Kumba Iron Ore is an iron-ore

mining Mining is the extraction of valuable minerals or other geological materials from the Earth, usually from an ore body, lode, vein, seam, reef, or placer deposit. The exploitation of these deposits for raw material is based on the economic ...

company in

South Africa South Africa, officially the Republic of South Africa (RSA), is the Southern Africa, southernmost country in Africa. It is bounded to the south by of coastline that stretch along the Atlantic Ocean, South Atlantic and Indian Oceans; to the ...

. It is the fourth largest iron-ore producer in the world and the largest in Africa.

History

Kumba Iron Ore is a successor of Kumba Resources, which was listed on the Johannesburg Securities Exchange in 2001. Kumba Resources was reorganized in November 2006 when heavy minerals operations were spun off to the newly created company Kumba Iron Ore and coal to Exxaro Resources. Kumba Iron Ore Ltd. listed on the JSE in November 2006 with a market capitalization of R36 billion.

Operations

Kumba Iron Ore owns 74% in Sishen Iron Ore Company (SIOC). Rest of SIOC is owned by

Exxaro Exxaro Resources Limited (Exxaro, the company or the group) is a South Africa-based diversified resources company with a robust coal business and acquisitive growth prospects in minerals and energy solutions. Exxaro is among the top five coal ...

, SIOC Employee Share Participation Scheme and the SIOC Community Development Trust. Through the SIOC, Kumba Iron Ore owns Thabazimbi, Sishen and Kolomela iron ore mines. In 2010, Kumba Iron Ore was one of the more successful divisions of Anglo American plc, continuing to pay dividends to shareholders while Anglo American and Anglo Platinum had suspended dividends in 2008.

Mining Operations

Sishen Mine is situated in Kathu in the Northern Cape Province. It is one of the largest open pit mines in the world Kumba Iron Ore has reported that Sishen Mine has reserves for a 19-year life of mine. Mining methods at Sishen are opencast mining. Ore is transported to the beneficiation and jig plant. The Sishen mine jig plant is the largest of its kind in the world. By July 2016, production had been halved and workforce cut by 31%, in response to the slump in global iron ore prices.

Thabazimbi Mine

Located close to Thabazimbi in the Limpopo Province, mining operations started in 1931. Mining is by opencast methods. In a deal brokered in 2013, the high-grade haematite ore produced at Thabazimbi mine would be sold only to ArcelorMittal SA, while Kumba Iron Ore managed operations. However, in February 2015, Kumba announced that the Thabazimbi mine was no longer economically viable.

Kolomela Mine

Kolomela mine is located at Postmasburg in the Northern Cape Province. Mining operations started in 2011, and the company has reported a 25-year mine lifespan. 2019 iron ore production: 13.2 MT.

Controversy

In 2010, Kumba Iron Ore started legal proceedings against Imperial Crown Trading 289 and the Ministry of Mines for the issuance of a mining licence after ArcelorMittal SA did not complete paperwork by the due date and failed to convert their 21.4% undivided share. This led to the assets reverting to the State, which then awarded the licence to a previously unknown company, Imperial Crown Trading 289.

Ownership

Shareholders of Kumba Iron Ore are: *

Anglo American plc Anglo American plc is a British listed multinational mining company with headquarters in London, England. It is the world's largest producer of platinum, with around 40% of world output, as well as being a major producer of diamonds, copper ...

(63.4%) * Industrial Development Corporation of South Africa Ltd (13.1%) * Minority shareholders (23.5%)

Carbon footprint

Kumba Iron Ore reported Total CO2e emissions (Direct + Indirect) for the twelve months ending 31 December 2020 at 910 Kt (-90 /-9% y-o-y).Alt URL
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References

External links

Kumba Iron Ore
{{Anglo American plc Mining companies of South Africa Iron ore mining companies Companies based in the City of Tshwane Companies listed on the Johannesburg Stock Exchange Metal companies of South Africa