Geology & Production
Tshipi is a shallow open-pit mine situated on a substantial and consistent ore body in the southern portion of the Kalahari Manganese Field (KMF), the world's most extensive manganese-bearing geological formation. The mine commenced operations in 2012 and has more than 100 years of mine life remaining, making it one of the longest production remaining manganese mines in the world.
In the financial year ending 30 June 2024, Tshipi achieved a production volume of 3.5 million tonnes and a record sales volume of 3.6 million tonnes, reaffirming its status as the largest single manganese mine in South Africa and among the top five global manganese exporters.
Tshipi is currently operating at a production run-rate of on average 3.4 million tonnes, with the with the flexibility to scale production in line with market demand. It is estimated to make Tshipi the largest single manganese mine in South Africa and is consistently rated as one of the 5 largest manganese exporters globally.
The mine produces both lumpy and fines manganese ore, with average grades of approximately 36.5% and 35.5%, respectively. The extensive, shallow resource base of Tshipi offers operational, safety, and cost advantages. Utilising a contractor-operator model, Tshipi maintains its position as one of the lowest-cost manganese exporters worldwide. Its robust infrastructure enables flexible scaling of production in response to market dynamics, ensuring strong cash margins.
The table below sets out the historical production and sales for Tshipi (100% basis).
| |
FY2020 |
FY2021 |
FY2022 |
FY2023 |
FY2024 |
| Sales (Mt) |
3.4 |
3.4 |
3.2 |
3.4 |
3.5 |
| Production (Mt) |
3.4 |
3.3 |
3.6 |
3.3 |
3.4 |
Production History
After breaking ground in October 2011, Tshipi mined its first manganese ore in October 2012, reaching steady-state production by March 2014.
Transport & Logistics
Tshipi's adaptable and scalable logistics framework enables prompt adjustment of export volumes in response to market conditions. The mine employs a combination of rail and road transport to deliver processed manganese ore to eight commercial ports across South Africa, making it the only manganese producer to do so. These ports include Port Elizabeth, Saldanha, Cape Town, East London, Durban, Richards Bay, Mossel Bay, and Ngqura, as well as Lüderitz in Namibia.
A notable infrastructure asset is Tshipi's privately constructed eight-kilometre rail siding loop, connecting the Transnet Freight Rail regional railway to the mine's rapid load terminal (RLT). The RLT can load a complete train in approximately four to six hours, significantly faster than the standard 12-hour Transnet contract terms, and has a loading capacity of 5 million tonnes per annum.
Sales & Marketing
Manganese is an essential and non-substitutable component in carbon steel production, primarily serving as an alloying agent to enhance steel's strength and flexibility.
Among its publicly listed peers, Tshipi stands out as the sole manganese producer offering full exposure to manganese mining. This positioning allows the company to maximise profitability during market upturns, while its operational structure ensures it remains predominantly cash flow positive throughout the manganese price cycle.
Recent financial results and reports can be found here
