Speaking at the 13th annual Joburg Indaba conference in Sandton, Menar’s Chief Commercial Officer, Ruan Nothnagel, said the company could potentially supply a third of the world’s ferromanganese through its recently acquired smelter complex. However, Nothnagel emphasised that this was largely dependent on securing affordable electricity.
Menar and Ntiso Holdings jointly acquired the Meyerton-based Khwelamet (formerly Metalloys) complex from Samancor Manganese earlier this year, with plans to revive its operations. Nothnagel, who spoke on the role of coal in a sustainable and just energy transition, noted that GDP growth is closely linked with the ability to produce cheap baseload power. “We want to be at the forefront of reindustrialising South Africa, but we need affordable power,” he said.
Nothangel said the destruction of jobs and livelihoods in the country’s smelter industry will only cease if the electricity issue is resolved, adding that coal is a critical part of the solution. He said the impact of smelter closures across the country was also felt by anthracite miners, especially in KwaZulu Natal.
The company’s Managing Director, Vuslat Bayoglu, participated in a panel discussion on the first day of the conference, focusing on how geopolitical shifts impact South Africa and its mining industry. Bayoglu noted that SA should not lose sight of its true worth within global value chains, saying China, the US and Europe benefit immensely from the country’s mineral supplies. He said the key to these discussions was reclaiming SA’s ferrochrome and ferromanganese sectors, which have declined.
Bayoglu said the previous Eskom management thought the problem could be solved with more solar and wind, and they were mistaken. “The current administration, by contrast, has solved the loadshedding problem by burning coal, but the question is what is the plan when ageing coal-fired power stations like Hendrina and Camden close?” he remarked.
Citing energy challenges in countries that have decided to phase out coal, like the UK and Germany, Bayoglu urged SA to avoid similar pitfalls. “The country must be very realistic and consider investing in new coal or nuclear capacity. If Eskom’s balance sheet cannot support such investments, it should allow a partnership with the private sector, like Transnet has done,” he remarked.
