it.... →
Kumba pays out 92% of HEPS to shareholders as iron-ore prices lift earnings 
By: Marleny Arnoldi 18th February 2020 JSE-listed miner Kumba Iron Ore delivered a payout ratio of 92% of headline earnings per share (HEPS) for the year ended December 31, exceeding its 50% to 75% dividend payout policy. The company declared a final cash dividend of R15.99 apiece, which, combined with the interim dividend of R30.79... →

Kumba Iron Ore CEO Thamba Mkhwanazi
Bushveld sees battery storage potential beyond EVs

By: Simone Liedtke 17th February 2020 While the energy transition is gaining a lot of traction, integrated primary vanadium producer Bushveld Minerals CEO Fortune Mojapelo laments that the battery storage narrative is “still dominated by electric vehicles (EVs)”. He tells Engineering News & Mining Weekly that there is still a lack of... →
Metals, engineering sector set for ‘unremarkable’ growth this year 
By: Tasneem Bulbulia 14th February 2020 Last year was generally challenging for both the domestic and global economy, as weakening demand, manufacturing and trade and investment restrained progress, with extended negative implications for the metals and engineering (M&E) sector, which is poised for “unremarkable” growth this year.... →

Dr Michael Ade
Renewed call to ban disposable cylinders
By: Darren Parker 14th February 2020 Despite various heating, ventilation, air-conditioning and refrigeration (HVAC-R) industry participants contesting the banning of disposable gas cylinders in South Africa for years, there is no indication of a decision on the matter being reached. South African Refrigeration and Air-Conditioning... →

Tribunal approves AMSA’s acquisition of Highveld Structural Mill
By: Tasneem Bulbulia 13th February 2020 The Competition Tribunal has unconditionally approved steel manufacturer ArcelorMittal South Africa’s (AMSA’s) acquisition of the manufacturing and production of structural steel and rail business of Highveld Structural Mill (HSM), a subsidiary of Evraz Highveld Steel and Vanadium. HSM, in... →
Vedanta sets sights on zinc, silver, iron-ore output growth 
By: Kim Cloete 12th February 2020 CAPE TOWN (miningweekly.com) – Natural resources company Vedanta Resources is aiming to become the world's biggest producer of zinc, as well as to double its production of silver and increase its iron-ore output from 10-million to 15-million tonnes a year. Vedanta has a presence in steel,... →
Patel asked to brief lawmakers on government’s response to ongoing steel job cuts 
By: Terence Creamer 11th February 2020 The opposition Democratic Alliance has written a letter to Trade and Industry Minister Ebrahim Patel calling on him to brief lawmakers about developments at steel group ArcelorMittal South Africa, which recently warned of additional job cuts at the company. AMSA confirmed on February 6 that,... →

AMSA says regulatory changes could open way for 100 MW Vanderbijl solar farm 
By: Terence Creamer 6th February 2020 Steel producer ArcelorMittal South Africa (AMSA) believes there is potential to develop a 75 MW to 100 MW solar photovoltaic (PV) power plant adjacent to its Vanderbijlpark mill, in Gauteng. The JSE-listed company is also convinced that such a project could proceed relatively quickly should South... →

AMSA CEO Kobus Verster
AMSA slumps to R3.3bn loss amid ‘exceptionally difficult’ conditions 
By: Terence Creamer 6th February 2020 Steel producer ArcelorMittal South Africa (AMSA) slumped to a R3.3-billion headline loss in 2019, which the JSE-listed group described as an exceptionally difficult one for the South African economy and also the most challenging for the world steel industry since the global financial crisis of... →

Coronavirus hurts base metals, iron-ore prices
By: Simone Liedtke 5th February 2020 The outbreak and contagion of a new strain of the coronavirus – which began in the Chinese city of Wuhan in December – has contributed to renewed concerns over economic growth prospects, particularly in China. China, which is a major supplier and consumer of base metals as well as a major... →
Hudaco performs well, despite economic downturn
By: Simone Liedtke 31st January 2020 Automotive, industrial and electrical consumable products supplier Hudaco managed to grow its headline earnings a share for the financial year ended November 30, 2019, by 5.1% year-on-year to R13.55. The company said this was “an achievement” given the tough business environment in South Africa,... →

Hudaco CEO Graham Dunford
Fallout from coronavirus expected to have a ripple effect on coal, iron-ore
By: Kim Cloete 31st January 2020 The fallout from the coronavirus in China is expected to have a ripple effect on many sectors in the Chinese economy, slow down its economic growth and impact on its coal industry and imports. Coal trader Noble Resources research head Rodrigo Echeverri says the impact had been severely... →

South Africa will caution Trump against ‘premature’ trade review
By: Bloomberg 29th January 2020 South Africa’s government will tell President Donald Trump’s administration that its review of a preferential trade agreement that could put as much as $2.4-billion in exports at risk is premature and potentially damaging for both economies. The US Trade Representative will start public hearings... →

Global crude steel output increased 3.4% in 2019
By: Schalk Burger 28th January 2020 Global crude steel production increased by 3.4% year-on-year to 1.87-billion tonnes in 2019, despite output having contracted in all regions, except Asia and the Middle East, industry association, the World Steel Association (worldsteel), reports. Asia produced 1.34-billion tonnes of crude steel... →
Averda secures three-year AMSA contract
By: Tasneem Bulbulia 27th January 2020 End-to-end waste management company Averda has been awarded a three-year contract by steel producer ArcelorMittal South Africa (AMSA) for the collection, transportation and disposal of several complex waste streams including sludge, coal tar, oil and grease, effluent, borax and phosphates,... →
Commission recommends tribunal approve Barnes Reinforcing buyout
By: Marleny Arnoldi 24th January 2020 The Competition Commission has recommended to the Competition Tribunal that it approve a proposed transaction whereby Barnes Group Holdings intends to acquire Barnes Reinforcing (BRI). Barnes Group manufactures steel tubes, pipes, black galvanised wire, and fencing posts and gates, as well as... →
Brother Group gets go ahead to buy Lanxess CISA, chrome tanning salts business
By: Marleny Arnoldi 24th January 2020 The Competition Commission has approved the proposed merger whereby Brother Industrial South Africa (Brothers SA) wants to acquire Lanxess CISA and the chrome chemicals business of Lanxess SA. Brothers SA was established by the Brother Group to effect the transaction. The group is involved in... →
Component manufacturer ‘gears up’ for new automotive business
24th January 2020 Local chassis manufacturer KLT Automotive and Tubular Products South Africa is the only independent chassis manufacturer in Africa, supplying chassis frames and other high-tech components to motor vehicle manufacturers. It is also one of eight automotive component manufacturers which, according... →

Local supplier grows through development programme
By: Cameron Mackay 24th January 2020 Local automotive tool manufacturer and supplier Naicker Toolmakers has benefited from completing nonprofit organisation Automotive Supply Chain Competitiveness Initiative’s (ASCCI’s) Black Supplier Development Programme (BSDP). Naicker Toolmakers began its involvement in the programme in May... →

Global sights set for export association
By: Mamaili Mamaila 24th January 2020 Steel industry association the Steel Tube Export Association of South Africa (Steasa) and some of its members will participate at the national pavilion at the International Wire and Tube Trade Fair 2020. →

Ramaphosa presents sustainability award to casting producer
24th January 2020 President Cyril Ramaphosa presented local automotive casting producer Atlantis Foundries with the prestigious Best Brownfield / Expansion Project award at the 2019 Investment Conference in Sandton held in November. The award is in recognition of the company’s efforts towards its continued... →

AMSA warns of big 2019 loss, as it sheds more than 1 000 jobs
By: Terence Creamer 23rd January 2020 JSE-listed steel producer ArcelorMittal South Africa (AMSA) warned on Thursday that it would swing back into a large lossmaking position following an “exceptionally difficult” 2019 financial year, which the company described as the most challenging for the steel industry since the Global... →

Wind-down of Saldanha Works (pictured) anticipated to be largely completed by the end of the first quarter
First group of MSI welder trainees graduate
By: Yvonne Silaule 22nd January 2020 More than 20 aspiring welding entrepreneurs have graduated after completing a training course under the Mpumalanga Informal Welders Recruitment Programme, which was organised by the Mpumalanga Stainless Initiative (MSI), the Small Enterprise Development Agency and the Manufacturing, Engineering... →
Iron-ore demand to slow, while seaborne supply rises 
By: Simone Liedtke 21st January 2020 Slower demand growth, especially in China, and a decent recovery in seaborne supply is expected to continue to feature prominently in the iron-ore industry this year, says global energy, chemicals, renewables, metals and mining research and consultancy group Wood Mackenzie (WoodMac). Prices are... →
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