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Vedanta Doubles Gamsberg Zinc Capacity With ₹5,757 Crore

South African President Cyril Ramaphosa inaugurated

's Gamsberg Phase II zinc concentrator plant in Aggeneys, Northern Cape, on Friday, October 16. The event was reported over the weekend The investment: About ZAR 10 billion (roughly ₹5,757 crore), making it one of South Africa’s largest mining investments of the past decade. The capacity: Annual ore-processing capacity doubles from 4 million to 8 million tonnes, and zinc-in-concentrate capacity rises to about 500,000 tonnes a year. That is meant to make Gamsberg one of the world’s largest zinc mines. Jobs: More than 1,500 people worked on construction, and 800-1,000 jobs are expected during operations. The ownership: Vedanta bought Gamsberg from Anglo American in 2011 and holds 69.6%. South African firm Exxaro holds 24.4% and an employee ownership scheme 6%. Ramaphosa opened Phase I in February 2019. The next step: Ramaphosa welcomed Vedanta’s plans to build zinc-smelting capacity in Northern Cape, which would let it move beyond selling raw concentrate. The risks: Operating in South Africa brings regulatory, social and operating challenges, and the return depends on holding production steady and on zinc demand.

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