Transportation entity Transnet and Tshipi é Ntle Manganese Mining seal a 10-year deal to guarantee steady export capacity
In a significant move for the South African mining industry, Tshipi é Ntle Manganese Mining and Transnet SOC Ltd have concluded a 10-year Manganese Export Capacity Allocation Agreement. This agreement will enable Tshipi to continue meeting the rising global demand for manganese, a key ingredient in steel production.
The partnership between the two entities reflects a shared vision to secure South Africa's long-term position in the manganese supply chain. Tshipi, one of the largest manganese exporters from South Africa since the start of commercial production in 2012, operates the Tshipi Borwa Mine, an open-pit manganese mine located in the Northern Cape.
Through this agreement, Transnet provides Tshipi with long-term certainty on rail and port allocation. This certainty is crucial for Tshipi's growth ambitions and its reputation for efficient, low-cost production. The agreement also aims to facilitate consistent delivery to international customers, including the new one to be supplied by Tshipi é Ntle Manganese Mining over the next ten years - Swiss-based ferroalloy company Ferroglobe.
Mr Ezekiel Lotlhare, Chief Executive of Tshipi é Ntle Manganese Mining, highlights the role of strong partnerships in Tshipi's growth into a leading manganese exporter. He emphasizes that this agreement strengthens confidence in South Africa's ability to serve global markets.
The agreement continues to create value for Tshipi's employees, shareholders, and host communities. The Tshipi Borwa Mine consistently contributes to export earnings, employment opportunities, and socio-economic development in surrounding communities.
Ms Michelle Phillips, Transnet Group Chief Executive, emphasizes the value of the partnership between Transnet and Tshipi in securing sustainable export flows. She states that the partnership also aims to unlock opportunities for economic development and industrial growth for South Africa.
The 10-year agreement ensures Tshipi remains on a stable logistics platform, supporting its growth ambitions. It also reflects both parties' commitment to supporting South Africa's competitiveness in international markets. This agreement is a testament to the potential for strong partnerships in driving the growth and success of South African industries.
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