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INVESTMENT INVESTMENT OPPORTUNITY OPPORTUNITY : Northern Cape
BOEGOEBAAI DEEPWATER PORT ZONE NAMAKWA SPECIAL ECONOMIC National Cabinet has approved the designation of the Namakwa SEZ in Aggeneys in the Northern Cape. The proposed designation is done in terms of the Special Economic Zones Act, 2014 (Act 16 of 2014) and the proposed SEZ is part of the Presidential Investment Drive. • The Namakwa SEZ will unlock mining beneficiation, production of green hydrogen, infrastructure development, renewable energy and agro-procession. • More than R29-billion in investments has already been committed for phase one of the SEZ. These include commitments from Vedanta Zinc (R16-billion), Frontier Rare Earth (R13-billion), Hive Energy (R200-million) and RRS Trade and Investment (R100-million).
SEZ. It is proposed that a smelter be built to treat zinc concentrate produced at Gamsberg. The zinc concentrate produced at the existing concentrator plant will be treated in the smelter using the conventional roast-leach-electrowinning (R-L-E) process.
TARGETED SECTORS • Mining Zinc, granite, copper, rare earths, rare quartz, slate • Mineral processing Zinc processing plant, zinc smelter, copper processing plant • Petro-chemical Sulphuric acid, fertiliser, paint, hydrogen production, explosives MISSION • Manufacturing Create an industrial hub for the West Coast and a catalyst for Super alloys, batteries, galvanising steel industrialising the western SADC area. • Transport Mining and agricultural, regional and depots PROJECT LOCATION • Engineering and suppliers Aggeneys is 66km from Pofadder and 110km from Springbok. Renewable energy, transport, construction • Pharmaceuticals ECONOMIC IMPACT Zinc, food additives • Operations will add R1.1-billion to state tax revenue annuall • Localisation and supplier development • Opex will add R5.8-billion to national GDP annually Incubator, skills development The project to create products of the Northern Cape that previously had to be transported • Capex will add R6.7-billion in one-off value to aGDP deepwater port over great distances by rail or road. High-value minerals and • Capex will add R1.6-billion in one-off value to tax EXTENT products from the mining industry will be exported, at revenue Boegoebaai beneficiated hectares crops and agricultural products. Products is aligned to the as540.26 will high-quality VALUE PROPOSITION B o e g o e b e r g from the Industrial Corridor running west into and beyond the The value proposition of the Namakwa SEZ is based on theEconomic existence Northern JOBS Cape can potentially all be exported. In addition, new Special of the Gamsberg Zinc Mine and the proposed building a smelter During construction, 500 jobs produced will be created withBoegoeberg about 3 250 Zoneofand is beingby products such as green9 ammonia, with the Vedanta Zinc International. These would be the anchor tenants of the permanent jobs once the zone is fully operational. conducted under Special Economic Zone, will be exported close to source. strict project management guidelines. TARGETED SECTORS The deepwater port project • Export is the biggest greenfield project • Maritime in the Northern Cape in 26 years and promises great economic and • Logistics social benefits. ECONOMIC IMPACT PROJECT LOCATION An investment into the project of R16.8-billion is estimated to have Boegoebaai is 20km from the South Africa / Namibia border in the the following effects: Richtersveld Local Municipality. • Economic internal rate of return of 44% • Net present value of R44-billion PROJECT ADVANTAGES • Economic cost benefit ratio of 2.46 • Proximity to mining and agricultural sector activities • Short distance from coast to deep water JOBS During construction 2 971 jobs will be created. There will be 400 VALUE PROPOSITION jobs in the operational phase and a further 13 819 indirect and The port will be in a position to export many of the resources and induced jobs will be created.
