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Four global metals and minerals mining organisations on Wednesday published a draft consolidated standard that covers a wide range of topics related to responsible mining practices.

The Copper Mark, Mining Association of Canada, ICMM and the World Gold Council are encouraging stakeholders to provide their views during a 60-day public consultation period that closes on December 16.

The initiative embraces a governance model, assurance process and related reporting and claims policy.

A sustainable society, enabled by the responsible production, sourcing and recycling of metals and minerals, is the initiative's vision and its goal is to simplify the current mining standards landscape and promote continual improvement of environmental, social and governance practices across metal and mineral value chains - from mining to smelting, refining and beyond.

The aim is for this standard to be adopted by a wide range of mining companies - large and small, across all commodities and locations - to drive performance improvement at scale.

The standard's important feature is that it is applicable to any facility, anywhere in the world that is committed to responsible practices.

Once finalised, the standard is expected to be used by existing members of ICMM, World Gold Council and Mining Association of Canada, and participants of The Copper Mark.

This broad adoption would give the standard the widest coverage of any voluntary mining standard to date with implementation anticipated to include almost 100 mining companies across 600 operations in 60 countries, it was stated in a release to Mining Weekly.

The draft standard includes implementation of a grievance mechanism and each of its 24 performance areas has foundational, good and leading practice levels.

The process includes an advisory group made up of a diverse range of indigenous groups, downstream customers and multilateral organisations,with development of the standard involving a transparent process of two-round public consultation, the first round running online for two months and a shorter second round expected next year.

Consultation documents are available in Arabic, English, French, Japanese, Portuguese, Russian, Simplified Chinese, and Spanish.

Interestingly, the Mining Association of Canada brings with it metallurgical coal and mined oil sands members, The Copper Mark includes molybdenum, nickel and zinc industries, ICMM reflects a third of the global metals and mining industry, and the World Gold Council is "shaping the future of a responsible and accessible gold supply chain".

The report on Monday by Johannesburg Stock Exchange- and A2X-listed Merafe Resources shows ferrochrome production to be edging back up maginally.

Ferrochrome is a key ingredient of stainless steel and China, which has been introducing new cost-efficient capacity, continues to dominate global stainless-steel production, accounting for more than 63%.

Merafe's attributable ferrochrome from the Glencore Merafe Chrome Venture in the third quarter ended September 30 was 76 000 t, resulting in an increase of 2% in production for the nine months, compared with the prior comparative period to the end of September last year.

This production increase is primarily attributed to all operating smelters being in production throughout the winter months.

In the nine months to September 30, Merafe's attributable ferrochrome production has totalled 230 000 t, compared with 225 000 t for the same period in 2023.

Mainly on higher realised chrome ore prices and a weaker rand:dollar exchange rate, Merafe on August 12 reported a profit of R720-million for the six months to June 30, but also that ferrochrome prices remained strained and cost increases were continuing to put pressure on margins.

Merafe's revenue and operating income are primarily generated from the Glencore Merafe Chrome Venture, which has a total installed capacity of 2.3-million tonnes of ferrochrome a year.

Headed by CEO Zanele Matlala, Merafe shares 20.5% of the Glencore Merafe Chrome Venture's earnings before interest, taxation, depreciation and amortisation from the venture, its reportable segment being the mining and beneficiation of chrome ore into ferrochrome and the extraction of associated minerals.

South Africa, once the mainstay of global ferrochrome production, today supplies most of the chrome for its stainless steel production, which represents a beneficiation reversal caused mainly by the high electricity prices charged by Eskom, an enterprise owned by a State which preaches beneficiation but does not practice it.

This is reflected once more by the Glencore Merafe Chrome Venture having to commence a Section 189 consultation process at Rustenburg smelter, which was idled from September 2023 in response to deteriorating market conditions. During this period, various options were evaluated, however, none could be implemented without eroding value.

With Lydenburg smelter still on care and maintenance, and Rustenburg, which has been idled, the Glencore Merafe Chrome Venture plans on producing ferrochrome at all its remaining smelters, given the conclusion of the negotiated pricing agreement with Eskom,

South Africa's chrome value chain once provided more than 200 000 jobs. However, jobs have been progressively shed as South Africa's ferrochrome industry, the beneficiation baseline of the chrome value chain, went into deteriorating decline.

South Africa has a lion's share of global chrome ore reserves and was once not only the number one chrome ore producing country but also the world's biggest ferrochrome producer.

In the past, 100% of metallurgical grade chrome ore was beneficiated locally.

At one stage, 20% of mining-related foreign exchange was earned from ferrochrome sales.

If the world did not have ferrochrome and was not producing stainless steel, the replacement cycle of everything that is stainless would be so much quicker, which means that far more use would be made of steelmaking coals, along with far more use of carbon-based reductants in producing pig iron and carbon steel, rendering the additional carbon added to the atmosphere being significant.

It that way, ferrochrome is key in helping the world to decarbonise, with South African ferrochrome helping to enable a considerably slower replacement cycle.

The construction of a chrome recovery plant at Bokoni Platinum Mine has been approved by the board of African Rainbow Minerals (ARM).

ARM acquired Bokoni from Anglo American Platinum and Atlatsa Resources in September 2022.

Located on 15 000 ha of the eastern limb of the Bushveld Complex, Bokoni has chrome-rich upper group two (UG2) mineralisation.

Recommissioning and refurbishing the 60 000 t a month UG2 plant has taken place.

"We are currently doing the detailed design and at the beginning of next year, we'll be starting with the construction the chrome recovery plant," ARM CEO Phillip Tobias reported during the Johannesburg Stock Exchange-listed diversified mining company's presentation of results for the 2024 year ended June 30.

"Taking advantage of where the chrome prices are, we do believe that it will enhance our basket by at least 10% into the future," Tobias outlined.

In response to Mining Weekly's request for more insight into the chrome recovery plant and the volume of chrome that is expected to be recovered, Tobias said the rationale behind the decision is that chrome is coming in at a cost of R670/t with the selling price at around R3 600/t, thus giving a healthy margin.

"So, highly profitable, high demand, high margin," was Tobias' response during question time. Currently, China is a significant buyer of chrome ore.

On the back of that, ARM is intent on aligning Bokoni to what the company has done at the Modikwa and Two Rivers platinum group metals operations.

"That is additional revenue that comes on top of what we already have in terms of the fixed costs, therefore being able to dilute the overall operating cost," Tobias explained..

The current 60 000 t a month production level of Bokoni is described as unsustainable.

"We know that is below par," said Tobias, with a 240 000 t a month capacity seen as being ideal.

"So, we currently busy with the studies, looking at analysis to say, how do we really improve the situation, because at 60 000 t a month it's costly," added Tobias, who will share the outcome of the studies going forward.

In addition to platinum group metals, ARM, headed by executive chairperson Dr Patrice Motsepe, mines and beneficiates iron-ore, manganese ore, chrome ore, nickel and coal and also has a strategic investment in gold through Harmony Gold Mining Company.

Mining Weekly Editor Martin Creamer unpacks the13th Oppenheimer Research Conference, which had a message for attendees: recycle like there’s no tomorrow; developments in the Nyanza Light Metals plant at the Richards Bay Industrial Development Zone; and the cost savings associated with the Mogale City project in the West Rand that aims to recover gold from mine dumps.

A Johannesburg Stock Exchange Alternate Market AltX-listed company has been provided with a platinum group metals (PGMs) and chrome mining industry by PGMs major Sibanye-Stillwater, the State-owned Industrial Development Corporation (IDC) and the Development Bank of Southern Africa (DBSA), which have opened the way for the dormant Blue Ridge Platinum Mine to be acquired by Mantengu Mining.

"Without the support of Sibanye-Stillwater, the IDC and DBSA, this would not have been possible," Mantengu CEO Michael Miller stated in a release to Mining Weekly, which coincided with a Stock Exchange News Service announcement on Thursday, October 10.

Mantengu , which describes itself as a resource company focused on investments in the mining, mining services and energy sectors, has acquired the loans owing by Blue Ridge for what is described as a nominal amount,

Currently, Blue Ridge owes more than R1.1-billion to creditors including Sibanye-Stillwater, IDC, and DBSA, which follows Sibanye-Stillwater in 2016 gaining 50% of Blue Ridge through the acquisition of Aquarius Platinum, with the remaining 50% held by empowered group Imbani Platinum SPV.

Located in South Africa's Limpopo province, Blue Ridge is an upper group two (UG2) PGM mine with an integrated ore processing plant that was placed on care and maintenance in 2011 by Aquarius.

The operation is now scheduled to resume operations under Mantengu's management once all conditions are approved.

"Core to our investment decision was Mantengu's desire to create jobs and strengthen local empowerment," Miller added.

"We endorse the transaction structure that ensures direct equity participation for communities and employees in Blue Ridge," Sibanye-Stillwater CEO Neal Froneman commented.

Mantengu chairperson Jonas Tshikundamalema spoke of the mine being poised to become a sustainable and profitable asset that supports the local economy.

Following the acquisition, Mantengu will initially take ownership of 100% of the ordinary shares and debt claims of Blue Ridge. Subsequently, 30% of the ordinary shares will be distributed to strategic empowerment partners, including 5% allocated to newly formed employee and community trusts to ensure that the mine's employees and local communities share in its success.

Mantengu plans to implement a phased investment strategy for Blue Ridge, which comes with a one-million-tonne chrome-and-PGMs tailings.

Initial investment will be in plant and equipment to process the tailings into up to 375 000 t of chrome concentrate and 35 000 oz of PGMs at expected low cost.

In addition, Mantengu will invest in an expected 18-month bankable feasibility study into the underground UG2 mining operations.

If the study confirms economic viability, Mantengu would look to pursue underground mining at the shallow Blue Ridge, which enables mechanised mining.

Tshikundamalema added: "This isn't just a mine acquisition; it's an investment in the future of our communities and the prosperity of our nation. We believe in South Africa's resource potential and in the power of innovative, sustainable business practices to unlock it."

Recycle like there's no tomorrow were the urging words flashed across the large screen at the thirteenth Oppenheimer Research Conference, where long-time former diamond and gold mining luminary Nicky Oppenheimer declared that it is nature that is calling the shots when it comes to climate change mitigation prospects.

Oppenheimer was followed by keynote speaker, Hailemariam Desalegn, the former Prime Minister of Ethiopia, who told the 450 scientists present: "The clock is ticking. To confront this crisis, we must embrace radical collaboration and science without boundaries." (Also watch attached Creamer Media video.)

Regarding this Namibian PhD student's question: "What is more important. That we, as Homo sapiens, resolve climate change, or that we resolve the relationship between man and nature", Oppenheimer said: "It's more important that we resolve the relationship between man and nature, because if we can do that, climate change will not exist."

"On the other hand, you can see a situation where scientists could resolve climate change, but by destroying nature. In resolving that issue between man and nature, we have to find a way to cohabit, to work together," Oppenheimer urged at the event covered by Engineering News & Mining Weekly.

Meanwhile, former water and environmental engineer Desalegn declared climate change and nature loss "the greatest existential threat we'll collectively face".

Already, in Africa alone, 6 400 animal species and 3 100 plants are at risk of extinction, with vertebrates down 30% since 1970.

Soil erosion, salinisation, pollution and loss of vegetation have degraded a fifth of Africa's land surface and the Congo basin, one of the world's lungs, is losing up to 1.2-million hectares of tropical forest a year, resulting in a 30% decline in tree cover.

Meanwhile, the blue economy, once projected to grow to $405-billion by 2030, is now in a 30% contraction owing to mass coral bleaching by climate-influenced ocean acidification, plastics pollution and poleward marine life migration.

Climate change and the nature loss span countries and continents, "and therefore our solutions must transcend national interests and political divides", Desalegn pointed out.

"The future of our planet hinges on our ability to radically collaborate across borders, disciplines and sectors.

"The effects of climate change and nature loss know no borders. They are global phenomena, spanning countries and continents, and therefore our solutions must transcend national interests and political divides.

"The future of our planet hinges on our ability to collaborate radically across borders, disciplines and sectors," Desalegn highlighted.

Being encouraged is the seamless working together of scientists the world over, the empowering of citizens to take part in scientific enquiry and action and the removal of the barriers hindering the free flow of information and expertise.

Wanted is the amplification of the voices of Indigenous peoples and local communities whose relationship with nature provides valuable insight.

"International financing must be seen as an investment, not a cost, one that will create high economic returns and avoid massively accelerating future costs associated with the global existential threat of climate change and nature loss.

"Fundamentally, if we want to maintain a livable planet, urgent investment is needed now to conserve intact ecosystems, mainly in the developing world.

"For too long, the world stood by and did nothing, and we are now in the eleventh hour. Our planet's future depends on our willingness to work together, to transcend boundaries and to put our shared humanity first.

"Together, we can create a world where innovation flourishes, where knowledge flows freely, and where humanity learns to coexist with nature rather than exploit it.

"Together, we can avert further climate catastrophe, make peace with nature," Desalegn advocated.

The bulk earthworks phase of the Nyanza Light Metals plant to advance ilmenite up the value curve as titanium dioxide pigment (TiO2) has begun at the Richards Bay Industrial Development Zone (RBIDZ) in South Africa's KwaZulu-Natal province.

Nyanza will process ilmenite produced from the mining of heavy mineral sands, which are abundant in Africa, to produce the ten-times-higher-priced TiO2 pigment for industrial coatings, architectural paints, paper and plastics

Site clearing, levelling and geotechnical studies have begun and piling plus other bulk earthworks are expected to continue into 2025.

Plant erection is scheduled to commence later in 2025, with first production from 2027

"We had to do a mini equity close, where we had to find sources of funding to start with the bulk earthworks, primarily looking at site levelling, clearing, doing the detailed geotech work," Nyanza Light Metals CEO Donovan Chimhandamba told Engineering News & Mining Weekly on Tuesday at the company's offices in Sandton. (Also watch attached Creamer Media video.)

Interestingly, Nyanza has signed an engineering procurement construction (EPC) and operations management with East China Engineering Science and Technology Company (ECEC), a subsidiary of China National Chemical Engineering Group Company

"What we started in August should run until the second quarter of next year, when the site will be deemed ready the EPC contractor to build the plant," said Chimhandamba, who reports working well with the RBIDZ and the Department of Trade and Industry in developing the project, which will require capital expenditure (capex) of $550-million and peak funding of $860-million.

On the site area of 69 ha, 28 ha will be covered by the TiO2 plant and utilities, and another to be used up in time for lithium iron phosphate, zirconium oxychloride, fumed silica, iron sulphate and sulphuric acid.

Eighty-five per cent of the 80 000 t of TiO2 a year will be exported to Africa, Europe, North and South America.

Already built is a product testing and development centre that is providing samples for customer testing.

Three thousand jobs are expected to be created during construction and 850 permanent jobs during operation.

Engineering News & Mining Weekly: Let's talk about finance. How did you get the finance and is it going to be sufficient to take you through to the final product?

Chimhandamba: The nature of the project that we're building requires long-term financing. The bulk of our lending is from development finance institutions (DFIs), both locally and from the continent, and that gives us 12-year tenor. Because of the tenor, the financing costs become quite steep. The project capex alone is about $550-million but the construction period runs over 42 months, 36 months to mechanical completion, and another six months for commissioning and ramp-up mode. Private equity is not capable of taking on such long periods of no cash flows, the local commercial banks struggle beyond seven years tenor, so we had to do some fancy structuring to be able to bring in the multilaterals, and we've got some significant good players. Maybe now is not the appropriate time to mention them, but most people in the project are very well aware of all the DFIs. If you look at the peak funding with the financing costs, with working capital, it peaks it close to $900-million - $860-million to $900-million, which is quite a significant price tag. It is expensive for the capacity because of the additional large plants that we have had to build ourselves. If we were building this plant in the US, Europe or China, for example, their industrial development zones come fully equipped with the utilities and infrastructure. But in our case, we have to build a demineralisation plant because there's not enough portable water within Richards Bay. We have to bring in clarified water and then demineralise it. That's a huge plant in itself. We also have to build our own sulfuric acid plant, which is also a huge p...

The contract route chosen to recover gold from the mine dumps of the West Rand's Mogale City reduced the project by R300-million.

In addition, the technical prowess of a Krugersdorp fabrication and erection company down the road took the carbon-in-leach (CIL) gold processing tanks out of project's critical path, and power supply infrastructure was piggy-backed from another nearby metals company, which providing a valuable electricity offramp for the gold upramp.

A first for Pan African was to go on the engineering, procurement and construction management (EPCM) contracting structure for this project that which generate 50 000 oz for 20 years at an all-in sustaining cost of less than $1 000/oz.

"That has saved us about R300-million," Mogale Tailings Retreatment operations manager Oriel Shikwanbana. (Also watch attached Creamer Media video.)

The original budget figure was R2.8-billion and opting for EPCM reduced the project budget to R2.5-billion.

More than one and a half million person hours spent in construction on this site without a single lost-time injury (LTIs). "There were zero LTIs," SGS Bateman MD George Corlett said to the strongest applause of the day.

Contractually, SGS Bateman was to deliver the project to cold commissioning stage by the already tight October 17 timeline, but managed to do so on October 3, when the first gold was produced at the event covered by Mining Weekly.

"The long hours worked over the entire 22 months of the project show the dedication and commitment to meet the project goals," he said.

The project is said to have been elevated by a win-win, one-team, open-communication approach of Pan African project manager Brandon Russell, working closely with the SGS Bateman project team leader Charl Botha.

"This is a great opportunity for the area. I know that other companies have looked at retreating the dumps in the area and have passed the opportunity by, whereas Pan African have taken that handle and run with it. "The area needs the employment. The rehabilitation of the area will be great and it will be good for our country," Corlett outlined.

More than 1 600 employees are currently on site at the Mogale Tailings Retreatment (MTR) operation, which poured its first gold on October 3. This will include permanent staff as well and out of that number, 1 040 are from the local community.

Originally planned was the creation if 700 jobs and 500 from the local community.

Department of Mineral Resources and Energy representative George Siwele spoke of the value of the 20 years of employment that the project is bringing to the area and its removal of mine dumps some regard as being a nuisance.

Siwele highlighted that the DMRE contribution would be in the form of its mine, health and safety inspectorate support structure.

"We also have a mine equipment inspectorate, which is represented by myself, and we also have colleagues within our midst who deal with mining-related issues, along with an occupational hygiene inspector that is also part of that support system

"Then my other counterpart colleagues are from a section called mineral regulation dealing with environmental issues and social labour plans.

"We also support your growth in terms of the employees that will need to be trained and certificated in a number of qualifications, which works directly with our Mining Qualifications Authority.

"Social labour colleagues are best suited in terms of assisting to say that if you are going to be training or assisting upcoming employees in the area, how best to deal with that fund allowed going forward," added Siwele, who welcomed Pan African to the DMRE region, which is based in Braamfontein but with DMRE officials available on their cellphones, he pointed out.

Twenty per cent of all the gold ever mined in the world - close to 1.3-billion ounces of the precious metal - was mined on the Witwatersrand, of which Pan African's MTR operation forms part.

Johannesburg, one of the few cities in the world not situated alon...

When the Mining Weekly team of three arrived at the launch of Pan African Resources' gold-from-dumps project just over a year ago, the area west of Johannesburg looked a little wild.

Construction mafia inhibited entry to the site and Mining Weekly was directed to follow a vehicle that led several attendees along a non-disrupted route to the sod-turning site.

It was only after we had listened to all last year's turning-of-the-first-sod speeches and were about to leave that those wanting to disrupt the event reappeared.

Returning on Thursday, 3 October 2024, for the official commissioning of the Mogale Tailings Retreatment (MTR) operation was a real eye-opener.

On site were more than 1 600 employees, the bulk of them from the local community, whose members have helped to develop what is an example of environmental, social and governance (ESG) at work.

MTR has gone all-out to engage with the local community and the illegal mining activity that dogged the area during Mining Weekly's initial visit is now a pale shadow of its former self.

"This project isn't merely about reclaiming precious metals," Pan African group ESG manager Barry Naicker highlighted in his address.

Underway is environmental rehabilitation on a far-reaching scale with land on the way to being set free again and water quality being uplifted.

MTR has positively impacted the lives of the West Rand community, creating general, semi-skilled, and skilled occupations, with 748 employed from Mogale, while the community stands to benefit from the emergence of healthier ecosystems.

Earthworks, civil construction services, land rehabilitation, overland piping, carbon-in-leach tank building, plant hire, and transportation have been provided by 44 contractors, many of them local.

Enabling a safe, peaceful and stable environment for all stakeholders to prosper has informed MTR's initiatives in combating illegal mining activities and organised crime that have plagued the West Rand.

"The MTR project allowed Pan African to implement an integrated and multi-faceted security model in an area known to be a hotspot for lawlessness and high levels of serious crime," was Naicker's assessment.

With the assistance of the company's specialised third-party security service providers and support from local, provincial and national policing structures, MTR has improved the safety and security of the new mining footprint.

"We take extreme pride in delivery and getting things right," said Pan African CEO Cobus Loots.

"We look forward to remining for the benefit of all of our stakeholders for many decades at MTR."

The R2.5-billion MTR has come in below budget in 14 months. Payback of the initial investment is expected in two to three years with estimated all-in sustainable cost below $1 000/oz, at a time when the gold price is $2 500/oz.

Interestingly, the London- and Johannesburg-listed company has advanced significantly in gold recovery from surface dumps at Elikhulu, BTRP in Barberton, which is where it all started on surface for the company, and now MTR, which will be producing 50 000 oz to 60 000 oz a year for 20 years or more with the potential of the Soweto Cluster being next.

REGIONAL HISTORY

As outlined by Naicker, Mogale wa Mogale (c. 1810 - c. 1869) - from whence Mogale City gets its name - was the area's Sotho-Tswana leader, whose legacy is honoured by the Mogale City local municipality in the West Rand District of Gauteng, as well as the Magaliesberg Mountains, the town of Magaliesburg, and the Magalies river, all bearing his name Magalie, a Mogale variation.

Mining Weekly Editor Martin Creamer discusses Manganese Metal Company’s R150-million self-funded plant 1 project, in Mpumalanga; the new gold recovery operation, in the west of Johannesburg; and the downstream benefits from the relationship between Vanadium Resources and China Energy International Group.