Kalagadi quits Minerals Council SA over attack on Transnet bosses

Kalagadi Manganese, an explorer of the mineral that counts the Industrial Development Corporation as a shareholder, has quit its membership of the Minerals Council SA, saying it was not consulted by the industry body when it launched a scathing attack on the leadership of Transnet. 

In a letter dated January 31 2023, obtained by Business Day and addressed to Minerals Council SA president Nolitha Fakude, Kalagadi executive chair Daphne Mashile-Nkosi said the council was not speaking on the company’s behalf when it called for the removal of Portia Derby as Transnet CEO as well as that of Sizakele Mzimela, who leads Transnet’s freight rail division, in a letter to the board of Transnet.

“This call for the removal of the few female corporate leaders is more than just a misrepresentation of us as members but goes against the ethos for which we stand,” Mashile-Nkosi wrote.  “We are therefore left with no option but to reconsider our membership of the Minerals Council SA. We, therefore, terminate our membership of the Minerals Council SA with immediate effect and trust that you find this in order.”

The decision by Kalagadi to quit the council, which represents some of the biggest names in SA’s mining industry, is the strongest backlash yet against the body over the letter that detailed industry frustrations over Transnet’s inability to keep cargo flowing.

The council declined to comment on the contents of the letter but stressed that it acts with a mandate from its members.  

Its letter in December came as mining companies including Thungela Resources and Kumba Iron Ore count billions of rand in lost revenue stemming from inefficiencies at Transnet. The utility’s sprawling transport and supply chain infrastructure makes it a crucial player in the economy.