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Annual Report 2005
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kumba
   
GROUP PROFILE
   
 
 
    Iron ore – the Sishen and Thabazimbi mines produced some 31Mtpa of lumpy and fine iron ore, of which 22Mtpa was exported. Sishen is one of the largest single open-pit mines in the world, known for its high grade and consistent product quality. The 861km rail system that links Sishen to the dedicated deepwater port and bulk-loading facility at Saldanha Bay is one of the most efficient in the world and has advanced logistical systems for handling and loading iron ore.
   
 
 
Coal – collectively, Grootegeluk, Leeuwpan and Tshikondeni mines produce 20Mtpa of thermal, metallurgical and coking coal, most of which (thermal) is consumed by the national power utility, Eskom. Grootegeluk is one of the lowest-cost and most efficient mining operations in the world. The mine also operates the world’s largest coal beneficiation complex.    
   
 
 
    Heavy minerals – Kumba’s wholly-owned subsidiary Ticor in Australia produces 111kt of synthetic rutile, 35kt of zircon and 53kt of pigment attributable to Ticor in a joint venture with Tronox Inc. The Ticor SA heavy minerals operation near Empangeni in KwaZulu-Natal uses innovative techniques in this highly-specialised industry to make Kumba one of the three largest heavy mineral producers globally. The smelter complex at Empangeni, comprising two furnaces, can produce 250kt of slag and 140kt of low-manganese pig iron per year at full production.
   
 
  
Base metals – the Rosh Pinah lead/zinc mine in southern Namibia and Zincor refinery in Gauteng are one of the few integrated zinc mining and refinery operations in the world. The Zincor electrolytic refinery is also one of the lowest-cost producers of zinc metal in the global market place. In addition to South Africa and Namibia, this division also has an interest in the Chifeng zinc smelter in China.    
   
 
  
    Industrial minerals – a dedicated plant in Pretoria manufactures high-quality atomised ferrosilicon which plays a strategic role in the beneficiation process of iron ore. The Glen Douglas dolomite quarry in Gauteng provides a range of products to steelworks and other consumers. The Bridgetown mine joint venture in the Western Cape produces dolomite for domestic consumption.
   
  Note: Products pictured, from top: iron ore, coal, zircon, zinc ingots and dolomite.
 
Sales for
          12 months to  
           December 2005  
  Operations Regional location Ownership Products ’000 tonnes % export
Iron ore Sishen Northern Cape Division of Sishen Iron Ore Lump ore 17 608 72
  mine   Company (Pty) Limited Fine ore 11 149 84
  Thabazimbi Limpopo Division of Sishen Iron Ore Lump ore 1 198  
  mine   Company (Pty) Limited Fine ore 1 331  
Coal Grootegeluk Limpopo Division of Kumba Coal Thermal coal (Eskom) 14 163  
  mine   (Pty) Limited Semi-soft coking coal 1 883 33
        Metallurgical coal 1 586 10
  Leeuwpan Mpumalanga Division of Kumba Coal Metallurgical coal (other) 1 420 22
  mine   (Pty) Limited Thermal coal (Eskom) 540  
  Tshikondeni Limpopo Division of Kumba Coal Coking coal 394  
  mine   (Pty) Limited      
Heavy Ticor KwaZulu-Natal Kumba Resources Limited Zircon 47 92
minerals South Africa   (100%) Rutile 18 100
        Ilmenite 60 100
        Chloride slag 150 100
        Sulphate slag 41 100
        Low manganese    
        pig iron (LMPI) 79 100
  Ticor Pty Australia Indirect investment by Zircon 36 100
  Limited 1   Kumba Resources Limited Rutile 18 100
      (100%) Ilmenite 13 100
        Synthetic rutile 59 100
        Leucoxene 14 100
Base metals Zincor Gauteng Division of Kumba Base Zinc metal 104 12
  refinery   Metals Limited Sulphuric acid 139 5
  Rosh Pinah Namibia Subsidiary of Kumba Zinc concentrate 119 100
  mine   Base Metals International      
      (BV) (89,5%) Lead concentrate 35 100
  Chifeng China Associate (30,62%) Zinc metal 15  
  refinery 2     Sulphuric acid 8  
Industrial Glen Douglas Gauteng Subsidiary of Kumba Metallurgical dolomite 691  
minerals mine   Resources Limited Aggregate 668  
        Lime 22  
  Kumba Gauteng Subsidiary of Kumba Atomised ferrosilicon 6  
  FerroAlloys   Resources Limited      
  Bridgetown Western Cape Unincorporated joint venture Metallurgical dolomite 172  
  dolomite   of Kumba Resources Limited    
  mine joint          
  venture          
   
 
1. Sales tonnes disclosed reflect Ticor Pty Limited’s 50% interest in the Tiwest joint venture.
2. Sales tonnes disclosed represent the effective interest in the physical information of the Chifeng (Hongye) refinery.
   
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