Bingelela Alloy constructs new aluminium hub in Richards Bay strengthening South Africa’s value chain

Bingelela Alloy recently inaugurated a new aluminium hub in Richards Bay that will streamline molten aluminium from the nearby Hillside smelter. The launch was attended by deputy minister of trade, industry, and competition Nomalungelo Gina and Umhlathuze mayor Xolani Ngwezi. They recognized the hub's potential to boost the local and national economy while creating job opportunities.

Deputy minister Gina acknowledged South Africa's engagement with the EU's Carbon Border Adjustment Mechanism. The mechanism aims to cut emissions by 55% by 2030 by targeting emissions-intensive sectors. She emphasized the challenges that come with the stringent EU measures and highlighted the need for international support to promote local green initiatives.

A South African Aluminium Roadmap report commissioned by the DTIC and AFSA described Hillside smelter's sustainable practices as a "game changer" for downstream value-added products. The CEO of AFSA, Muzi Manzi, emphasized collaboration in the launch, which involved stakeholders like South32, Hulamin, and government bodies, leading to a new roadmap phase.

Bingelela Alloys is a 100% black-owned entity affiliated with Isizinda Aluminium, led by Bingelela Capital. The company stemmed from the acquisition of Bayside Casthouse from BHP Billiton (now South32). The roadmap highlights recycling aluminium scrap metal for the value chain. Industry support for the DTIC's efforts has led to scrap processing firms generating over 400 jobs. AFSA plans to update the roadmap to acknowledge achievements and outline future strategies.

Manzi called on the Government and partners like Richards Bay Industrial Development Zone to sustain support for productive sectors. AFSA commits to fostering manufacturing projects like Bingelela Alloys, contributing significantly to job creation.

Hillside Aluminium's Vice President of Operations, Calvin Mkhabela, highlighted Hillside's support for Bingelela's goals and commitment to collaborating with stakeholders for Richards Bay's downstream aluminium hub. The smelter contributed 18.4% to the local GDP, generating R33.9bn in revenue (0.7% of SA's GDP). Hillside sustained 7,000 direct jobs, 28,900 indirect jobs, and 55,700 dependents, investing R200m in this financial year for local skills, economic development, education, and healthcare.

Bingelela Alloys' Chairman, Sipho Zikode, expressed his excitement about the launch and the company's commitment to youth employment. He said Bingelela Alloys supplied the automotive sector and employed 26 young professionals and plans to expand further.

Bingelela Alloys' CEO, Sizwe Khumalo, expressed gratitude to South32 and Hulamin for their partnership and trust in the company's vision. He also thanked the automotive sector and OEMs for their cooperation and innovation. The launch marked a new era of growth, innovation, and collaboration for Bingelela Alloys. The company's dedication to economic progress and social betterment resonated in Richards Bay and beyond, and with a strategic vision and solid foundation, Bingelela Alloys was poised to shape South Africa's aluminium industry future.