Opening of the Sasol Destoning Plant   

13 March 2026

 

Programme Director, Kwezi Mthembu

Premier of the Mpumalanga Province, Mr Mandla Ndlovu

CEO of Sasol, Mr Simon Baloyi

Distinguished Guests

 

It is a pleasure to join you today for the opening of this important plant.

To us, this occasion represents confidence in South Africa’s mining and energy future, and it demonstrates the kind of investment that strengthens our industrial capacity while supporting economic growth and job creation.

On that note, allow me to congratulate Sasol for reaching this important milestone.

This is significant because it speaks directly to our long-standing mission of adding value to the minerals mined on our shores, closer to the point of production.

Your decision to upgrade an export plant into a modern destoning facility demonstrates that you are serious about transforming your business in a way that delivers sustainable value for both Sasol and South Africa as a whole.

This is crucial because, for decades, the mining industry has often been described through the “five Ds”: dirty, difficult, dangerous, diseased, and deadly. It has also been characterised by holes left in the ground while much of the mineral wealth was exported for beneficiation elsewhere, thus exporting jobs and profits that should have benefited the people of South Africa.  

This is the legacy that we have been working to reverse over the past 30 years.  

Whereas we have made notable progress in addressing this historical injustice since the enactment of the Mineral and Petroleum Resources Development Act (MPRDA), much more still needs to be done to transform the industry.  

Investments of this nature and magnitude give us confidence that, with commitment and dedication, we can indeed transform the South African mining sector into an industry that we can all be proud of.

What is particularly fulfilling for me about this project is that it gives renewed life to a mineral that is often criticised by many, yet it continues to play a critical role in our economy, job creation, and energy security - and that mineral is coal.

Our country has been actively engaged in coal mining since the late 1860s. Over the decades, coal has played a central role in meeting the country’s energy needs, including supporting steel production, petrochemicals, cement manufacturing, and brick production.

As production expanded over the years, coal became the backbone of Eskom’s fleet of coal-fired power stations, thereby providing energy baseload required to support the country’s industrial development.  

Today, South Africa produces the largest amount of coal in Africa and ranks among the top 10 coal-producing countries in the world. With coal reserves estimated to be equivalent to 173 times our annual consumption, South Africa has the capacity, at current production levels, to continue producing coal for the next 150 years and beyond. 

Despite this rich history and natural endowment, we are often told to abandon coal for alternatives that we have not yet proved their resilience and effectiveness for our developmental context. We are told to choose ecology, over the economy. Yet these two are mutually reinforcing. 

Our Critical Minerals Strategy recognises that coal remains critical because it continues to create employment for thousands of people and sustains the livelihoods of millions of South Africans. It also makes a significant contribution to the national economy through both domestic use and exports.  

It is for this reason that we continue to invest in the future of cleaner coal utilisation in South Africa, including initiatives such as Carbon Capture, Utilisation and Storage (CCUS). We, therefore, welcome Sasol’s continued support and investment in this regard.  

Your investment in this destoning plant gives further momentum to our aspirations.

The fact remains that coal will continue to play a significant role in the global economy. It remains the largest component of installed generation capacity and provides a substantial share of baseload energy generated in many countries, including China, India, Japan, and South Africa. 

For Sasol, coal plays an even greater strategic role in your business model. Continued investment in this resource is, therefore, essential for the sustainability of your operations.

The ongoing tensions in the Middle East serve as a powerful reminder of the importance of energy independence and diversified feedstocks in the production of petrochemicals.

Projects such as this destoning plant demonstrate that industrialisation, beneficiation, and responsible resource utilisation remain central to South Africa’s economic future.

They remind us that the minerals beneath our soil must not only be extracted for the benefit of investors, but they must also be used to build industries, create jobs, and improve the lives of our people.

Let us, therefore, continue working together – government, business, labour, and communities – to ensure that South Africa’s mineral wealth becomes a foundation for inclusive growth, energy security, and long-term prosperity.

Allow me to conclude by wishing you continued success as you invest in the future of your business and our country.  

I thank you.