ANGLO American and Glencore are working with the South African government on $1.5bn water scheme that will supply platinum and chrome operations as well as people in nearby communities, said Bloomberg News.
The miners are among a group of companies aiming to secure half of the capital amount by the end of the year, said the newswire. The balance of the funds will be sourced by municipalities and the government.
Lebalelo Water Users Association is in talks with about 10 local and international banks for funding, Bertus Bierman, its CEO told Bloomberg. The project stretches for about 170km across Limpopo province and is expected to be completed by 2030.
The plan is unprecedented in South Africa where almost all water infrastructure has been led by the state, said Bloomberg News.
“This could get a new model into South Africa where government is acting as the regulator and the private entities in partnerships with governmental institutions do more of the work on the ground,” Bierman told Bloomberg News. “We would like to get construction started early next year.”
Lebalelo plans to build 400km of pipelines and will supply 250 million litres of water a day, about a third of the consumption of Cape Town, which has more than four million inhabitants, said the newswire.
