South African steelmaker Coega Steels has inaugurated a 150,000 mt/year rolling mill in the Coega Special Economic Zone in Gqeberha as part of a R500 million investment programme, according to local media reports.
Opened on October 20, the facility represents R360 million of the investment, with the remainder covering additional refining processes at the existing melting facility, bringing total investment at the site to R1.5 billion.
Integrated production to strengthen regional supply
The mill will process scrap-based billets into rebar, angles, square and round bars, and flat bars for construction, manufacturing and infrastructure applications. It will enable Coega Steels to supply finished products directly to regional markets, reducing transport costs associated with sending billets elsewhere for processing.
Production trials are underway on 12-hour shifts, with round-the-clock operations planned in the coming weeks.
Renewable energy investments target lower emissions
Director Amit Saini said the company generates approximately 800 kg of carbon dioxide per mt of steel, with purchased electricity accounting for around 80 percent of reported emissions.
Coega Steels plans to add 19.8 MWp of solar capacity by the end of 2027 to its existing approximately 8 MWp, while a newly installed 50 MWh battery storage system is scheduled to become operational by the end of October 2026.
Expansion supports jobs and market access
The project is expected to create approximately 300 direct and 300 indirect jobs while helping safeguard 750 existing positions. Despite pressure from low-priced imports, electricity costs and logistical constraints, the company sees its proximity to the Port of Ngqura as an advantage in serving domestic and export markets.
