South Africa has impressively low battery manganese incentive price, Mintek@90 hears

  • Tuesday, November 12, 2024
  • Source:ferro-alloys.com

  • Keywords:Ferroalloy, Vanadium, Molybdenum, Tungsten, Manganese Ore, Chrome Ore,Iron Ore
[Fellow]South Africa has impressively low battery manganese incentive price, Mintek@90 hears Invitation forThe 21st China Ferro-Alloys International Conference

Invitation forThe 21st China Ferro-Alloys International Conference

[Ferro-Alloys.com] South Africa’s current process of dissolving the world’s purest manganese metal to make battery grade manganese has got the lowest incentive price of any of the new, non-Chinese high-purity manganese sulphate monohydrate suppliers, or future suppliers, the Mintek@90 conference heard on Monday.

South Africa makes money at $2 500/t on the high-purity manganese sulphate monohydrate it produces in this way, whereas the feasibility studies of the other new, non-Chinese suppliers, or future hopefuls, are calling for far higher $3 500/t to $5 000/t price viability levels. (Also watch attached Creamer Media video.)

As South Africa, through State research organisation Mintek marks nine decades of pioneering achievements and contributions in the minerals and metallurgy sector, it was appropriate to highlight at the conference – which is featuring in-depth discussions around the theme “Gearing the Industry for a Sustainable Mineral Future” – an up-to-the-minute value-add reality taking place right now using manganese, a metal for which South Africa is renowned.

Opened by Mintek chairperson Dr Thibedi Ramontja, with introductory remarks by Mintek CEO Dr Molefi Motuku and the keynote address by Minister Gwede Mantashe, new opportunities in critical minerals, metallurgy, unlocking resources, advanced materials, emerging technologies, environmental social and governance are setting the scene for emerging new opportunities in South African minerals and metallurgy.

“This is a momentous conference because we are not only celebrating the 90th anniversary of Mintek, but we have come together as stakeholders to reflect on the entity’s contribution to South Africa’s development throughout the years of its existence and shape its role for the next 90 years and beyond,” Mantashe told the conference covered by Mining Weekly.

In his Mintek@90 address, Minerals Council South Africa CEO Mzila Mthenjane urged that Mintek, together with other stakeholders, should be part of a network of centres of excellence that collaborate to enable the South African mining sector to achieve its true potential.

Mthenjane’s speech outlined strategic pathways for South Africa’s mining industry, focusing on mineral beneficiation, the hydrogen economy, and global competitiveness.

“I look ahead into a horizon where Mintek continues to lead and partner with key stakeholders to ensure that the country’s minerals drive growth and development as well as enhance social progress and prosperity for our nation,” he added.

After second-session keynote speaker Rainbow Rare Earths CEO George Bennett outlined the major advances that are being made in the recovery of critical rare earth elements from phosphogypsum in South Africa’s Phalaborwa, industry speaker Bernard Swanepoel spelt out the latest advances at the Manganese Metal Company (MMC) in Mpumalanga that he chairs. Outlined was South Africa’s leadership role in the critical embodiment of manganese and the opportunity for this country to take up the reins of leadership in the battery grade version of the metal now being intensively eyed by battery electric vehicle manufacturers.

Manganese fines and ultra fines, which would otherwise would have been placed on a tailings storage facility, are used by MMC to make the world’s purest 99.9%-pure manganese, and currently about 20% to 30% of its sales are into the battery space, the Mintek audience was informed.

Importantly, MMC has begun building a 6 000 t high-purity manganese sulphate monohydrate brownfield plant that will begin production in early in 2026.

“We make money at $2 500 per ton. You will read the feasibility studies calling for $2 500/t, $4 000/t and $5 000/t for battery grade manganese…our metal dissolves comfortably into what other people would just fantasize to achieve,” said Swanepoel.

Manganese-containing battery cell chemistry continues to be favoured. Adding manganese brings down the cost and improves the capacity of batteries almost consistently. But South Africa needs to protect and grow local beneficiation and refining capacity to grow the battery market participation.

On the ecosystem needed to grow downstream niche industry in South Africa, Swanepoel emphasised the need affordable electricity and development support from financial institutions such as South Africa’s State-owned Industrial Development Corporation (IDC).

“The next phase of taking on China and the world from a small, private owned business in Nelspruit will never happen unless we get the IDC support. We cannot pretend to do this without institutional support,” Swanepoel emphasised, while advocating that MMC co-locates its future mega plant at Coega in the Eastern Cape with the nickel producers.

He is also of the view that some of the businesses of this nature should probably move to the Northern Cape and to produce the products where the mines are.

“High-purity manganese is a phenomenal battery material and it is damn difficult to make. Capital is needed to grow the refining expertise.

“As a country, we need to get serious about refining. We do mine a lot. We don’t need to mine more. Of course, I’m not anti-mining, but that’s not where our bottleneck is.

“We should really, as a country, be smart, box smart, with our limited resources, and South Africa can benefit a lot more.

“We do have a natural endowment of vast manganese reserves combined with local technical expertise to refine the ore up to the required purity levels.

“With appropriate government support and private sector collaboration, this manganese country can, after all, achieve what we all dream to achieve,” Swanepoel told the Mintek audience

  • [Editor:tianyawei]

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