A Spoornet study, to investigate a second iron-ore rail-line between Sishen and Coega, similar to the Sishen-Saldanha line, is underway.

Spoornet says there was a possibility for “some of the iron-ore and manganese ore from these and other mines to be beneficiated at Coega, should two manganese ferro-alloy smelters and various steel-related plants, all in a planning phase, pass financial muster”.

It said that despite the Sishen-Saldanha line being upgraded, government believed that there was scope for an additional line and that a Coega line is the logical solution. Further, as Coega was a new development, it was possible to tailor-make infrastructure for the export of iron-ore. However, the one possible difficulty could be the cost of further iron-ore wagons and locomotive which was very high.

Coega executive manager Eugene van Heeger said that the market for increased volumes of iron-ore from South Africa existed, particularly from China whose demand had grown year-on-year. The Port of Ngquara was closer to China and the time at sea could be cut by two and half days.

An further exit port would also help South Africa in growing these exports. Already Transnet had sanctioned further expansion on the Sishen-Saldanha rail which would grow its capacity to some 29 million tons of iron-ore a year by 2004/5 with the long term goal being to increase capacity to over 35 million tons of iron-ore a year by 2010.