$1.2-billion refinery for the West Coast. Saldanha Bay

One of four selected coastal areas in South Africa stands to be home to the world's first integrated pure metals refinery plant producing titanium, zirconium, magnesium and silicon, upon completion of the feasibility study.

Rare Metals Industry is a consortium made up of the multi-billion-rand National Empowerment Fund, the IDC, Magnesium and Metals (a US and Russian consortium) and TJTI, another locally-based company.

The consortium members have jointly invested about R40-million to conclude a pre-feasibility study.

Speaking at the launch of the project in Johannesburg yesterday, RMI's project chairman Donovan Chimhandamba said the $1.2-billion project would create 2800 skilled jobs during its construction phase and in excess of 5000 jobs once the plant becomes operational in 2014.

He said the potential locations for the plant include Saldanha Bay, East London, Port Elizabeth and Richards Bay.

"In addition, a much-needed skills transfer is likely to occur through our Russian partnership, further strengthening South African mining know-how and long-term sustainability," Chimhandamba said.

He said South Africa was best suited for the project as it possessed an "abundance" of mineral resources and because of its ranking as the world's second-largest producer of titanium slag after China.

Chimhandamba said titanium is difficult and expensive to produce, and would be useful in high-technology industries such as aero-space, nuclear and chemical processes. "It is envisaged that at full operational capacity, the plant will produce 50000 tons of magnesium, 15000 tons of titanium, 8000 tons of silicon and 2000 tons of zirconium annually, coupled with some derivative products.

"The other identified importance of the project to South Africa is that it will increase the country's export-earning potential as well as BBBEE participation at an early stage," he said.

Hilton Lazarus, IDC's head of chemical industries said his corporation supported the initiative "because of the strategic nature of beneficiating locally mined minerals as outlined in the National Industrial Policy Framework".

Source http://www.iol.co.za

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Saldanha Bay on South Africa’s west coast is the preferred site for titanium processing plant

Feb. 12 (Bloomberg) -- Rare Metals Industries Ltd., a venture with South African, Russian and U.S. investors, said it may list shares to fund a titanium processing plant costing as much as $1.5 billion.

“It could be an attractive option,” RMI’s Project Chairman, Donovan Chimhandamba, said by phone from Johannesburg today. Chimhandamba also works for the strategic project fund at South Africa’s National Empowerment Fund, one of the partners in the planned titanium project along with the country’s state lender, the Industrial Development Corp. Magnesium and Metals Ltd. and TJTI Ltd. are the other partners.

The plant would use Russian technology to produce titanium, zirconium, magnesium and other metals, Chimhandamba said. A local plant would allow South Africa to export processed metals rather than the raw metals currently shipped by companies including Rio Tinto Plc and Exxaro Resources Ltd., he said.

South Africa’s government is pushing companies to add value to commodities before they’re exported to boost income from the nation’s natural resources. Titanium prices are “exorbitantly high” at the moment as supplies are insufficient to meet demand, according to Chimhandamba.

The investors have committed 50 million rand ($6.5 million) to pay for a prefeasibility study that may be completed in six to eight months, while developing a funding model could take 18 to 36 months, Chimhandamba said. The preferred site for the project is near Saldanha Bay on South Africa’s west coast.

Titanium is increasingly being used in industries such as aerospace and defense because it is “as strong as steel and light as aluminum,” Chimhandamba said.

Source www.bloomberg.com

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21 Million Barrels of crude stored in Saldanha Bay

South Africa is expected to issue a tender offering up to 21 million barrels of crude storage located at its strategic fuel depot at Saldanha Bay in the second-quarter, industry sources said Thursday.

South Africa keeps some of its emergency oil reserves at the location, which also provides commercial storage tanks.

As global energy demand waned with the economic slowdown in 2007-2008, traders pumped tens of millions of barrels of oil into storage, hoping to sell them later at profit.

The trade play worked for many, as they cashed in on the rally in oil prices to a peak over $80 last year from a low of under $33 a barrel. The oil price structure in the market, when barrels for delivery in the future cost more than barrels for delivery soon and known as contango, encouraged the storage play.

The storage was likely to cost around 25 cents per barrel daily, in line with storage costs elsewhere, sources familiar with the terminal’s lease contracts said. That would imply a cost of around $5.25 million per day for the capacity that would be open for competition.

Existing lease holders included Mercuria and U.S.-based Masefield Group, who were recently acquired by European firm Arcadia Petroleum, trade sources said. Current tank holders would not be given preferential treatment once their contract expires, they said.

The crude storage facility at Saldanha Bay consists of six 7.5 million barrel concrete oil storage reservoirs.

Source www.businessday.co.za

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"the race to secure the tanks in the Western Coast would likely draw strong interest from Swiss-based trading firm Mercuria and international oil firms Royal Dutch Shell and the Hess Energy Trading Co, traders said."

Langebaan Downwind dash cancelled, and replaced by “No Ordinary Weekend” sponsored by Resolution.

R15,000 of cash to be won!

The Saldanha Beach Sailing club welcomes PKRA race director as part of the organising team for the up-coming “No Ordinary Weekend” sponsored by Resolution.

Join in the festivities starting at Lagoon Sports on Langebaan main beach this evening from 5pm.

Witness Marc Avella’s world record attempt for a long distance ski, starting from main beach Langebaan at 11H00 as well as parasailing demos for everyone.

Also, kiteboarders and windsurfers from around the county will battle it out ina mixture of slalom racing, long distance and extreme free style kiting from the pro’s.

Come to Club Mykonos Taverna on Saturday eve for a “Dash Thrash” with live entertainment from Nungarin and live on the decks, Ruben Len10 from the Netherlands. Family and friends welcome to join in the fish braai from 18H30.

Source www.gust.co.za

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Abalone House, Paternoster on the Cape West Coast.

Ian and Lise Manley have won the public relations accounts for the annual Riebeek Valley Olive Festival as well as Abalone House, a new five-star boutique guest house in Paternoster on the Cape West Coast.

The Manley’s will represent the Riebeek Valley Olive Festival for both 2010 and 2011. Now in its 10th year, the 2010 Riebeek Valley Olive Festival will be held from 30 April to 2 May. It is undisputedly the largest festival in South Africa devoted to the hallowed olive but is also an opportunity to sample wines, especially the Shiraz varietal from the many established estates as well as local farm produce found in the Riebeek Valley.

Located in the quaint fisherman village of Paternoster, Abalone House, opens this month and boasts 10 magnificent suites, designed around a tranquil, central courtyard. Eight of the rooms have sweeping sea views and many have intimate outdoor relaxation areas. There’s even a rooftop Jacuzzi, with a panoramic sea view, or cool off in the elegant swimming pool, surrounded by a colourful potted garden.

Manley Communications is a Perception Management Consultancy. Under the leadership of Ian and Lise Manley, the company represents luxury hotels, fine-dining restaurants and exclusive wine estates in South Africa.

Source www.travelwires.com

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West Coast Langebaan Lagoon Festival

Get to the West Coast for one of the wildest music festivals in the Cape. Friday’s awesome line-up of performers includes David Fourie, Wicus vd Merwe, Chereè, Wynand Strydom, Die Broers, Lianie May, Snotkop & Band, Watershed and Ray Dylan.

On Saturday Dewald Dippenaar, Anton Botha, Piet Plagiaat, DJ Ossewa, Arno Jordaan, Eden, Jakkie Louw, DR Victor & Rasta Rebels, Juanita, Kurt Darren and Bok van Blerk will be jamming into the early hours. On Sunday Dixie Hillbilly Trio, Freddie Nest, Sasha-lee Davids, Kalahari Orkes, Andries Botha & Nedine Blom, Emo Adams & Band, Bobby van Jaarsveld and Romanz take the stage.

How fast are you? Try your skills at the West Coast Lagoon Festival Kite Surfing Challenge, the Hobie Cat Speed Challenge or Kayak race. Apart from theses races and the array of popular musical acts, there will also be many other fun things on the go as well as lots of kids activities to look forward to.

Need to know? Venue: Club Mykonos Die Fees word aangebied vanaf 26 tot 28 Maart 2010 in Langebaan en benewens gewilde Musieksterre, word ook baie ander tydverdrywe en pret in die vooruitsig gestel!

Source www.africanow.co.za

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www.weskuslagoonfees.co.za

Exxaro aims to sell green power into national grid. Saldanha Bay

MINING group Exxaro was pursuing plans to generate up to 300MW of renewable energy and had already started installing the measuring equipment, a senior manager in the company said on Friday.

Mines depend on a reliable electricity supply in order to operate and expand but Eskom’s supply has been constrained since January 2008, when power rationing began.

However, it seems that Exxaro also has an eye on the opportunity to sell power back into the national grid.

Thomas Garner, growth manager for energy at Exxaro, said the company was installing measuring masts at its proposed 100MW wind farm at Brand- se-baai on the Cape west coast. Measuring equipment would be installed next month at Lephalale in Limpopo, where Exxaro is planning a 200MW concentrated solar power plant .

To assess the site’s suitability, measuring needs to be done over a 12- month period. Garner said Exxaro was also considering “quite a few” co- generation projects — where electricity is produced as a by-product of the industrial process — of which Namaqua Sands, near Saldanha Bay, was likely to come on stream first.

Exxaro is also one of the partners in the R1bn Tsitsikamma wind farm project, which is planned to produce 40MW by 2013, and signed a memorandum of understanding for th e project last year. That project is being developed with the Tsitsikamma Development Trust, Watt Energy and a group of Danish investors.

Garner said Exxaro planned to sell electricity into the national grid.

“We want to sell to the transmission system operator, which we expect will be split out of Eskom . There have been hold-ups with the policy and regulatory framework, but we expect this to be solved in due time .”

News source Business Day

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