Nedbank Corporate and Investment Banking has approved a $700 million loan to support Ivanhoe Mines' expansion of the platinum group metals (PGM) project in South Africa.
The funding will support the construction of a phase two concentrator at Platreef, a 3.3 million tonne per annum processing facility, with development starting in April 2026.
The transaction comes as South Africa looks to raise R2 trillion over the next five years to unlock its significant mineral potential.
Nedbank's financing highlights the growing role of South Africa's banking sector in bridging the capital gap needed to develop large-scale mining projects. This is increasingly important as the country seeks to unlock an estimated R40 trillion iron ore potential while maintaining its position as the world's largest PGM, chrome and manganese producer.
For Africa, the transaction highlights how the region can leverage its domestic capital pool, with non-bank institutional funding sources across Africa now exceeding $2 trillion. Combined with commercial banking and international investment flows, these capital bases could play a central role in unlocking the continent's $8.5 trillion worth of untapped mineral resources while reducing reliance on external funding sources.
Innovation of financing mechanisms will be important as an increasing number of mining jurisdictions look for new capital to finance mining value chain projects. For example, the Democratic Republic of Congo is financing to unlock an estimated $24 trillion in mineral resources, while Zimbabwe is looking to raise $950 million to increase production across gold, lithium, platinum and chrome assets.
Against this backdrop, Africa's mining investment outlook and comprehensive financing strategies will be the main focus of African Mining Week (AMW) 2026 – the most influential mining conference in Africa – taking place in Cape Town from 14-16 October. The event will convene global financiers, central banks, sovereign wealth funds, mining companies and development institutions to explore mechanisms to unlock capital in Africa's mining sector.
Distributed by APO Group on behalf of Energy Capital & Power.