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Rio Tinto $473M South Africa Mine Expansion

Bloomberg Markets •
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Rio Tinto Group approved a $473 million expansion of its Richards Bay Minerals unit in South Africa, ending a suspension that began in 2019 amid violent community protests. The Zulti South project will extend the mine's operational life to 2050, ensuring long-term continuity for the titanium dioxide slag producer.

Richards Bay Minerals, 74% owned by Rio Tinto, mines mineral sands in KwaZulu-Natal province and exports titanium dioxide slag used in products ranging from paint and plastics to sunscreen and toothpaste. The company halted operations at the end of 2019 following violent protests but has since improved security conditions and strengthened community partnerships, according to managing director Werner Duvenhage.

The project has appointed China Harbour Engineering Co. as contractor, citing the state-owned Chinese firm's proven performance and strategic partnership with Rio Tinto on the Simandou iron ore project in Guinea. The 30-month expansion is expected to begin commercial production in late 2028, marking a significant investment in South Africa's mining sector.