Exxaro Resources Enters Manganese Sector with R11.67 Billion Deal in South Africa

JSE-listed mining giant Exxaro Resources has announced a landmark acquisition worth R11.67 billion, marking its bold entry into South Africa’s lucrative manganese sector.

The acquisition includes strategic assets within the Kalahari Manganese Field, one of the world’s richest manganese reserves. As part of the deal, Exxaro will gain stakes in operating mines including Tshipi Borwa, Mokala, and Hotazel.

Strengthening Its Portfolio

In a media statement released Tuesday, Exxaro — a long-standing Eskom coal supplier — said the move strengthens its commodity diversification and reinforces its long-term sustainability goals.

“This acquisition provides Exxaro with a strong entry point into the manganese sector,” said Ben Magara, CEO of Exxaro.
“Manganese is essential to steelmaking and has growing importance in battery and renewable technology supply chains.”

Magara added that Exxaro plans to leverage its experience in bulk commodities, logistics, and regulatory expertise to unlock value and drive growth in the region.

A Strategic Fit for the Future

The acquisition aligns with Exxaro’s strategic shift towards building a future-fit portfolio, responding to global demand for critical minerals used in green technologies and infrastructure.

The move is seen as a major boost for South Africa’s mining sector, ensuring that key manganese assets remain locally owned.

Industry Support

Saki Macozoma, Chairman of Safika Holdings and Ntsimbintle Holdings, welcomed the transaction, calling it a “milestone for the South African mining sector.”

“We believe this landmark transaction is significant and reinforces Exxaro’s position as a South African mining champion,” said Macozoma.
“We are pleased that these assets will remain in South African hands, under the stewardship of a company that shares our values of safety, sustainability, and social responsibility.”

Macozoma added that the sale aligns with Ntsimbintle’s goal to simplify its portfolio and focus on shareholder value.

What This Means for South Africa

The deal not only bolsters Exxaro’s presence in the mining industry but also secures long-life assets that could play a key role in South Africa’s energy and industrial transition. As global demand for manganese grows, particularly in battery and clean tech industries, Exxaro’s move positions it at the forefront of a promising growth sector.

Exxaro’s R11.67 billion acquisition is more than just a strategic business move — it signals confidence in South Africa’s mining future and a commitment to building long-term value in sustainable resource development.

{Source: IOL}

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