Johannesburg – Manngwe Mining says it is pursuing urgent action before the Competition Tribunal following what it describes as a concerted campaign to force the company into surrendering its business for a nominal amount.
The 100% historically disadvantaged South African (HDSA)-owned mining enterprise, which developed the Assen Iron Ore Mine from greenfield to production, has also moved to correct several false and damaging claims circulating in recent media coverage.
For more than a decade, Manngwe Mining has operated as a legitimate, community-rooted mining business, generating over R1.7 billion in cumulative revenue and employing 260 workers from rural communities in the North West province.
Its mine has been independently valued at R606 million, yet the company reveals that it is now facing an orchestrated attempt to strip it of its assets through coercive commercial conduct and a parallel smear campaign targeting its leadership.
Abusing market power
At the centre of this dispute is the conduct of South Africa’s sole integrated steel producer, ArcelorMittal South Africa (AMSA), whose position as the only domestic purchaser of iron ore places it in a 100% monopsony.
Manngwe Mining maintains that this dominant buyer has abused its market power by conditioning continued trade on the transfer of the Assen Mine – valued at more than half a billion rand – for R1.00.
Manngwe Mining said that when it refused to accede to these terms, the company’s iron ore purchases were abruptly terminated without the contractually required notice period, instantly eliminating Manngwe’s only revenue stream.
This sudden cessation of purchases has had severe consequences; operations at the Assen Mine have been halted, suppliers and creditors have been placed under strain, and the livelihoods of 260 workers have been left in jeopardy
Manngwe Mining stated, however, that the media narrative suggesting employees have gone unpaid was “entirely false”.
“In fact, Chairman and Founder Matodzi Nesongozwi has personally borrowed funds to ensure that workers continue to receive their wages, despite the company’s revenue being cut off without warning,” the company said.
Issues of shareholding
The company also said it wished to correct a persistent factual inaccuracy repeated in recent reporting, which was that Nesongozwi was not a shareholder of Manngwe Mining and had never held shares in the company.
“He is the Founder and Chairman, but he does not personally own the business,” Manngwe Mining stated on Friday, 29 May 2026.
“Any implication that legal or commercial actions involving the company relate to his personal finances is incorrect and misleading.”
Manngwe Mining further notes with concern the manner in which certain media outlets have framed the dispute.
“An upcoming broadcast by eNCA presented allegations and insinuations about Nesongozwi without offering him any right of reply,” the company stated.
The company finds it difficult to ignore the possibility that this one‑sided coverage may be influenced by individuals or entities who stand to benefit from the steel producer’s attempt to acquire the Assen Mine at a nominal price.
“The absence of basic journalistic fairness, including the failure to seek comment from the person being accused, raises serious questions about the motivations behind the broadcast,” the company said in a statement made available to The Bulrushes.
Manngwe Mining said it has become aware of a broader pattern of adverse reporting that appears to align with the commercial interests of those who would benefit from the company’s collapse.
The company believes that South Africans deserve transparency about the forces shaping public narratives, particularly where these narratives intersect with powerful corporate interests and the economic participation of historically disadvantaged communities.
Competition Tribunal case
The Competition Tribunal proceedings initiated by Manngwe Mining seek remedies that include the resumption of iron ore purchases on lawful terms, the removal of coercive equity-transfer provisions, and the enforcement of non-discriminatory pricing practices.
The company is confident that the facts, the law, and the principles of economic justice support its case.
“Manngwe Mining was built to demonstrate what meaningful black participation in the mining sector can achieve,” said Nesongozwi.
“We will not allow coercive tactics, economic pressure, or misleading media narratives to destroy a business that has created jobs, supported families, and contributed to South Africa’s transformation agenda.”
Manngwe Mining remains committed to transparency, lawful conduct, and the protection of its employees, communities, and stakeholders.
The company will continue to engage openly with the media and the public as the Competition Tribunal process unfolds.
Developing story…
Comments from ArcelorMittal South Africa (AMSA) and eNCA will be added after the anticipated broadcast.
