South Africa is home to the world's largest manganese reserves, yet only 2% of the manganese ore produced in the country is locally processed. The Manganese Metal Company, located in Mbombela, South Africa, is working to change this by producing high-grade electrolytic manganese metal (EMM), a critical alloy component in steel production.
The company receives 80,000 metric tons of manganese ore annually and plans to build a $25 million commercial processing plant by the end of 2026. This expansion is driven by the growing demand for refined manganese, particularly in the production of lithium-ion batteries for electric vehicles (EVs).
The International Energy Agency found that the demand for automotive lithium-ion batteries increased 65% in 2022, with the chemistry combination of lithium, nickel, manganese, and cobalt oxide (NMC) supplying 60% of the market share. Manganese provides thermal stability to the battery, making it a critical component.
However, creating these batteries is challenging, and manufacturers require high-purity manganese sulfate. Currently, 90% of these chemicals are processed in China, but there is a growing push to build chemical processing facilities in other parts of the world.
South Africa has the potential to become a leader in high-purity manganese sulfate production, but issues with the electricity sector and increasing electricity prices have made it difficult to produce manganese chemicals and alloys. Additionally, the country has been slow to open manganese chemical processing facilities due to a lack of local customers.
Despite these obstacles, the Manganese Metal Company is pushing forward with its expansion plans. The company's CEO, Louis Nel, is optimistic that the new plant will be completed within 18 months and will generate "huge job creation opportunities, as well as economic growth."
The manganese industry already employs over 20,000 South Africans, and the demand for manganese is expected to grow as the world transitions to greener energy. Manganese is essential for producing solar panels, wind turbines, and treating wastewater, making it a critical component of the green economy.
In conclusion, South Africa's manganese reserves present a significant opportunity for the country to become a leader in the production of high-purity manganese sulfate. While challenges persist, companies like the Manganese Metal Company are driving progress and capitalizing on the growing demand for this critical mineral.
No comments:
Post a Comment