Modern Mining January 2022

MINING News

Kumba Iron Ore concludes R1,6-billion community mining contract

“This is a major step in showing how South Africa can unlock its growth poten- tial through mining. We have always seen mining as a catalyst for broad-based devel- opment. This contract goes far beyond philanthropy or corporate social responsi- bility. This is the business of mining, and it will help ensure host communities become direct participants in, and beneficiaries of, the mining operations that take place in their own back yards,” says Mkhwanazi. The joint venture will start mining opera- tions at Kolomela’s Kapstevel South project in Q1 2022, with an initial target of produc- ing between 5 – 10-million tonnes of ore in the first year. As part of the contract, Kumba will provide ongoing upskilling and support to the joint venture to ensure quality and safety standards are met. The contract marks the first in the indus- try where local community suppliers will be used to run mining operations of this scale and magnitude. The joint venture comprises four 100% black community-owned companies:  AND310 Mining Services is the majority shareholder at 60% and is 51% black female-owned based in Mothibistad. Its MD Kabelo Burks Andreas has extensive mining experience with De Beers and BHP Billiton.

 Postmasburg-based Andisa Holdings holds 15% shareholding and has been supplying loading and hauling services to the mining industry for more than 10 years. Its MD is Wayne Witbooi.  Matshla (Pty) Ltd, which services the min- ing and agriculture industries, holds 10% shareholding. It is headed by Kennedy Botsheleng, who has nearly two decades of experience in the mining industry, in both underground and opencast mines.  Peontle Investment (Pty) Ltd holds 15% shareholding and is based in Boichoko, Postmasburg, and is headed by Mangaliso Kies. Joint venture spokesperson Kabelo Andreas says the contract is a “massive step for transformation” in the local mining industry, as the communities would for the first time operate and benefit directly from their local mining operations. “This is very exciting and big step up for us. We may be small businesses, but we are all steeped in mining and in our communities. Now we will have iron ore under our fingernails and on our balance sheets. We want to be the proof that min- ing, through local models like this one, can deliver real value that can be shared by all stakeholders – from local businesses and our community,” says Andreas. 

Kumba Iron Ore CEO Themba Mkhwanazi.

Kumba Iron Ore has announced the award of an industry first R1,6-billion mining contract to a new black-owned and com- munity-based joint venture to mine iron ore at its Kolomela Mine in the Northern Cape. The joint venture represents another major advance towards Kumba’s goal of developing sustainable communities and businesses that help transform the South African mining industry. Kumba Iron Ore CEO Themba Mkhwa­ nazi says, “Awarding a R1 ,6-bi l l ion contract to community-based miners is truly groundbreaking. It is the most tangible demonstration yet of Kumba’s commitment to the economic inclusion of local suppliers from our community.

Akobo Minerals intersects visible gold at 205 m depth Akobo Minerals has intersected visible gold at 205 m hole depth as part of its extension drilling programme at its Segele project in Ethiopia In addition to the visible gold previously reported, the latest

result indicates that the high-grade mineralisation continues 50 m further down dip than reported on November 4, 2021. The discovery underpins the company’s belief that the Segele project can sustain a significantly longer mine-life than envisaged in the scoping study. In addition to the visible gold observations, since the release of the scoping study, the company has encountered several intersec- tions of potential host rocks which are demonstrably down-dip from the resource estimate. The combination of the host rocks and visible gold is in line with the general plunge of the mineralisation as seen in the resource model. The visible gold now seen in hole SEDD87 along with the previ- ously reported intersections with visible gold in SEDD53 and SEDD55 (extend the known gold mineralisation over 100 m to the Northwards down-dip of the mineral resource estimate. The company has further holes planned in the northern extension as it continues to test the down-plunge extensions. Jørgen Evjen, CEO Akobo Minerals, states: “The latest inter- sections are very exciting and confirm that the mineralised zone continues to expand and will have a significant impact on our resource estimate and mine-life in the future. With the latest visible gold we are quite certain the zone is still open at depth. The miner- alised zone also displays a pinch and swell pattern at deeper levels which is an encouraging sign, even though we have to wait for the assay results to confirm the potential gold content.” 

The discovery underpins the company’s belief that the Segele project can sustain a significantly longer mine-life than envisaged in the Scoping Study

6  MODERN MINING  January 2022