South32’s Australia GEMCO mine resumes manganese output
South32’s Australia-based GEMCO mine has resumed manganese production and is on track to reach its target of 1 mt for financial year ending 30 June 2025.
South32 restarted production at the Groote Eylandt Mining Company’s (GEMCO) open-cut mine in the December quarter with saleable production of 639,000 t.
“We continued a substantial dewatering program which has enabled access to certain mining pits and a phased restart of mining activities,” South32 said in its latest quarterly report.
“Subject to further potential impacts from the wet season, export sales are expected to progressively increase over the June 2025 quarter.”
The world’s second largest manganese mine and supplier of half of the world’s high-grade supplies was forced to shut in March 2024 due to damage from Cyclone Megan. The return of GEMCO supplies will likely pressure already low global manganese prices.
In South Africa, South32’s manganese ore production dropped to 485,000 t in the three months ending 31 December, down 19% from the previous quarter, as the miner optimised its product mix amid weak market conditions.
“We reduced our use of higher cost trucking and undertook a temporary shut at our Wessels mine in the December 2024 quarter, in response to market conditions”, South32 said.
The company said while its FY25 production guidance for its South African operations remains unchanged at 2 mt, “we will continue to monitor and respond to market conditions.”
The average ore quality sold was 39.1% manganese content, slightly higher from 38.9% the previous quarter.
South32’s manganese business consists of a 60% stake in the Samancor manganese joint venture, which includes GEMCO and South Africa’s Mamatwan and Hotazel mines. Anglo American owns the remaining 40%.