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City of uMhlathuze grants RBM servitude rights to expand operations

Construction on the 20km stretch south of Richards Bay expected to start in 2020

SIX years in the making, Richards Bay Minerals (RBM) is finally getting the last nods of approval required to develop its Zulti South minerals sands mine along the coast between Richards Bay and Port Durnford.

The City of uMhlathuze Municipality last week confirmed it has granted RBM servitude rights over properties stretching 20kms to extend its mining life in the region to 2037.

On an agenda item at an executive committee meeting held at the municipality last week, it was recommended that RBM pay an amount of R341 700 into the City Council’s trust account for the registration of the servitude prior to installation.

RBM in March informed the City an update on the schedule for the project should be completed this August, but construction on the plant is anticipated to commence in May 2020 to be commissioned two months later.

The ramp up to full scale mining can then be expected in October that same year.

RBM sand mining north of Richards Bay

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‘The plan as detailed above is the best estimate of what the project team has in view at this moment in time, but may be subject to change depending on influences outside the control of the team,’ said RBM Major Projects General Manager, DJ Erasmus in a brief status report.

RBM will install a system of ponds and floating dredges to mine and recover minerals, including ilmenite, zircon and rutile, from the sand in the allocated area.

Smelting, and slag and iron processing will continue to take place at RBM’s KwaMbonambi smelter.
RBM hopes the new mine would allow the company to maintain existing production levels as mineral reserves at the existing KwaMbonambi plant are quickly drying up after mining north of Richards Bay for more than 40 years.

The company employs 2 000 permanent and 2 000 contract employees, and Zulti South is expected to maintain these jobs and create new ones through the relocation.

It currently has the capacity to produce approximately two million tonnes of product annually, including 100 000 tonnes per year of rutile and 250 000 tonnes per year of zircon.

Of this 95% is exported, yielding a world market share of about 25% of titanium dioxide feedstock, used in foodstuff, pharmaceuticals and cosmetics; 33% of the world’s zircon output, used in ceramic tiles or refined into jewellery, television screens and computer monitors; and 25% of the world’s high purity pig iron, to produce iron castings for automotive parts such as brake calipers and steering knuckles.

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