【Glencore Reassesses South African Coal Growth Projects as Rail Capacity Recovers】

Glencore said it is reassessing coal growth projects in South Africa that had previously been slowed by persistent logistics constraints, as Transnet Freight Rail continues to improve coal transportation capacity. Coal exports through Richards Bay Coal Terminal recovered from 47.21 million tonnes in 2023 to 57.66 million tonnes in 2025, while shipments reached around 30 million tonnes in the first half of 2026. Full-year exports could rise to 60–62 million tonnes, with Glencore expecting rail coal capacity to recover toward approximately 70 million tonnes per year over the next four to five years.

The company said improvements in rail infrastructure and the addition of 105 Class 23E locomotives have eased transportation bottlenecks. With Asian energy tightness supporting thermal coal prices, better rail performance is improving the economics of potential South African coal expansion. However, Glencore has not yet formally approved the projects, and no additional production volumes or start-up timelines have been disclosed. If continued rail improvements lead Glencore and other South African producers to restart expansion plans, seaborne thermal coal supply from South Africa could increase over the medium term, potentially adding supply-side pressure to international thermal coal prices.