Modern Mining July 2026

ODERN M INING JULY 2026 | Vol 21 No 6 For people who are serious about mining

IN THIS ISSUE  The reality behind South Africa’s platinum moment  Altona targets fluorspar production by year-end 2027  Shift towards stricter regulatory frameworks for TSFs  Alphamin on aggressive exploration drive to extend LOM  Tungsten carbide – a conundrum for local manufacturers

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COVER 8 Tungsten carbide skyrocketing price – a conundrum for local manufacturers PLATINUM OUTLOOK 12 The reality behind South Africa’s platinum moment GOLD 15 Sanankoro update: Front-End Engineering Design Process RARE EARTHS ELEMENTS 16 Altona targets fluorspar production by year-end 2027 TIN 19 Uis mine expanded lithium ridge diamond drilling programme 20 Alphamin on aggressive exploration drive to extend LOM ENVIROMENTAL MANGEMENT 22 Shift towards stricter regulatory frameworks for TSFs 24 Avoiding silos is key for strategic sustainability compliance 26 Nature Positive initiatives by South African mining companies ENERGY 28 Dust containment critical to safer, more efficient coal handling operations 30 Exxaro opens New Mine 1 at Matla colliery - advancing energy security 32 Cummins brings zero-emission Battery Energy Storage Systems to SA 33 Thungela celebrated entrepreneurs graduate TECHNOLOGY 34 Tharisa Minerals drives connected mining solutions 36 Cementation and Terra Nova Technologies conclude transition

MINING INDABA 37 Turning partnerships into tangible deliverables MATERIALS HANDLING 38 Astec strengthens Saudi presence with major equipment orders 40 Crane maintenance to cost less REGULARS MINING NEWS 4 Giyani announces positive DFS results for K.Hill project Firering provides updates on fourth tranche of Limeco option Richards Bay Minerals announces leadership change 5 Women in steel to put more women in the driving seat AECI appoints Alan Dickson as Group CEO Strategic investment to support copper growth strategy 6 Germany’s BGR assesses Molo Mine as part of critical minerals study Orion raises $15.4 million to advance local copper projects 7 Construction materials powers Afrimat’s results Council's review highlights mining sector progress at 136th AGM

ODERN M INING JULY 2026 | Vol 21 No 6 For people who are serious about mining

ON THE COVER China’s curb on critical mineral exports is pushing up tungsten carbide prices and placing mounting pressure on local tool manufacturers reliant on the material Pg 8.

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Finally, some green shoots I s there some glimmer of hope on the horizon and maybe, just maybe, better days for South Africa’s mining sector? After years of deep challenges, there are

representing growth of nearly 40%. Another area showing meaningful improvement is electricity supply. According to Chetty, although Eskom has improved maintenance practices and succeeded in keeping more of its power stations operational, we have also seen substantial growth in independent power producers, particularly in renewable energy. Mines have invested heavily in self-generation. In 2025, mines had approximately 1.8GW of self- generation capacity in operation, with a further 1.7GW under development. The resulting surplus generation capacity has created opportunities for Eskom to support energy-intensive industries through initiatives such as preferential electricity tariffs for smelters and other large industrial users. “South Africa is on the cusp of resurrecting its smelting industry after government agreed to discounted electricity tariffs.” As such, there is renewed focus on beneficiation — processing minerals locally rather than exporting raw ore.

signs that conditions could be starting to improve, offering a measure of optimism for the country’s key industry. A surge in commodity prices, along with progress on power and transport reforms, has created opportunities for South Africa’s mining industry to grow. This is according to Charles Kieck, Director of Research at Afriforesight, who spoke at the company’s webinar on the topic South African Minerals: Ripe for extraction? The mining sector is a significant contributor to employment, the economy and the global minerals market, exporting R816 billion worth of minerals during the 2025 financial year. According to Kieck, South Africa’s major commodity sectors all have positive stories to tell. Chrome and manganese both achieved record extraction and export volumes in 2025, with

the country’s high-grade iron ore continuing strong demand. Gold and PGMs continue to benefit from elevated prices after reaching record highs earlier this year. Moreover, following

“Some investors see long- term beneficiation potential in South Africa – projects such as the Musina- Makhado Special Economic Zone

Early signs of improvement at both Eskom and Transnet are beginning to emerge, with the private sector increasingly being positioned as a key partner in the country’s’ logistics recovery.

(MMSEZ) and the Chung Fung Metal plant are a case in point,” says Devon Allers, Head: Ferrous Commodities.

the launch of the R400 million exploration fund by the DMPR and the IDC — supplemented by a R600 million contribution from Anglo

American — more than half of the funding was allocated by mid-2024. The initiative is a much-needed catalyst for junior

Nelendhre Moodley.

In this edition The July edition offers some interesting reads, including our cover story, Brelko, which touches on the severity of the tungsten carbide shortage and its impact on local suppliers serving the mining industry (pg 8). The commodities outlook features platinum, with EBC Financial Group’s David Precious sharing insight on the topic: High prices, hard ground: The reality behind South Africa’s platinum moment (pg 12). Also of note is Alphamin Resources, which is on an aggressive exploration drive to extend its LOM (pg 20) and LSE-listed Altona Rare Earths, which is targeting fluorspar production by year- end 2027 (pg 16). The ESG feature shares insight on some of the latest developments related to tailings storage facilities (pg 22), Nature-positive examples from local gold miners (pg 26) with SLR Consulting noting that avoiding silos is key for strategic sustainability compliance (pg 24).

Editor: Nelendhre Moodley e-mail: mining@crown.co.za Business Development Manager: Angela Devenish e-mail: angelad@crown.co.za Design & Layout: Ano Shumba Publisher: Karen Grant

miners and exploration companies, helping to reinvigorate the country’s struggling exploration sector and unlock new critical mineral discoveries. Progress at Transnet and Eskom According to Afriforesight Head of Energy Commodities, Vinesh Chetty, early signs of improvement at both Eskom and Transnet are beginning to emerge, with the private sector increasingly being positioned as a key partner in the country’s logistics recovery. “We are starting to see operational improvements at Transnet bear fruit. The company has reported a 9% increase in ship arrivals, which suggests rail and container volumes should also begin to recover.” Transnet currently handles around 180 million tonnes of rail freight annually and has set a target of increasing throughput to 250 million tonnes by 2030 — an additional 70 million tonnes per year,

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MINING NEWS

Giyani announces positive DFS results for K.Hill project

development of the project. Building on the successful production of both HPMO and HPMSM from our demonstration plant in Johannesburg, we are now well-positioned to meet the evolving requirements of the battery and energy storage markets. With China controlling 95% of manganese processing capacity, access to non-China supply of this critical material is constrained. The DFS marks a significant step towards a viable solution. Alongside the optimisation work that we will now be looking to undertake in the next phase of the

Giyani Metals has announced the results of the Definitive Feasibility Study (DFS) for its 100%-owned K.Hill battery- grade manganese project, located in Botswana. The DFS supports the declaration of Mineral Reserves and demonstrates strong project economics to produce battery-grade manganese including high-purity manganese sulphate monohydrate (HPMSM) and high-purity manganese oxide (HPMO) for the global battery materials market. Nigel Robinson, Interim Executive Chair of the company, commented: “These results demonstrate strong economic returns and endorse K.Hill as a unique, mine-to-market battery-grade supplier of manganese to meet growing Western demand, and provide a solid foundation for further optimisation and continued

project’s delivery; we will be progressing our discussions with strategic partners and evaluating opportunities within the battery-grade manganese sector that have the potential to enhance value for our shareholders.” n Firering provides updates on fourth tranche of Limeco option

Giyani Metals demonstration plant in Johannesburg.

Richards Bay Minerals announces

leadership change Richards Bay Minerals (RBM) has announced that Werner Duvenhage, Managing Director, RBM and Rio Tinto Iron and Titanium Africa Operations, has decided to leave the business to pursue an opportunity outside the company. Duvenhage will leave the organisation on 31 July and, as part of a transition, Wilhemina Ngcobo, currently Chief Operating Officer, will assume the role of Acting Managing Director. Rio Tinto Chief Commercial Officer, Bold Baatar, said: “Duvenhage has achieved a great deal during his 13 years with Rio Tinto. Most recently, he has been instrumental in guiding RBM through a particularly challenging period with resilience and integrity.” n

Firering is an Africa-focused producer of quicklime.

fourth tranche of the Limeco Option reflects the progress being made at Limeco following the achievement of operational breakeven. Production ramp-up continues, unit economics are improving and the customer base is expanding across Zambia, Zimbabwe and Malawi. Increasing our shareholding at this stage allows Firering and its shareholders to participate more fully in Limeco’s continued growth. The trajectory across both operations and commercial activity remains positive, with further kiln capacity expected to come online later this year.” n

AIM-listed Firering Strategic Minerals, an Africa-focused producer of quicklime and explorer of critical minerals, has exercised the fourth tranche of its option to acquire a further 5.5% interest in Limeco Resources, increasing its total shareholding to 41.7%. The exercise follows Limeco’s achievement of operational breakeven and reflects the Board’s confidence in the project’s continued production ramp-up, improving cost performance, and rapidly expanding customer base across the Southern African region. Youval Rasin, Chairman and Interim CEO, commented: “The exercise of the

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AECI appoints Alan Dickson as Group CEO

Women in steel to put more women in the driving seat The development of a stronger pipeline of female leaders in South Africa’s metals, engineering and manufacturing sectors is the focus of the Women of Steel – Women’s Leadership Mentoring Programme, Chibanguza, gave his full support to the Women of Steel initiative and reaffirmed SEIFSA’s commitment to advancing female leadership within the metals and engineering sector. He expressed the

aspiration that the programme would evolve beyond the pilot phase into a long-standing institutional initiative that continuously develops leadership talent and contributes to a more inclusive and representative industry. As the pilot programme progresses, SEIFSA and its partners will continue to evaluate opportunities to expand and institutionalise the initiative as part of the federation’s broader commitment to industry development and transformation. n

launched by the Steel and Engineering Industries Federation of Southern Africa (SEIFSA) in partnership with the Danish Industries (DI) Gender Inclusion Initiative. The six-month pilot programme seeks to accelerate the advancement of women into leadership positions across the sector through structured mentorship, leadership development and professional support. Delivering the keynote address, Bridget Ledwaba, Managing Director of Weir Minerals (Africa), emphasised the importance of structured mentorship as a mechanism for developing future industry leaders. She highlighted the role of sponsorship, strong alliances and leadership development in creating more inclusive workplaces and strengthening the leadership pipeline across the metals and engineering sector. SEIFSA Chief Executive Officer, Tafadzwa

Alan Dickson CEO AECI.

Mining and chemicals group, AECI, has appointed Alan Dickson as Group Chief Executive Officer and an executive director, effective from 1 July 2026. Dickson is a highly accomplished leader with more than 20 years of executive experience across diversified industrial, technology, manufacturing and infrastructure-driven sectors. He spent 29 years with the Reunert group, including service as Group CEO from 2014 to 2026, where he led a large and complex organisation with diverse operations. His track record includes disciplined capital allocation, strategic growth, operational excellence and long-term value creation in listed industrial environments. Commenting on the appointment, Philisiwe Sibiya, Chairperson of the Board, said: “The Board is delighted to appoint Dickson as Group Chief Executive Officer of AECI. He brings a strong track record of disciplined execution, operational excellence and value creation in complex, listed industrial environments. His experience aligns well with AECI’s strategic priorities of strengthening performance, maintaining an uncompromising focus on safety, leadership and delivering sustainable growth. The Board is confident his leadership will ensure continuity while accelerating the next phase of the Group’s strategy for the benefit of all stakeholders.” n

Strategic investment to support copper growth strategy Jubilee, the integrated copper producer

potential value offered by the company’s exploration and mining strategy that seeks to significantly expand its near surface Molefe mining operation while targeting similar near surface copper deposits in the greater Molefe region. In this regard, discussions continue for a further $10 million staggered investment. This offers the unique opportunity to commence copper production through the nearby Sable refinery while simultaneously concluding a detailed resource drilling programme. Leon Coetzer, CEO of Jubilee, commented: “The facility provides near-term funding flexibility to aggressively pursue additional exploration and mining opportunities within the greater Molefe region, while we advance discussions around a potential longer-term strategic partnership aimed at supporting resource expansion, processing capacity growth and increased copper production across the broader Zambia platform.” n

and resource developer in Zambia, has secured a $1.5 million unsecured convertible loan note investment specifically designated for the accelerated development of the greater Molefe region. This initial investment reflects the Investor’s keen interest in supporting Jubilee’s copper exploration and mining strategy in Zambia, including the development of the greater Molefe region, beyond the current mining area. The Investor recognises the

Jubilee is an integrated copper producer in Zambia.

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MINING NEWS

Germany’s BGR assesses Molo Mine as part of critical minerals study TSX-listed NextSource Materials has

European Union’s Critical Raw Materials List, and the German Federal Government has committed significant capital to its diversification agenda — including the €1 billion Rohstofffonds (Raw Materials Fund). As one of few sources of high- quality natural flake graphite in production outside of China, Molo is well-suited to and aligned with the strategic supply

announced that a technical team from Germany’s Federal Institute for Geosciences and Natural Resources (BGR) recently attended a site visit at the company’s Molo Graphite Mine in southern Madagascar. The requested visit formed part of an independent study by the BGR on graphite production in Madagascar, financed by Germany’s Federal Ministry for Economic Cooperation and Development. BGR expressed specific interest in assessing Molo, alongside traditional graphite operations elsewhere in Madagascar, as a benchmark asset and potential supplier of natural graphite and anode material to Germany – reflecting the strategic priority the German Federal Government places on graphite as a critical raw material for German industry, the European battery supply chain, and energy security. Germany has placed critical raw materials at the centre of its industrial and energy security policy. Natural graphite is on the

Germany’s BGR recently visited NextSource Materials Molo Graphite Mine.

production company, Thyssenkrupp AG. The sales agreement comprises terms whereby thyssenkrupp is guaranteed a minimum of 7 300 tonnes per annum (tpa) of SuperFlake® graphite concentrate from Molo Phase 1 operations, and up to 35 000 tpa when Molo capacity is expanded to Phase 2. n Orion’s CEO, Tony Lennox, commented: “This is a pivotal capital raising for Orion as we begin our transition to operating mining company in the second half of 2026, and we are pleased with the outcome. We received strong support from South African investors via the JSE – which reflects Orion’s growing visibility and status in South Africa as an important new copper producer at a key time in the global metals cycle. In addition to continued support from long-standing shareholders, we also attracted several new investors onto the register.” n

objectives Germany is actively focused on. Notably, NextSource already has an established commercial link to German industry. In May 2021, NextSource executed a 10-year commercial sales agreement with thyssenkrupp Materials Trading GmbH, a division of the German industrial engineering and steel

Orion raises $15.4 million to advance local copper projects

• Commence development of the Prieska Uppers Mine when Glencore’s financing becomes unconditional; • Finalise optimisation studies, ongoing site works and resource extension drilling at the Okiep Copper Project; and • Provide working capital including ongoing work associated with the finalisation of the financing and offtake agreement with Glencore for the development of PCZM.

ASX-listed Orion Minerals has secured firm commitments to raise roughly $15.4 million via a placement to sophisticated and professional investors to advance both of its key copper projects in the Northern Cape Province of South Africa. The announcement of 9 February 2026 confirmed that Orion’s subsidiary, Prieska Copper Zinc Mine, executed a binding agreement with a subsidiary of Glencore plc for a $250 million pre-payment facility linked to the sale of bulk, copper and zinc concentrates from the Prieska Copper Zinc Project. The facility will fund the Uppers Mine Development and partially fund the Deeps Mine Development at Prieska, marking a significant step in Orion’s transition to a fully operational mining company. Orion intends to apply the funds raised from the Placement principally to: • Continue early works at the Uppers Mine at the Prieska Copper Zinc Mine (PCZM), including ongoing dewatering and site works, while project funding is being finalised;

Orion raises $15.4 million to advance local copper projects.

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Construction materials power Afrimat’s results Salient features of the results • Group revenue increased by 20.3% to R10,0 billion (2025: R8,3 billion) • Operating profit up 9,6% to R523,7 million (2025: R 477,7 million)

Financial Statements were released at the 136th Annual General Meeting (AGM) of the Minerals Council, whose members account for 90% of annual mined production by value. During the AGM, Minerals Council President, Paul Dunne, and CEO, Mzila Mthenjane, reflected on 2025, a year in which fundamental changes were proposed to the Mineral and Petroleum Resources Development Act and significant structural reforms were rolled out by the Government in the energy and logistics sectors. “We are living through one of the most important moments in recent years for the South African mining sector. A fundamental sea change is underway as the Department of Mineral and Petroleum Resources (DMPR) is revising the Act, which was gazetted 22 years ago,” said Dunne. The mining sector employed 470,457 people in 2025 and paid R200 billion in wages. The sector paid a total of R124 billion in taxes to the fiscus and contributed R477 billion to gross domestic product, accounting for 6.2% of GDP. The mining sector is a significant contributor to employment, the economy • Headline earnings per share (HEPS) up 32.5% to 95,8 cents (2025: 72,3 cents) • Net asset value (NAV) per share 2 899 cents (2025: 2 862) cents • Final dividend per share of 13 cents, declared Afrimat, a multi-commodity, mid-tier mining company that produces and supplies construction materials, iron ore, anthracite, phosphate, and high-quality industrial minerals, recently released results for the year ended 28 February 2026. “These results reflect the strength of Afrimat’s strategic positioning and our ability to deliver on our investment commitments. Our renewed focus on aggregate quarrying has proved to be well-timed, and the Lafarge integration is complete and performing exceptionally

Afrimat is a multi-commodity, mid-tier mining company.

• Embedding predictive safety systems to eliminate critical risks • Strengthening inclusive transformation through sustainable skills pipelines • Securing pragmatic policy certainty under the MRD Bill • Restoring infrastructure reliability to unlock production growth and exports • Accelerating people-centred modernisation and innovation. n alternatives and potential technology partners. We recognise the high quality of the assets within our portfolio and will continue to evolve our strategy to optimise and sustain returns on invested capital over the long term, while remaining responsive to the dynamic macroeconomic environment,” he added. n demonstrated by Aggregates. Our core strength remains open-cast mining, and for Cement and the Glenover project, we are actively assessing a range of strategic

and the global minerals market, having exported R816 billion worth of minerals. The Minerals Council played a constructive role in intervening in South Africa’s energy and logistics crises. During 2025, it welcomed the structural reforms that will fundamentally change energy, rail and ports services, loosening the grip of state-owned companies on the key areas that will contribute to a growing economy and expanded job opportunities. An emerging risk for the mining sector demanding immediate attention is water security. Bulk water supply in several mining regions was interrupted during 2025, highlighting the vulnerabilities in municipal and regional infrastructure systems. “Water is essential to both communities and operations, and strengthening maintenance capacity, governance and investment in water infrastructure must become a national priority,” said Dunne. For 2026, the Minerals Council entered the year on a stronger footing and with clear intent. Its priorities for the year include: well. The Aggregates business has been significantly strengthened, and the numbers demonstrate this clearly. Afrimat remains profitable, able to service debt, and is a consistent dividend payer,” said Group CEO Andries van Heerden. “We are currently in a phase where significant strategic acquisitions have been completed. Where integration of operations into Afrimat was possible, it has been executed successfully and is performing exceptionally well, as

Council's review highlights mining sector progress at 136 th AGM The Integrated Annual Review and Annual

Minerals Council members account for 90% of annual mined production by value.

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COVER STORY

Tungsten carbide's skyrocketing price – a conundrum for local manufacturers By Nelendhre Moodley China’s curb on critical mineral exports is pushing up tungsten carbide prices and placing mounting pressure on local tool manufacturers reliant on the material. Modern Mining recently spoke with MD, Kenny Padayachee and GM, Jay Pillay of Brelko Conveyor Products, about the severity of the tungsten carbide shortage and its impact on local suppliers serving the mining industry.

I n mid-May, the world’s juggernauts – the US and China’s leadership – met in Beijing for crucial talks on economic cooperation, trade, and Iran. The meeting was largely in response to trade tensions adversely impacting both countries,

and over 90% of smelting/processing capacity as of early 2026. The world’s second-largest economy has restricted exports of tungsten and tungsten carbide primarily as a strategic geopolitical tool to control the supply chain of critical minerals. The restrictions are part of a broader “dual- use” control policy

particularly the US. In early 2025, President Trump imposed steep tariffs on Chinese goods,

raising some to 147.6% by April 2026. China retaliated by increasing tariffs on US goods to 84%, targeting agricultural exports such as soybeans, pork, and beef, and restricting exports of Rare Earth Elements (REEs), critical to technology and defence industries.

(military and civilian) designed to secure domestic resources and counter US technology tariffs. This near monopoly allows Beijing to set global prices and restrict exports, causing severe supply chain

Kenny Padayachee, Managing Director.

Since January, the price of tungsten carbide has soared by over 500% and continues to adversely impact businesses reliant on the material,”

shortages and surging prices for Western defence, aerospace, and manufacturing

The impact of the restriction on critical minerals is widespread, affecting key minerals, including the export of tungsten carbide, used by equipment manufacturers to the mining industry. China dominates global tungsten carbide supply, controlling approximately 80% of mine production

sectors. South African original equipment manufacturers (OEMs), who rely on tungsten carbide, are facing significant input cost inflation, placing pressure on

Jay Pillay, General Manager.

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margin-sensitive local production. “Since January, the price of tungsten carbide has soared by over 500% and continues to adversely impact businesses reliant on the material,” says Padayachee. “Our business is fundamentally about spillage control. If we can ensure that the product remains on the belt and prevent losses, we help our customers make money. A clean belt means better productivity, less material loss, and more profit for the customer. However, soaring tungsten carbide prices leave the industry in a quandary. Informing our customers that the price of a key input material has skyrocketed and that the price of the product has now doubled, immediately creates resistance, as the customer is also focused on maintaining profitability, which means that as suppliers to the mining industry we are caught between a rock and a hard place.” Tungsten carbide, used primarily for manufacturing durable cutting, drilling, and crushing tools, is prized for its extreme hardness, high density, and heat resistance properties. The composite material is used in cutting tools (machining steel, iron, and alloys); mining equipment (drill bits, top hammers, and roller cutters) and in construction products (tunnel boring cutters and road planning teeth).

In conveyor belt cleaning equipment manufacturing, tungsten carbide is the premier material for belt cleaner blade inserts and tips. For OEM’s supplying products to the mining sector, such as Brelko Conveyor Products, a proudly South African company that designs and manufactures conveyor belt cleaning equipment for a trouble-free flow of materials at transfer and load points, the steep price hike is a major blow. According to Pillay, tungsten carbide provides unmatched wear resistance against abrasive materials like coal, cement, platinum and iron ore. He explains that to enhance the performance

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COVER STORY

of tungsten carbide, manufacturers incorporate elements such as nickel, tin, copper and other materials to achieve specific binding properties. “These additives influence the characteristics of the final product — determining, for instance, whether it offers greater abrasion resistance, improved acid resistance, or suitability for particular operating conditions. The composition of the compound plays a critical role in overall performance.” Brelko’s conveyor belt cleaning products are designed to operate in hard rock mining applications. “Our conveyor belt cleaning equipment is used in highly abrasive applications — in gold, platinum, iron ore, and other base metals applications,” explains Pillay. Managing the crisis On a discussion of managing the crisis, Padayachee emphasises the importance of understanding market dynamics and adopting strategic responses to navigate ongoing uncertainty. “It is imperative for business leaders to implement a comprehensive approach to crisis management that incorporates both short- and long-term strategies. This is particularly important considering the ongoing geopolitical tensions, including the escalating US-Israel-Iran conflict, which continues to create uncertainty across global markets. Beyond this, it is imperative to reinvest in the business when the times are favourable as it helps to better stave off challenges during trying times.” Discussing the strategies Brelko is implementing to manage the crisis — including increasing stock holdings and negotiating with suppliers — Padayachee highlights the importance of financial resilience and preparedness in navigating unforeseen disruptions. “With strong financial backing and extensive warehousing capacity, Brelko is well positioned to absorb market pressures, support its operations, and maintain business continuity.” The company sources premium-grade material and has standardised on a single, high-quality tungsten product. Delivery from China typically takes between six and eight weeks from the date of order before the material arrives in South Africa. “Given tungsten’s importance to the manufacturing process, the company has chosen to maintain substantial stock holding — generally around 12 months’

worth of inventory, and in some cases up to 18 months. Because the product line is repetitive in nature, carrying this level of stock ensures supply security and continuity in manufacturing operations,” explains Pillay. Establishing tungsten carbide as an index with SEIFSA The challenge for local manufacturers using tungsten carbide is the fact that the industry body, the Steel and Engineering Industries Federation of Southern Africa’s (SEIFSA) Price and Index Pages

(PIPS) which provides over 260 monthly indices—covering steel, metal, labour, and transport—designed for Contract Price Adjustment (CPA) to manage inflation risks in long-term contracts, has not included tungsten carbide as an index. Widely used in SA’s engineering/mining sectors, these indices allow suppliers and buyers to adjust tender prices based on real, formula-driven cost fluctuations. According to Pillay, Brelko is liaising with SEIFSA in a bid to include tungsten carbide on the list of indices — this will allow the industry to mark-up product

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simply unacceptable. While some companies may investigate alternative materials or technologies, nothing currently matches tungsten carbide in terms of overall abrasion resistance and performance in these operating conditions. That said, future innovation could eventually change the landscape. The real challenge is determining whether such innovation would be commercially viable. By the time an alternative solution is fully developed, market conditions may well have stabilised, raising the question of whether the investment required to develop a replacement material would ultimately be justified,” concludes Pillay. Jay Pillay – growing with Brelko Like tungsten carbide, Pillay is an integral component in the Brelko business. Having joined the company straight out of school, Pillay, has been working at Brelko for 26 years and has climbed the ranks from internal sales to business development and projects manager. “I have been fortunate to grow with the business, which has evolved from employing around 30 people to a workforce of more than 200 today.” Apart from his current position as GM, Pillay, serves as the Chairman of the Conveyor Manufacturers Association of South Africa (CMA). The CMA is the leading body for the bulk materials handling industry in the country. n

prices that include the critical material.

The conundrum associated with developing an alternative to tungsten carbide Looking ahead, Pillay expects the price of tungsten carbide to remain elevated for another two to three years, explaining that even if the conflict involving Iran were to end soon, countries are likely to continue to aggressively purchase the material out of concern and uncertainty. “The countries directly involved in the conflict will also need to rebuild and replenish their military stockpiles. Moreover, governments and industries are likely to increase reserves and place larger orders as a precautionary measure, driven more by fear and risk management than by immediate demand alone,” explains Pillay. This begs the question, is there an alternative material to tungsten carbide? “In business, it is essential to think ahead and always have contingency plans in place. As a company that invests heavily in research and development, we continuously explore alternative materials. At present, however, there is no viable substitute for tungsten carbide in applications where abrasion resistance is critical. Ceramics, for example, can in some cases provide even greater abrasion resistance, but they are far more susceptible to chipping and cracking. In belt cleaner applications — where durability and reliability are non-negotiable — that level of risk is

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JULY 2026 | www.modernminingmagazine.co.za  MODERN MINING  11

PLATINUM OUTLOOK

Platinum’s recovery has improved the commercial picture for South Africa’s platinum group metals (PGMs) sector, but the current cycle is not a simple return to boom conditions. Higher platinum prices are helping the sector, but the harder test is whether mines can produce and deliver metal reliably while power, costs, logistics, security and ageing shafts remain under pressure. South Africa remains central to mined platinum supply, with the United States Geological Survey (USGS) estimating South African platinum mine production at 120 000 kilograms in 2025, against a global total of about 170 000 kilograms. The same USGS review notes that South African PGM production fell by an estimated 9% in 2025 because of lower palladium prices, higher deep-level mining costs and electricity disruption. High prices, hard ground: The reality behind South Africa’s platinum moment By David Precious, Senior Market Analyst at EBC Financial Group

T he latest production and sales figures show why this discussion is current rather than theoretical. Statistics South Africa (Stats SA) reported that mining production rose 2.5% year-on-year in March 2026, with PGMs up 10.5% and contributing 2.6 percentage points. Mineral sales at current prices rose 30.2% year-on-year, with PGMs up 113.5% and contributing 21.0 percentage points. Those numbers show that stronger prices are feeding into the sector, although higher mineral sales do not automatically mean stronger export earnings or easier mining conditions. Price strength is real, but demand is uneven Platinum supply is expected to remain short of

demand because mine output remains constrained while industrial use and some investment demand continue to absorb available metal. The World Platinum Investment Council (WPIC) expects a fourth consecutive annual platinum deficit in 2026, now estimated at 297 thousand ounces, with metal held in above-ground stockpiles projected to fall to 1 747 thousand ounces by year-end, enough to cover just under three months of demand. Demand is uneven because not every source of platinum buying is moving in the same direction. WPIC expects total demand to fall 9% year-on-year to 7 674 thousand ounces, despite 9% growth in industrial demand, as weaker jewellery demand and the absence of last year’s large buying through exchanges and exchange-traded funds

David Precious, Senior Market Analyst, EBC Financial Group.

12  MODERN MINING  www.modernminingmagazine.co.za | JULY 2026

Reliable processing, refining and infrastructure are as important as ore reserves, as buyers increasingly focus on whether South African platinum can be mined, processed and delivered consistently.

(ETFs) weigh on the total. Demand from investors buying physical platinum bars and coins remains firm, which shows that investment behaviour is still part of the platinum story, although it does not move in a straight line. This split between tight supply and uneven demand prevents the current platinum story from being read as a simple demand boom. Platinum is no longer only about autocatalysts, the pollution-control devices used in vehicle exhaust systems. It is also being shaped by industrial use, Asian jewellery demand, retail investment flows, recycling economics and uncertainty over how quickly electric vehicles (EVs) displace internal combustion engine (ICE) and hybrid vehicles. Johnson Matthey says platinum demand is expected to exceed supply again in 2026, supported by firm industrial use and constrained mine output, while stronger PGM prices are also supporting a recovery in autocatalyst recycling. Recycling growth, substitution risk between platinum and other metals, uncertain ICE vehicle production and slower jewellery demand in parts of Asia still complicate the medium-term picture. Strategic value still meets mining friction Platinum’s strategic value is rising because it sits across several industrial

Deep-level mining remains at the centre of South Africa’s platinum challenge, where safety, labour intensity and technical complexity weigh against the benefit of higher prices.

reliably through a full market cycle. Hydrogen and fuel-cell technologies may create future demand, but they are not yet a guaranteed growth engine for platinum because today’s market still depends mainly on autocatalysts, industrial applications, jewellery, investment flows and recycling. The outlook depends less on a single breakthrough technology than on whether these existing demand channels remain strong enough to support mine planning while new uses develop. High prices do not quickly create new tonnes This is the hard reality behind South Africa’s platinum moment: stronger prices do not quickly create new production. In our view, the issue is not whether South Africa has platinum in the ground. It is

priorities, from emissions control and hydrogen technology to critical-minerals security. South Africa’s Critical Minerals and Metals Strategy places PGMs alongside manganese, vanadium, rare earth elements and lithium in the wider shift towards green industrialisation, decarbonisation and digital transformation. For South Africa, the commercial question is not only whether the country has the metal, but whether buyers can rely on that metal reaching the market. The ore bodies give the country relevance, but dependable production, processing capacity, refining resilience and delivery confidence determine how much value that relevance creates. Buyers of strategic materials tend to care not only about where metal sits in the ground, but whether it can be mined, processed, transported and supplied

JULY 2026 | www.modernminingmagazine.co.za  MODERN MINING  13

PLATINUM OUTLOOK

The platinum value chain depends on more than mine output, with transport, imported inputs and logistics reliability shaping whether South African PGMs can reach global markets consistently.

significant security threat, with organised crime syndicates targeting industries dependent on copper and other non-ferrous metals. The next phase is likely to come from existing mines The next phase of South Africa’s platinum cycle is likely to centre on how much longer existing mines can operate profitably, rather than on a sudden wave of entirely new projects. Expanding existing mines and extending the life of current operations appear more plausible than building new mines from scratch, especially when capital costs, permitting timelines and long-term demand uncertainty remain significant. Tharisa, a PGM and chrome producer operating in the Bushveld Complex, offers one example of this existing-mine pathway. The company has announced a US$547 million plan to transition its PGM and chrome mine from open pit to underground over the next decade, with mechanised underground operations expected to start delivering ore from the first of two shafts during the second quarter of 2026. Mechanisation can improve productivity and safety where machines can replace some labour-intensive work, but geology determines where that is practical. Some PGM ore bodies are suitable for greater mechanised mining because the mining areas are wider or more consistent. Others are narrow, deep, labour-intensive and technically constrained, which means higher prices will not lift every mine in the same way. Each operation will respond differently depending on its depth, geology, cost base and ability to mechanise. If operating constraints remain unresolved, South Africa may still benefit from stronger platinum prices through mineral sales, export receipts and tax income, but the production response could remain limited. If reliability improves across power, logistics, permitting, security and mine-life planning, the sector may be better positioned to convert cyclical price recovery into a more lasting industrial advantage. One possible reading of the current cycle is that South Africa has regained pricing relevance before it has regained operating ease. That is why the platinum moment deserves attention beyond the price chart. It is not only about whether prices have risen. It is about whether higher prices can outlast hard ground, deep shafts, imported costs and uncertain industrial demand long enough to support stable supply. n

whether that platinum can be mined, processed and delivered at a cost that still makes commercial sense. Deep-level platinum mining is capital-intensive, labour- intensive and technically complex. Higher prices may support margins and balance sheets, but they do not remove ageing shafts, ore-body complexity, safety requirements, water- management pressures, community expectations, security risks or permitting timelines. They also do not erase the memory of earlier PGM cycles, when expansion was followed by weaker prices and impaired balance sheets. Northam Platinum has previously noted that active South African PGM shafts had fallen to 53 from 81 in 2008, a reminder that price strength alone cannot quickly rebuild supply flexibility once mine life, capital and labour structures have been reduced. Export strength still carries imported cost pressure South Africa’s platinum sector earns value from global demand, but its mines still rely on inputs priced or sourced through global supply chains. PGM mines remain exposed to diesel, lubricants, explosives, machinery components, spare parts, shipping, insurance, aviation-linked logistics and currency volatility. Valterra Platinum said in May 2026 that stable supplies of diesel, lubricants and explosives are essential to keep mines running, and that disruption to these inputs can quickly translate into operational delays, higher costs and reduced output. The same report noted that South African PGM producers can be exposed to jet-fuel disruption because metal often moves to customers through aviation-linked logistics. Power costs add pressure because deep-level mining depends heavily on electricity for cooling, ventilation, hoisting, milling and refining. Eskom said the National Energy Regulator of South Africa (NERSA) approved an average 8.76% electricity price increase for customers supplied directly by Eskom from 1 April 2026, with municipal bulk purchasers facing an average 9.01% increase from 1 July 2026. Improved power availability helps, but higher tariffs still feed directly into mine costs. Security risk can affect production because underground intrusions, cable theft and damage to mine infrastructure can interrupt operations and raise repair costs. Sibanye-Stillwater reported that, at its South African PGM operations, underground intrusions and theft of copper reticulation cable represent the most

14  MODERN MINING  www.modernminingmagazine.co.za | JULY 2026

GOLD

Sanankoro update: Front-End Engineering Design Process

Cora Gold, the West African focused gold company, has announced further progress towards construction readiness at the company’s flagship Sanankoro Gold Project in southern Mali, including the commencement of the Front-End Engineering Design (FEED) process.

The project presents significant exploration upside, with all deposits remaining open along strike.

T he FEED process is a key element in readying Sanankoro for full construction, forms part of the capital cost, and is an important milestone in the delivery timeline contemplated in the Definitive Feasibility Study (DFS) through to first gold pour. Completing the FEED process will allow the company to make decisions on long lead items, with a view to potentially compressing the Project’s delivery timeline once in receipt of the mining permit. In addition to the FEED and permitting activities, selected complementary workstreams are planned to commence in parallel. The Sanankoro exploration camp is currently undergoing refurbishment as the Company prepares to commence FEED focused field work, while also upgrading accommodation standards in advance of construction of the permanent mine camp during development. Alongside this, targeted land compensation activities have commenced in priority areas to support ongoing project advancement and construction readiness. Front-End Engineering Design The company has appointed New SENET, a DRA Global group company, to lead the FEED process. As an independent project management company, SENET managed Cora’s 2025 and 2022 DFSs at Sanankoro and has been appointed to oversee the FEED process owing to its

The company’s Sanankoro Project in Mali.

commented, “We are building strong momentum at Sanankoro across multiple fronts. The commencement of the FEED process marks a key milestone in the construction timeline and positions us to move swiftly into development once the mining permit is awarded. I am pleased that our camp is undergoing an upgrade so it’s ready for this phase of work. This upgrade will also allow the camp to house the construction team in advance of the new mine camp being built during the construction phase. Sanankoro is fully funded following the recent signing of a binding term sheet for a US$120m gold stream with Eagle Eye and the equity raise completed in March 2026, enabling us to progress with confidence towards construction. In line with this, we are working on additional preparatory workstreams, including land compensation, to ensure we are construction ready once the permitting is finalised.” n

established understanding of the project, and experience with a range of gold projects across West Africa. The FEED process is due to be completed in H2 2026 and, subject to the finalisation of the relevant permitting, construction will commence thereafter. The Company continues to progress the permitting process for Sanankoro through ongoing constructive engagement with the Government of Mali. Gold price sensitivity analysis The company has undertaken sensitivity analysis on the 2025 DFS financial model, which was based on a gold price of US$2 750/oz. In light of the sustained strength in the gold price, the company updated the financial outcomes of the DFS model at gold prices of US$3 500/ oz and US$4 000/oz, with no changes to the operating, capital or production assumptions. Bert Monro, CEO of Cora,

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