Wedoany.com Report-Oct. 22, In the three months to September 30, production at South Africa’s Hillside Aluminium smelter in Richards Bay, KwaZulu-Natal, rose 1% to 181,000 tonnes as the plant continued testing its maximum technical capacity. South32, listed on the Johannesburg Stock Exchange, confirmed on October 21 that aluminium production guidance for the 2026 financial year (FY26) remains unchanged at 720,000 tonnes.

Hillside Aluminium in Richards Bay, KwaZulu-Natal.

Saleable manganese production fell 7% to 551,000 wet metric tons (wmt) in the September quarter due to underground development at the Wessels manganese mine in South Africa’s Northern Cape. FY26 South Africa manganese guidance remains at 2,000,000 wmt, with planned maintenance scheduled for the current quarter. Overall, manganese volumes increased 33%, contributing $36 million of the $117 million received from equity-accounted investments during the quarter, supporting cash generation for the December period.

Mozal Aluminium in Mozambique increased saleable production by 3% to 93,000 tonnes in the September 2025 quarter, operating near maximum technical capacity. In August 2025, the smelter paused pot relining due to uncertainties around electricity supply beyond March 2026. FY26 production guidance remains at 240,000 tonnes, assuming operations continue until the current electricity agreement expires. South32 is in discussions with the Mozambique government, Hidroeléctrica de Cahora Bassa, and South Africa’s Eskom to secure electricity, but supply beyond March is not yet guaranteed. The company noted: “Without the required electricity supply, we expect that Mozal will be placed on care and maintenance at the end of the current agreement.”

In August, South32 published its second climate change action plan, focusing on portfolio positioning for the energy transition, operational emissions reduction, and strengthening physical climate resilience.

Net cash declined $59 million to $64 million in the September 2025 quarter. CEO Graham Kerr stated: “Our financial position remains strong as we continued our investment in growth at Hermosa, supported by $117 million in net distributions from our Sierra Gorda and manganese equity-accounted investments during the quarter.” Sierra Gorda, an open-cast copper mine in northern Chile’s Antofagasta region, delivered a 12% increase in payable copper equivalent production due to higher planned copper grades and increased molybdenum volumes, generating $81 million in net distributions for the quarter.

Looking ahead, Kerr emphasized: “We remain focused on maintaining our operating momentum and capitalising on strengthening market conditions in base metals.” Overall, South32 continues to operate aluminium and manganese assets near technical capacity, monitor electricity supply risks at Mozal, and leverage equity-accounted investments to support growth and cash generation, while advancing its climate action initiatives.