Mozal Aluminium Production Rises 12% as South32 Eyes New Power Deal

Mozal Aluminium, operated by South32 in Mozambique, increased its production by 12% to 265,000 tonnes in the nine months to March 2025, up from 237,000 tonnes in the same period last year. Third-quarter output surged 23% to 87,000 tonnes, compared to 71,000 tonnes a year earlier. The Beluluane-based smelter’s annual production guidance remains unchanged at 350,000 tonnes for the fiscal year ending June 2025.

South32 CEO Graham Kerr described the production performance as “strong,” highlighting a six percent increase in aluminium output as Mozal managed the impacts of civil unrest and approached nameplate capacity during the quarter. The company attributed the recovery to the successful implementation of a recovery plan, which helped mitigate disruptions caused by political unrest in Mozambique in late 2024.

Operating conditions at Mozal improved during the March 2025 quarter, enabling the smelter to ramp up production. However, sales volumes dropped 18% in the quarter as the operation managed product availability following a temporary reduction in amperage to conserve raw material stocks. South32 expects to draw down inventory in the June 2025 quarter as conditions stabilize.

A key issue for Mozal is securing its future power supply. The smelter relies on hydroelectric power from the Cahora Bassa dam, supplied via South Africa’s Eskom, as there is no direct transmission line from the Zambezi Valley to Maputo. The current electricity contract expires in March 2026, and South32 is working with Eskom and the Mozambican government to extend the agreement. “We remain focused on finalising a new energy supply agreement during this fiscal year to enable the smelter to continue to operate and maintain its substantial contribution to the economy of Mozambique,” Kerr stated.

Mozal Aluminium is recognized for its lower emissions intensity compared to other South32 operations, benefiting from a cleaner energy matrix and playing a strategic role in the company’s decarbonization strategy. The smelter is a key contributor to Mozambique’s economy, exporting aluminium to various markets and supporting national income.