JOHANNESBURG, April 29 – African Rainbow Minerals (ARM) has signed a conditional agreement to supply nickel to a smelter owned by Boliden, creating a potential pathway to restart the Nkomati mine in South Africa.
Under the proposed deal, nickel concentrate from the Nkomati operation would be shipped to Boliden’s Harjavalta smelter in Finland over a multi-year period. The agreement remains subject to approval by ARM’s board, while Boliden is expected to complete due diligence before finalizing the arrangement.
The Nkomati mine, which has been inactive since 2021, is South Africa’s only proven primary nickel resource. ARM took full ownership of the asset last year after acquiring the remaining 50% stake from MMC Norilsk Nickel.
Securing an offtake partner is a key step toward reviving operations, as it provides a guaranteed route to market for future production. ARM said the agreement strengthens the business case for restarting the mine by improving commercial certainty.
Boliden’s Harjavalta facility is the only large-scale nickel smelter in Europe, making it a strategic destination for processed material. The partnership highlights growing global demand for nickel, a critical input in battery production and clean energy technologies.
ARM was founded by Patrice Motsepe and remains one of Africa’s most diversified mining groups, with operations spanning coal, gold, manganese, iron ore, and platinum group metals.
While financial details of the agreement were not disclosed, the deal signals renewed momentum in South Africa’s mining sector and could help unlock further investment in critical minerals.
