South32: Smelters can still be saved, with government help
Hopes lie in beneficiation linked to the department of trade and industry’s motor industry programme
As electricity prices continue to climb in SA, power-hungry smelters are feeling the pinch.
Take South32’s loss-making Metalloys manganese smelter in Meyerton, which is under review. Although a decision is yet to be made, the options for the smelter range from divestment to closure.
It’s simply too hard for SA to compete with power prices in other parts of the world, especially in Malaysia where there is an abundant and cheap supply of hydro power. South32’s manganese smelter in Australia is also in a tough spot despite receiving subsidised hydro-power from the Tasmanian government...