Posted: August 25, 2023
Coega Steels, a producer of the highest quality steel products, is set to revolutionise the Eastern Cape’s economic landscape through its R160 million groundbreaking Rolling Mill facility project. This initiative, which was publicly announced during the South African Investment Conference earlier this year, aims to fortify the region’s industrial capabilities and stimulate economic growth.
The cornerstone of Coega Steels commitment is the establishment of a state-of-the-art Rolling Mill facility, meticulously designed to enhance the production of various types of high-quality rolled metal products. This project is driven by the pressing demand for top-grade rolled metal products not only within the Eastern Cape but also across broader markets.
According to the Chief Executive Officer of Coega Steels, Mr Hassan Khan, the facility’s modern machinery and cutting-edge technology will serve as a catalyst for the local manufacturing sector, supplying reliable and efficient sources of steel and finished products to vital industries such as construction, automotive, and infrastructure development.
The project’s timeline is set for nine months, with civil construction of the Rolling Mill scheduled to commence in late September 2023, and the targeted completion date set for May 2024. The Eastern Cape Department of Economic Development, Environmental Affairs, and Tourism (DEDEAT), along with the Coega Development Corporation, play pivotal roles as key stakeholders, collaborating to ensure the project’s successful realisation.
Khan says that beyond its impressive industrial goals, the Rolling Mill project has a broader vision of fostering skills development and technology transfer.
“Coega Steels is committed to empowering the local workforce by implementing comprehensive training programmes, aligning with the company’s dedication to both regional employability enhancement and the overall advancement of the manufacturing sector. This project symbolises a pivotal turning point for both the Eastern Cape’s industrial ecosystem and the broader South African economy. With our concerted efforts, this initiative not only ensures a steady supply of high-quality rolled metal products but also brings forth job opportunities and much-needed economic development for the region,” he states.
Khan adds that the project, coupled with its potential to bolster local economies, has been met with enthusiasm and anticipation from nearby communities.
“The Rolling Mill facility is poised to generate employment opportunities and act as a beacon of progress for the surrounding area. The company’s vision aligns seamlessly with the South African government’s Steel Masterplan, emphasising value addition and beneficiation,” says Khan.
He adds that the Coega Rolling Mill project is set to make history as the first Rolling Mill in the Eastern Cape, elevating the region’s access to rolled metal products for downstream manufacturing.
“This localised supply chain will significantly reduce the dependence on Gauteng-based manufacturers and their associated transport costs, thus positioning Coega Steels as a competitive player in the downstream industry,” stresses Khan.
Bongani Lukhele – Director: Media Relations
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Issued by: The Department of Trade, Industry and Competition (the dtic)
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