The Department of Trade, Industry and Competition (the dtic) welcomes the commencement of heavy construction at the Nyanza Light Metals complex within the Richards Bay Industrial Development Zone (RBIDZ). This milestone marks an advancement in South Africa’s national strategy to accelerate local mineral beneficiation, reduce import reliance, and build advanced manufacturing capacity via the Special Economic Zone (SEZ) framework.
Following fifteen years of planning, the project has transitioned from blueprint to active execution. Over the next 12 months, contractors will install more than 6,000 deep-foundation concrete piles across the 70-hectare site, driving up to 45 meters deep to anchor the infrastructure ahead of final commissioning by the end of 2029.
The Minister of Trade, Industry and Competition, Mr Parks Tau says the realisation of this strategic development serves as a model for South Africa’s capability to attract high-value Foreign Direct Investment (FDI) into mega-industrial development projects.
“By leveraging the institutional credibility of the Industrial Development Corporation (IDC) as a foundational co-developer alongside the regulatory ecosystem of the RBIDZ, the project is mobilising a syndicate of premier pan-African development finance institutions (DFIs). This coalition – including the African Development Bank (AfDB), and co-led by Afreximbank and the Africa Finance Corporation (AFC) acting as Co-Mandated Lead Arrangers and project developers, demonstrates international investor confidence in South Africa’s industrial viability and regulatory stability,” says Tau.
He adds that the project directly aligns with government’s economic objectives by introducing measurable economic activity into the local economy. At its peak, this intensive construction phase will create over 3,000 jobs, providing industrial employment and specialised civil engineering skills in the region. Furthermore, in line with national localisation targets, the project is onboarding a network of local small and medium enterprises (SMEs) to service its operational, civil, and logistical needs, supporting community-level economic growth.
“Crucially, the complex targets long-term industrial self-reliance through advanced manufacturing and complete import substitution. Instead of exporting raw minerals, this facility will process local resources into high-value titanium dioxide (TiO₂) pigment, reversing South Africa’s current 100% reliance on importing this essential chemical commodity and offsetting the national trade deficit,” notes Tau.
The plant will also utilise process by-products to manufacture critical energy transition and technology materials, including Lithium Iron Phosphate (LFP) and fumed silica (SiO₂).
“By shifting up the value chain to advanced chemical manufacturing, this project anchors South Africa’s manufacturing self-reliance and secures our position in global green energy, electric vehicle, and Artificial Intelligence (AI) compute infrastructure supply chains,” concludes Tau.
Media Enquiries:
Kaamil Alli – Ministerial Spokesperson
Mobile: +27 82 520 6813
WhatsApp: +27 82 520 6813
E-mail: KAlli@thedtic.gov.za
Or
Bongani Lukhele – Director: Media Relations
Tel: (012) 394 1643
Mobile: 079 5083 457
WhatsApp: 074 2998 512
E-mail: BLukhele@thedtic.gov.za
Issued by: The Department of Trade, Industry and Competition (the dtic)
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