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Ngwenya iron ore dumps as good as gold - Mr Herman

Steel News - Published on Thu, 12 Apr 2012

SALGAOCAR Mozambique Chief Executive Officer Mr Ron Herman has compared the iron ore dumps extracted at Ngwenya Mine to gold. He said this was because the iron ore boasts 60% of sulphur, which was almost rare in the world. Herman said the Ngwenya mineral was amongst the best in the world.

Mr Herman during a tour of the mine’s operations in Mozambique said that “The Ngwenya iron ore is of high grade.” This was part of the itinerary organised by the Swaziland Investment Promotion Authority where about 48 members of the local business community attended.

Adding, Mr Herman said Ngwenya mine had 200 million tonnes of iron ore underneath and 30 million tonnes on top. He said the mineral from Swaziland was transported to Maputo then to China.

Meanwhile, the Swaziland Review by SIPA reported that Swaziland stood to claim billions of dollars from the 700 million tonnes of iron ore that lie just below the surface of the Pigg’s Peak belt in the Hhohho region.

It said excavation there dated back to 1964 when Anglo-American Corporation formed the Swaziland Iron Ore Development Company to feed Japan’s burgeoning economy.

Salgaocar Swaziland Chief Executive Officer Sivarama Prasad Petla said they were given a licence to extract leftover dumps by Minerals Management Board for seven years.

He said government would be paid E3.50 ($50 cents) per tonne royalty after being given a 25% share in the operation.

Petla said Salgaocar invested E350 million ($50 million) in getting operations underway and this amount was set to increase with developments such as the construction of an on site ore cleaning plant that would be commissioned soon.

He said that “Further excavations at the Ngwenya site will be futile but the untapped iron ore deposits to the north presented the country with a golden opportunity as the global demand for this mineral and its products is endless. According to our estimates, 2 000 new spin-off jobs will be created within local companies and suppliers.”

Meanwhile, the country’s mining giant reported that it has spent over E18 million on its Buy Swazi policy.

Mr Petla said this was in support of local business service providers and it had a significant effect on economic growth. He said the company had also adopted local empowerment which had generated employment for close to 229 Swazis in its first phase out of three.

At the launch of the mine late last year, Mr Petla assured the nation that Salgaocar would embrace the Buy Swazi campaign for its goods and services. He encouraged local people to consider forging partnerships with them.

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Posted By : admin on Thu, 12 Apr 2012
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