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The announcement came alongside ARM’s interim financial results released on 6 March 2026, when the company disclosed that it will join other manganese producers in bidding for the concession expected to be issued by Transnet.

The project represents one of the most significant infrastructure initiatives currently under consideration in South Africa’s mining logistics chain and reflects a broader shift toward private-sector participation in rail and port infrastructure.

A consortium approach to a strategic export corridor

ARM will participate in the bid through its manganese business, Assmang, as part of a consortium of major South African producers. The group is expected to include leading manganese mining companies operating in the Northern Cape’s prolific Kalahari manganese field, which hosts the majority of the country’s reserves. South Africa is the world’s largest producer of manganese ore and holds roughly 70% of global resources, making export logistics a critical component of the industry’s competitiveness.

Most of the ore is exported to Asian steelmakers, particularly China, where manganese is an essential alloying element used in steel production. According to industry participants, the proposed Ngqura terminal is intended to handle around 16 Mtpa initially, with the potential to expand further as rail capacity improves. Transnet is expected to invite formal bids for the concession around April 2026, marking the next major milestone in the project’s development.

Why Ngqura matters

The Port of Ngqura is a modern deep-water port designed to accommodate large bulk carriers and support industrial activity linked to the nearby Coega Special Economic Zone. Industry planners say relocating manganese exports to Ngqura would enable both higher throughput and improved operational efficiency. The new terminal is also intended to consolidate manganese exports currently handled through multiple terminals in the Eastern Cape, improving economies of scale and vessel turnaround times. Crucially, the project forms part of the government’s strategy to restore the performance of South Africa’s rail-port logistics system.

Over the past several years, capacity constraints, infrastructure damage and operational inefficiencies have limited mineral exports across several commodities, including manganese. To address these challenges, Transnet has begun opening parts of its network to private investment. One logistics analyst described the initiative as “a test case for private sector participation in port infrastructure.” If successful, the model could be replicated across other mineral export corridors.

Industry perspectives

Mining executives say the project is essential if South Africa wants to fully capitalise on its dominant position in global manganese markets. A consortium of miners will bid for the new export facility, ARM said, highlighting the industry’s willingness to invest directly in critical infrastructure. According to analysts tracking the sector, improved logistics could unlock additional production capacity in the Northern Cape, where several new or expanded manganese projects are planned.

“Supply chain efficiency is critical in terms of the volume growth of this product from South Africa,” one logistics expert noted, emphasising the dependence of manganese exports on reliable rail-to-port connections. Industry observers say that without improved port capacity, miners risk losing market share to competing producers in Australia and Gabon.

Key dates in the project timeline

Several milestones will shape the project over the next few years:

April 2026: Transnet expected to invite formal bids for the Ngqura manganese terminal concession.
2026–2027: Evaluation of consortium proposals and concession award.
Late 2020s (expected): Construction and commissioning of the new export facility, depending on financing and regulatory approvals.

The terminal is expected to begin operations with an initial capacity of around 16 Mtpa, significantly higher than the throughput currently available at the aging Port Elizabeth facility.

Medium-term outlook

The Ngqura project sits at the intersection of several key trends shaping the global mining industry. First, manganese demand is expected to remain robust due to its role in steelmaking and emerging battery technologies. Second, the initiative reflects a growing recognition that mining companies may need to co-invest in logistics infrastructure to secure reliable export pathways.

Finally, the project could mark a turning point in South Africa’s efforts to revitalise its mining logistics network through public-private partnerships. If the consortium bid succeeds and construction proceeds on schedule, the Ngqura terminal could become one of the most important manganese export hubs in the world—potentially enabling South Africa to increase shipments and reinforce its position as the dominant supplier to global steel markets. For companies like ARM and its partners, the stakes are high: the success of the project could determine whether the country’s vast manganese resources translate into sustained export growth in the decade ahead.

In this exclusive Mining Indaba TV interview, Michelle Phillips, CEO of Transnet, shares how private sector partnerships are driving South Africa’s economic recovery.