SHTLF - 10 Top Manganese-producing Countries

Volatility in the manganese market has become an expected phenomenon in recent years, and 2020 was no different.

After a sharp decline in the manganese price in 2019, the COVID lockdowns of 2020 sent the manganese price soaring in May before crashing once again in the second half of the year.

Looking forward into 2021 and beyond, but the metal is strongly dependent on demand from China which requires large amounts of electrolytic manganese to produce steel for construction . Interest in battery applications for manganese could also be a positive force moving forward.

As the manganese market continues to develop, it’s useful to know where the metal comes from. Interestingly, almost 78 percent of global manganese mineral resources are found in South Africa, though many other countries are significant manganese producers with sizeable reserves.

What is manganese used for?

While the steel industry is the primary user of manganese metal, consuming it as an alloy in steel production to enhance the strength and workability of the key construction material, manganese is also mixed with aluminum to manufacture tin cans.

Manganese dioxide and manganese oxide are often used as cathode materials in the production of zinc -carbon and alkaline batteries. Additionally, after crude oil is refined, manganese may be used as an additive to help coat and protect a car’s engine.

And, as mentioned, one of the most promising uses of manganese is in the lithium -ion battery sector. The silvery metal is used to make a lithium- nickel -manganese- cobalt oxide, which is known to improve energy loading and lifespan.

Batteries using this mineral composition are in high demand from the electric vehicle sector and are already in use throughout the space.

Investor News Network has compile a brief overview of the 10 largest producers of manganese in 2019. All stats are taken from the US Geological Survey’s most recent report on the metal .

1. South Africa

Mine production: 5.5 million MT

South Africa is the world’s largest producer of manganese by a long shot, and in 2019 its output of the metal remained dropped .3 million metric tons (MT) from the previous year to total 5.5 million MT. The country also holds the largest reserves of manganese, at 260 million MT.

South32 (ASX: S32 ,LSE:S32,OTC Pink:SHTLF) is a major presence in the South African manganese space. The diversified miner also produces bauxite, alumina and thermal and metallurgical coal , as well as other in-demand minerals. South Africa Manganese, one of the company’s four operations in South Africa, is made up of Metalloys and Hotazel Manganese Mines. Notably, the Hotazel mine is located in the manganese-rich Kalahari Basin, which holds 80 percent of the world’s known manganese ore resources.

2. Australia

Mine production: 3.2 million MT

Australia’s manganese production decreased in 2019 to 3.2 million MT from 2018’s 3.48 million MT. Though South32 is a key producer in the South African manganese space, it also has an Australian manganese operation.

As the largest producer of manganese ore, South32 controls a 60 percent stake in the Northern Territory manganese mine, which the company operates through its subsidiary Groote Eylandt Mining Company (GEMCO). The open-cut manganese mine is one of the world’s lowest-cost manganese ore producers. Anglo American (LSE: AAL ) holds the other 40 percent interest in the project.

In addition to GEMCO, the miner operates Tasmanian Electro Metallurgical Company (TEMCO), as well as the TEMCO manganese alloy plant, which produces ferromanganese, used for steel manufacturing.

3. Gabon

Mine production: 2.4 million MT

Located on the central western coast of the African continent, Gabon was the third largest producer of manganese in 2019. The coastal nation produced 2.4 million MT of manganese, a slight increase from the previous year’s 2.33 million MT.

The Moanda mine is a key manganese operation in the country. ERAMET (EPA: ERA ,OTC Pink:ERMAY), the world’s second largest producer of high-grade manganese ore, operates the mine through its subsidiary COMILOG.

4. Ghana

Mine production: 1.4 million MT

Ghana’s 2019 manganese output weighed in at 1.4 million MT, up slightly from the 1.36 million MT it put out in 2019. Most manganese in the country is mined in the western region in an area around the city of Takoradi.

Consolidated Minerals, better known as Consmin, a subsideairy of Ningxia Tianyuan Manganese Industry (TMI), is one of the four largest producers of manganese in the world by volume and holds a 90 percent stake in Ghana Manganese Company , which runs the Nsuta mine. Owned by, the . manganese ore was traditionally destined for the electrolytic manganese metal (EMM) market, much of it as captive supply for TMI’s China-based operations, the world’s largest manganese metal producer.

5. China

Mine production: 1.3 million MT

China was the fifth largest producer of manganese in 2019, recording output of 1.3 million MT; a slim uptick from the 1.2 million MT it produced in 2018.

As mentioned, not only is the country a player in manganese ore production, but it is also a major consumer of manganese as it uses large amounts of the metal in steelmaking. A manganese reserve containing 708 million tonnes of manganese ore was discovered in the Guizhou province in 2017, the biggest deposit in Asia. With the addition of the massive discovery, China’s total national reserve levels are 54 million MT — the sixth largest global reserve.

6. Brazil

Mine production: 1.2 million MT

Brazil produced 1.2 million MT of manganese in 2019, slightly down from its output of 1.31 million MT in 2018. Major miner Vale (NYSE: VALE ) is the largest manganese miner in the country and accounts for a whopping 70 percent of its market. According to the company , 80 percent of its manganese comes from the Azul mine.

Like China, Brazil is a consumer of manganese in addition to being a top producer of the metal. An infographic from Visual Capitalist suggests that in the future, much of the manganese that Brazil uses could to go the agricultural sector. The country is a major supplier of agricultural products, but the land it uses to produce those products is low in manganese. As a result, the country’s demand for manganese is expected to grow in coming years as farmers look to improve crop health.

7. India

Mine production: 1 million MT

In 2019, India was the seventh largest producer of manganese. The country produced 1 million MT of the metal, up slightly from 2018’s 961,000 MT.

As with China and Brazil, India is one of the leaders in manganese consumption as well as one of the top producers in the world. A vast majority of India’s manganese goes to the production of steel, for which manganese is a crucial alloy.

Unfortunately, that could pose problems for India in the years to come — according to the Indian Ministry of Mines, the country is facing a shortage of manganese for steel production. The organization’s report , “Manganese Ore: Vision 2020 and Beyond,” outlines the need for increased exploration and production to support growing domestic manganese demand.

8. Ukraine

Mine production: 540,000 MT

Ukraine takes the spot of eighth largest producer of manganese. The country outputted 540,000 MT of manganese in 2019, a small increase from 2018’s numbers of 517,000 MT. Like some of the other countries on the list, Ukraine is also a major importer of manganese products, specifically ore.

The country is tied with Brazil for the second largest reserves of manganese ore in the world, at 140 million MT. The country’s Nikopol basin holds about a third of the explored reserves. Ukraine also has significant iron ore, coal and titanium deposits.

According to SteelOrbis , in the first half of 2020 the nation imported 247,200 tonnes of manganese ore valued at US$32 million. Of that, 80.37 percent came from Ghana, 12.61 percent came from neighboring Russia and South Africa exported 6.9 percent to the country.

9. Malaysia

Mine production: 420,000 MT

Malaysia put out 420,000 MT of manganese in 2019, a small increase from the previous year. Roskill notes that, over the past decade, Malaysia has gone from producing almost no manganese to annual output of over 200,000 MT. Malaysia’s manganese is located in the states of Johor, Kelantan, Pahang and Terengganu.

10. Cote d’Ivoire

Mine production: 400,000 MT

Last on our list is Cote d’Ivoire, the 10th largest producer of manganese. The West African nation put out 400,000 MT of manganese in 2019; that’s up a hair from 395,000 MT the year prior.

Cote d’Ivoire manganese exports make their way to steel producing giant China.

Potential manganese deposits

There are a number of mining companies interested in the developing manganese resources, and others working in exploration to target new deposits. Mining for manganese is one way to recover the metal, and scouring the seafloor is another way to source this valuable construction and battery metal.

According to the World Ocean Review, manganese nodules cover thousands of square kilometers on the ocean floor. The metal-bearing nodules are primarily composed of manganese; however, they also contain nickel, cobalt and copper , making them a potentially lucrative diversified mineral resource.

Now that you’ve read about the largest producers of manganese, what else would you like to know? Here are some related articles to peruse:

• Investing in the Manganese Industry
• 5 Key Manganese Properties
• Manganese Uses: An Overview

Don’t forget to follow us @INN_Resource for real-time news updates!

Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.