Richards Bay Minerals
| Company type | Private |
|---|---|
| Industry | Mining |
| Founded | 1976 |
| Headquarters | Richards Bay , South Africa |
Area served | South Africa |
Key people | (General manager of Richards Bay operations mentioned, name not specified) |
| Products | Titanium dioxide slag, rutile, pig iron, zircon |
| Owner | Rio Tinto (74%), Blue Horizon Investments (24%), Employees (2%) |
Number of employees | 5000 (2024) |
Richards Bay Minerals (RBM) is a mining enterprise based in South Africa that focuses on producing titanium dioxide-related products. Its primary product is titanium dioxide slag with a purity of 85%, complemented by higher-grade 95% titanium dioxide rutile, pig iron, and zircon.
History
RBM was founded in 1976 to mine heavy mineral sands located in northern KwaZulu-Natal. The company has faced notable operational difficulties and social unrest. From 2015 through 2018, RBM suspended payments to the trustees of Blue Horizons Investments due to concerns regarding community benefits, which subsequently triggered armed conflicts. In May 2021, the general manager of RBM’s Richards Bay operations was fatally attacked. Later in the same year, RBM resolved its outstanding financial obligations with Blue Horizons Investments but initiated legal proceedings in 2022, accusing the trust of governance failures.
In April 2019, Rio Tinto announced an investment of $463 million (equivalent to 6.5 billion South African rand) for the Zulti South project near Richards Bay. This funding is intended to maintain production levels and prolong the mine’s operational lifespan. The Zulti South project will leverage RBM’s current infrastructure, including pipelines, mineral separation plants, and smelting units. Construction commenced in mid-2019, with commercial operations expected to start by late 2021.
Activities
RBM’s principal mining activities are situated just north of Richards Bay within a mineral-rich sand dune area measuring approximately 2 kilometers by 17 kilometers, known as the Zulti North mine lease. Mining operations in this area are projected to continue until 2030. The company employs dredge mining techniques to extract titanium-iron ore ilmenite as well as rutile and zircon minerals. These raw materials undergo onsite processing involving sorting and refining to produce commercial-grade products.
Ownership of RBM is predominantly held by Rio Tinto, which possesses a 74% stake. The remaining shares are divided between Blue Horizon Investments—a Black Economic Empowerment trust representing the Dube, Sokhulu, Mbonambi, and Mkhwanazi communities—with a 24% interest, and permanent employees holding 2%. Rio Tinto acquired BHP Billiton’s former 37% shareholding in February 2012. Over a span of fifteen years, the tribal beneficiaries have received R530 million from RBM.
As of 2024, RBM is the largest contributor to tax revenue in KwaZulu-Natal and employs around 5,000 individuals.