Johannesburg-based Vedanta Zinc International (VZI) has announced a R7 billion investment at the company’s Gamsberg Mine in the Northern Cape province of South Africa which would position the company as the largest zinc producer in Africa.
VZI is a subsidiary of Indian diversified resources company, Vedanta Limited, and having received approval by the company’s board, the investment is set to double ore production from four million tons to eight million tons per year. Additionally, VZI aims to produce 500,000 tons of zinc metal concentrate annually with prospects for constructing another concentrator plant to produce an extra 200,000 tons of zinc metal concentrate also on the agenda.
“This investment approval indicates VZI’s commitment to keep growing even amid a pandemic that has halted majority growth investments and threatened the survival of companies across various industries,” stated VZI Executive Director and CFO, Pushpender Singla.
During the construction phase of the expansion, the project is expected to create between 1,500 and 2,000 jobs and an additional 800 – 1,000 permanent jobs during operations. The new job opportunities will be in addition to the current 1,200 permanent personnel at the Gamsberg Mine. Singla noted that the project has plans to fully integrate into the Namakwa Special Economic Zone, to ensure the growth of secondary industries.
Vedanta Executive Chairperson, Anil Agarwal, expressed the global company’s commitment to both the Northern Cape province and South Africa as a whole by ensuring job creation that will lead to improvement in the socio-economic conditions of Gamsberg and its surroundings.