Name of the Project
Gamsberg Phase 2 expansion project.

Location
Namakwa Special Economic Zone, in the Northern Cape, South Africa.

Project Owner/s
Vedanta Zinc International (VZI) subsidiary Black Mountain Mining (BBM).

Project Description
The project will double the capacity of the Gamsberg mine and plant, from four-million tonnes a year to more than eight-million tonnes a year; and include the construction of a four-million-tonne-a-year concentrator, increasing output from 300 000 t/y to 500 000 t/y of metal in concentrate.

The project’s current mineral reserves and resources show a potential life-of-mine of 50 years.

Potential Job Creation
The project is expected to create 2 000 to 2 500 jobs during the construction phase and a further 800 to 1 000 permanent jobs during the peak operations phase. 

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Approved capital expenditure was estimated at $466-million as at June 2024.

Planned Start/End Date
The expansion project was approved in fourth quarter of 2022. The project is targeted to be completed by the first half of the 2024/25 financial year, with engineering and full ramp-up of the project targeted for the 2025/26 financial year.

Latest Developments
Vedanta reported in its ‘Integrated Report and Annual Accounts 2023/24’ released in June 2024 that overall progress at the project was at 52.6%.

Engineering and procurement were completed at 99.6% and 94% respectively. Construction progress was at 27%. 

The owner’s engineering consultant has been appointed to conduct prefeasibility studies, and execute the basic engineering design, detailed engineering review, quality assurance and site construction management. 

All activities pertaining to technocommercial adjudication and contract finalisation have been completed. All major long-lead free issue materials (FIMs), ball and semiautogenous sag mill, and crusher, flotation, filter presses and thickeners package orders have been placed. Major FIM supplies, such as thickeners, mills and transformers, have been delivered to the project site. 

Key Contracts, Suppliers and Consultants
Onshore (engineering, procurement and construction partner); TCE (owner’s engineers); M&D (construction partner); WBHO (tailings storage facility); Afriline (external water system); PPE (external power system); and CITIC Heavy Industries (ball and semiautogenous grinding mills).

Contact Details for Project Information
VZI, tel +27 11 685 3960 or email info@vedantaresources.co.za.