Key points
- Anglo is investing R11.2 billion in the Sishen iron ore project.
- Wanblad wants faster action on red tape, rail and ports, and energy.
- He says mining’s best days in South Africa could still be ahead.
Anglo American says South Africa remains one of the world’s premier mining jurisdictions, and it is backing that view with R11.2 billion for the ultra-high dense media separation iron ore project at Sishen in the Northern Cape.
CEO Duncan Wanblad made the case last week in a discussion with Joburg Indaba chairperson Bernard Swanepoel.
“Despite the challenges, despite the volatility, despite the uncertainty, the opportunity remains huge for us,” he said. Anglo has also committed to exploration spending, innovation and technology investments in the country.
Wanblad welcomed the Government-Business Partnership for Growth and Jobs, which has moved into its third phase with mining as a pillar of growth.
The partnership targets 3% growth and one million jobs by 2030. Anglo belongs to the Business for South Africa platform that supports it.
Strengths and the gaps to close
South Africans hold senior mining roles around the world, Wanblad noted, and the country offers world-class engineering, sophisticated financial markets and established institutions. However, he said three areas must move faster before projects become investable.
First, administrative complexity still delays investment and creates uncertainty. He called for a harmonized regulatory environment, including the long-awaited modern cadastral system, which he said would improve transparency and unlock exploration.
Second, rail and logistics reform has made “superb progress,” though freight and port systems need to become highly reliable. Third, energy security has improved markedly.
Anglo’s Envusa partnership with EDF Power Solutions has connected 520 MW of renewable power, with more to come.
Security and a hopeful outlook
Wanblad also pointed to the removal from the grey list and improved sovereign credit ratings as boosts to investor confidence.
The next hurdle, he said, is security, safety and corruption, which will demand “an enormous amount of effort and significant partnerships.”
Some argue South Africa’s best mining days are behind it. Wanblad disagreed. With so much prospectivity still in the ground and global views on mining shifting, “maybe mining’s best days could be ahead of us,” he said, calling it a stretch for many but a real option.
