While the name of the mine may be unpronounceable, its latest findings can power a country. Found in the Western Cape in South Africa is Steenkampstraal, a place set to ensure global energy security. This barely spoken about mineral mine has the richest concentration of rare earth elements (REEs). There is an estimated 800,000 tonnes lying at the bottom of the ore reserves in the mine. This mine could lead to a change in the global rare earths supply chain as well.
Where Steenkampstraal fits into the world economy?
Steenkampskraal Monazite Mine (SMM) is situated 71 km north of Vanrhynsdorp in South Africa’s Western Cape province. This mine is rich in rare earth oxides, and this fact may make the mine a point of interest beyond national borders.
At roughly 799,700 tonnes of ore with a grade of 8.68% of total rare earth oxides (TREO), Vanrhynsdorp is gaining much attention. Such minerals found are essential in neodymium, praseodymium, dysprosium, and terbium, which can be used for electric vehicle production.
When it comes to rare earths, China dominates much of the rare earth supply, assisting with mining and processing capacities worldwide. With this rare earth supply found in the Western Cape, the dependence on China’s rare earth supply can be reduced. The output found at Steenkampstraal could mean supply diversification.
The mine production plan that has been outlined
According to Steenkampskraal Holdings Ltd. (SHL) and its subsidiary, a six-phase production plan is on the cards so that an integrated rare earths value chain can be built. The six phases include:
- Phase 1, which consists of a monazite construction plant, producing high-grade monazite that has more than 50% TREO.
- Phase 2 has plans to produce cerium and lanthanum, and rare earth carbonate, enhancing the quality of the remaining material.
- Phase 3 entails implementing magneto-electrochemical separation processes to separate minerals.
- Phase 4 will ensure that the fluorination process converts separated rare earth compounds into rare earth fluorides.
- Phase 5 will mean metallisation, where rare earths will be converted into metals.
- Phase 6 will see the production of end products that will ensure that South Africa can reap the most value from the resources.
This production plan is rather rare in the global mining sector, but it captures the technical expertise of this strategy.
What else will the Steenkampstraal mine yield?
Aside from offering South Africa rare earth minerals, this mining development offers rather valuable byproducts. Certain byproducts, like thorium, can be used for nuclear fuel alternatives. After receiving regulatory approvals and funding support, it is clear that the project can have positive economic value. Other economic benefits are job creation and further skills development in the country.
With China’s mine holding $200 billion and 470,000 tons, analysts say this will mean the endgame for U.S. rare earths. While it does seem like the endgame for the U.S., no one predicted that rare earth elements would be found in the Western Cape province in South Africa as well.
Building South Africa’s asset future in the Western Cape
With the mine producing 2,700 tonnes of rare earth oxides yearly, Steenkampstraal is essential for the green energy transition. While the mine’s name may not be easy to pronounce, it is a name that will be remembered by all for years to come. The mine will surely empower South African nations as well as nations around the world.
With the mine’s shallow geology yielding small mining volumes, the endeavor is set to yield high values. With President Trump wanting to get his hands on the metals under the ocean, we can only imagine what South Africa’s findings may mean for the U.S. and the rest of the world. Only time will tell whether this rare earth finding will see South Africa earning a more noteworthy spot on the global maps.