Source: Government of South Africa
The Northern Cape’s Vedanta Zinc Mine has marked a major milestone — an investment that expected to sustain up to 1 000 jobs and strengthen South Africa’s position in the global zinc industry.
President Cyril Ramaphosa today officially inaugurated the Vedanta Gamsberg Phase II Concentrator Plant in the Northern Cape.
The expansion, inaugurated in Aggeneys on Friday, will double the mine’s annual ore capacity from approximately four million to eight million tonnes, while increasing its annual zinc-in-concentrate production capacity to approximately 500 000 tonnes.
Addressing the inauguration, themed “Partnerships for Progress”, President Ramaphosa said the project demonstrates the importance of translating investment commitments into productive economic activity.
“Today, we are witnessing the tangible results of that confidence. We are seeing what happens when investment commitments are translated into productive assets, employment opportunities and economic activity.”
The President said Vedanta Zinc International’s commitment of approximately R21 billion at the first South Africa Investment Conference in 2018 had demonstrated confidence in the country’s economic potential.
He said the investment drive was launched during a difficult period, characterised by weak economic growth, subdued investment, high unemployment and challenges in the electricity and logistics sectors.
Government has since undertaken economic reforms to improve electricity supply, strengthen rail and port operations, stabilise public finances and rebuild confidence in the economy.
“We understood then that South Africa could not achieve the growth and employment our people needed without rebuilding confidence, restoring the capability of the State and undertaking fundamental economic reforms,” he said.
President Ramaphosa said government had also committed approximately R1 trillion to infrastructure development over the medium term, including investment in electricity transmission, railways, ports, water systems and roads.
He acknowledged that more work remains to ensure that electricity is affordable, freight logistics are efficient and investors could obtain the necessary approvals without unnecessary delays.
The President said the country’s investment drive was aimed at creating productive capacity, expanding businesses and generating employment rather than merely announcing large commitments.
At the South Africa Investment Conference earlier this year, government secured commitments amounting to approximately R890 billion, including development finance commitments.
Building on this, the country had set itself a target of mobilising R3 trillion in investment over five years.
“But the true measure of success will not be the value of the commitments we announce.
“It will be the investments that materialise, the businesses that grow and the opportunities that are created for our people,” he said.
Creating opportunities for local communities
The Gamsberg Phase II expansion employed more than 1 500 people during construction and is expected to sustain between 800 and 1 000 jobs during operations.
President Ramaphosa said these employment opportunities were particularly important in the Northern Cape, where economic opportunities for young people remained limited.
He called for mining investments to support skills development, local enterprise growth and broader economic participation.
“The people of Namakwa must not be confined to the lowest-skilled jobs in the mining industry,” he said.
The President said more young people from the region should have opportunities to become engineers, geologists, metallurgists, electricians, technicians, managers and entrepreneurs.
He also called for greater participation by young women in industries from which they had historically been excluded, alongside investment in apprenticeships, bursaries, training institutions and workplace learning.
“The greatest legacy of a mining investment is not only what it produces during the life of the mine.
“It is also the productive capacity, the skills and the economic opportunities that remain long after the mineral resources have been exhausted,” the President said.
He welcomed Vedanta’s social investment initiatives, including support for early childhood development, education, skills training and water security.
The President also highlighted the establishment of the JF Boeboe Van Wyk Oncology Centre in Springbok, saying access to specialised cancer care closer to home could reduce the burden on patients and their families.
He further commended the company’s biodiversity conservation initiatives and the reported completion of the Phase II construction project without a fatality.
“No tonne of ore, no production target and no financial return can ever be worth the life of a worker,” he said.
Strengthening investor confidence
President Ramaphosa said the investment also reflected the enduring relationship between South Africa and India, whose cooperation spans trade, investment, technology, education and international relations.
He noted that more than 150 Indian companies had established a presence in South Africa, contributing investment, employment and industrial expertise.
The President called on other Indian and international investors to recognise the opportunities available in the country.
“Our message to investors is clear. South Africa is open for investment,” he ephasised.
He said government remained committed to creating a competitive and predictable environment for productive enterprise, while expecting investors to support decent employment, skills transfer, local industries and community development.
President Ramaphosa said the Gamsberg expansion demonstrated what could be achieved through cooperation between government, business, workers and communities. – SAnews.gov.za