LINDANI Mthwa’s Siyanda Resources is one of a host of unlisted black-owned, highly entrepreneurial companies operating in South Africa. One thinks of Pius Mokgokong’s Sebenza Mining or Joe Madungandaba’s Community Investment Holdings, among others. We include Siyanda as 2018 should see the final approvals for the purchase of Anglo American Platinum’s (Amplats’) Union mine and MASA Chrome by Mthwa’s company – a deal first unveiled in February 2017. Mthwa started Siyanda in 2005 when it was worth R12m. The company is now worth between R1.4bn to R2bn by dint of some clever acquisitions, including the purchase of the Koornfontein coal mine from BHP Billiton in 2008. Mthwa has since specialised in coal after taking control of the Eloff coal mine, as well as Kangwane Anthracite. There have been scrapes and bruises: Mthwa locked horns with one-time partner, the late Sandi Majali over control of Siyanda Chrome. The courts eventually judged in Mthwa’s favour. In terms of the deal with Amplats, Siyanda will sell concentrate produced by Union mine for seven years at a pre-agreed price; thereafter, the concentrate will be sold on a toll-treatment basis. Unlike Amplats’ deal with Sibanye-Stillwater, however, Siyanda doesn’t get the benefit of Amplats’ stumping up any losses for a period, proving it doesn’t get any easier for a junior mining company – regardless of how long you’ve been in the business.
LIFE OF LINDANI
Mthwa began his career at AngloGold before moving to Anglo American Platinum where he managed Union mine, the operation he was later to buy. Mthwa has an MBA from Stellenbosch University and attended the University of Witwatersrand. He is also a member of the African Renaissance Fund, the Bakubung Fund and serves on the board of Kalagadi Manganese.
- Web Address: www.siyandaresources.co.za