Modern Mining July 2022

ZINC

Vedanta’s heavy investment to increase production Underpinning Vedanta Zinc International’s significant investment in its South African and Namibian businesses, is a vision to create an integrated regional zinc complex comprising Black Mountain Mining (including Gamsberg) and the Skorpion Zinc mining and refining operations, Pushpender Singla, Vedanta Resources CFO and executive director tells Modern Mining . By Nelendhre Moodley .

Pushpender Singla, Vedanta Resources CFO.

V edanta is a diversified mining company and a major producer of zinc, aluminium, iron ore, sil ver and copper. “As the world moves towards carbon neutrality and transitions to clean energy sources such as renewables, the demand for green metals continues to soar. Over the past two years demand for zinc has been surging at twice that of supply. Zinc demand currently stands at 2 – 2,5 times more than supply, which sits between 1% and 1,5% per annum,” explains Singla. To date, Vedanta has invested more than R21‑billion in developing the Black Mountain Mining complex, with its most recent injection of R6-billion aimed at unlocking value from waste which will see the miner extract magnetite iron ore by processing Black Mountain’s zinc plant tailings stream. Black Mountain Mining (BMM) comprises the Deeps and Swartberg Shafts and the Gamsberg zinc mine and plant. The Deeps shaft produces cop per, lead and zinc, with silver as a by-product and an annual production in the order of 102 000 tpa of zinc-equivalent metal-in-concentrate. The Swartberg shaft primarily produces copper and lead, with silver as a by-product and annual production of 13 500 tpa of metal-in-concentrate. Plans are well advanced to deepen Swartberg, which will increase production to 1,6 mtpa of copper

and lead ore and 60 000 tpa – 70 000 tpa of metal in-concentrate. Further ramp-up is planned in the near future, which will take copper and lead ore pro duction past the 2 mtpa mark. Coupled with plans to increase production from its existing operations, the company has initiated processing of BMM tailings to extract magnetite iron ore. The miner recently awarded contracts to the value of R620-million to a South African company to progress development of the magnetite project, which is scheduled to produce 1mtpa of magnetite iron ore in six months’ time. A pilot plant is operational and has already deliv ered two shipments of high-quality magnetite to China. “With BMM producing tailings containing 47% of magnetite iron ore, the new plant will increase the content beyond the standard 65% to 67% magnetite iron ore thereby delivering a higher-quality product to the export market,” explains Singla. From its planned production of 1 mtpa of magne tite iron ore, Vedanta expects to realise in excess of R1-billion per annum in revenue. A further benefit of the magnetite project is that it will reduce the environmental liability associated with the waste product, and create an additional 250 jobs. As the miner paves its path towards being an ESG leader, moves are afoot to steer away from thermal energy and establish wind and solar power plants to power its operations in the Northern Cape. Gamsberg project Since acquiring the Gamsberg zinc project – located about 30 km from BMM in the Northern Cape – from Anglo American in 2011, Vedanta has injected around R6-billion in the development of Phase 1 of the project and recently invested a further R7-billion which will almost double the current production. Vedanta began developing Gamsberg in 2014 with first blast initiated in mid-2015 and inaugura tion in February 2019. Gamsberg, which comprises an open-pit mine and a dedicated processing plant, has an estimated life of mine of 50+ years.

Northern Cape Premier Zamani Saul with Pieter van Greunen chief operations officer at Vedanta’s Black Mountain Complex.

18  MODERN MINING  July 2022