- Mining company Anglo American said Kumba iron ore had approved its Kapstevel south project at its Kolomela mine in South Africa at a total cost of approximately R7bn.

The company said it had anticipated that the addition of the Kapstevel south pit would deliver an after-tax internal rate of return of about 25% and allow Kolomela to maintain an estimated earnings (EBITDA) margin of more than 35% in the long-term.

Pit establishment and waste stripping of the project would commence this year with first ore expected in 2024.

The company also provided a half-yearly update for Kumba, which generated a return on capital employed of 83%, up from 49% last year.

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