Coega Steels opens R360m rolling mill in Nelson Mandela Bay

Coega Steels has inaugurated a new R360-million rolling mill at its facility in the Coega Special Economic Zone in Gqeberha. The project is part of a R500-million expansion aimed at increasing steel manufacturing capacity and reducing the Eastern Cape’s reliance on steel transported from other regions.

The mill, which has an annual production capacity of 150,000 tonnes, will produce finished products such as reinforced bars, angles, squares, round bars, and flat bars for the construction, engineering, and infrastructure sectors. By processing steel billets into finished products on-site, the company aims to lower costs and supply the local market and coastline directly.

The facility utilizes recycled scrap metal to produce what is termed ‘green steel,’ a process considered more environmentally friendly than traditional coal-fired smelting. To further reduce coal reliance, the company is expanding its renewable energy capacity, planning to add 19.8MWp of solar power by the end of 2027.

Currently undergoing production trials on 12-hour shifts, the mill is expected to transition to 24-hour operations in the coming weeks. The expansion is projected to create approximately 300 jobs, contributing to a total workforce increase from 750 to 900 direct employees over the next year.