South African businessman leads takeover of one of Africa’s largest nickel-cobalt mining operations

Published: May 2, 2026 18:21

Save

Sandile Zungu, a South African businessman, is leading an investment consortium together with his firm Zungu Investments and former Glencore nickel trading executive Jason Kluk to acquire a 54.17% controlling stake held by Sumitomo Corporation in the Ambatovy nickel-cobalt project in Madagascar. Sumitomo has decided to exit the project after incurring cumulative losses of approximately $3 billion over the past 20 years and expects to record a one-off loss of about $445 million from the transaction, while retaining certain offtake rights. Sumitomo stated that it is confident the new shareholder structure, formed by Essenwood Partners and Zungu Investments, has the necessary technical and commercial expertise to operate the large-scale nickel-cobalt project profitably.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

Common.Time.minsAgo

POSCO Future M Joins DJBIC World Index, First in Korea’s Battery Materials Sector

POSCO Future M said on May 6 that it has been included in the Dow Jones Best-in-Class World Index, becoming the first Korean battery materials company to do so. DJBIC is a sustainability index published annually by S&P Global, evaluating companies based on financial performance and ESG standards. The inclusion places POSCO Future M among the top 10% of companies globally in ESG performance, signaling international recognition of its sustainability competitiveness.

Common.Time.minsAgo

POSCO Future M to Develop All-Solid-State Battery Cathode Materials for Japanese Automaker

POSCO Future M recently signed an exclusive development agreement with a Japanese automaker for cathode materials used in all-solid-state batteries, according to industry sources on May 5. Under the deal, POSCO Future M will exclusively develop and supply cathode materials for the automaker’s all-solid-state battery project. The partner is reportedly a mid-sized carmaker. This marks the first case in which a Japanese automaker has designated a Korean materials company as the sole supplier of cathode materials for all-solid-state batteries.

Common.Time.minsAgo

POSCO Holdings Secures Stake in Australian Lithium Mine with $765 million Investment

POSCO Holdings said on April 30 that it signed a lithium mine equity investment agreement worth around $765 million, or KRW 1.1 trillion, with Australian mining and mining services company Mineral Resources in Perth, Australia. The deal details POSCO Holdings’ Australian lithium mine investment plan announced in November last year. Under the agreement, POSCO Holdings and Mineral Resources will establish an intermediate holding company, in which POSCO Holdings will acquire a 30% stake.

Common.Time.minsAgo