Vedanta Group's flagship company, Vedanta announced the doubling of its annual zinc production capacity to 500,000 tonnes at its South Africa zinc operations. This is through an investment of nearly US$ 600 Mn at Gamsberg (Phase II) at Vedanta Zinc International (VZI).
Gamsberg, in South Africa's Northern Cape province, has one of the world's most significant zinc deposits and VZI's flagship zinc mine. This expansion marks one of the largest mining investments in South Africa in this decade. The expansion further advances Vedanta's position as the world's largest zinc producer, with a vision of achieving 3 million tonnes of annual production across India and South Africa.
Of this, 2 million tonnes are targeted from its subsidiary, Hindustan Zinc, while Vedanta Zinc International business aims to contribute 1 million tonnes annually.
This expansion forms part of the ZAR 21 Bn (nearly US$ 1.5 Bn) investment commitment Vedanta made at the 2018 South Africa Investment Conference. At last month's 18th BRICS Summit in New Delhi, President Ramaphosa called for increased Indian investment in key South African industries. Vedanta's continued investment in the Northern Cape demonstrates the tangible value of this growing economic partnership.