Jupiter’s flagship asset, Tshipi, is the largest exporter of manganese ore from South Africa and a top-5 producer globally.
In 2007, The Pallinghurst Group sourced a proprietary greenfields opportunity to acquire 49.9% of a manganese deposit that was located adjacent to a major producer in South Africa. Manganese is a key component of steelmaking and South Africa hosts approximately 80% of the world’s known economically mineable resources.
Subsequently, Pallinghurst introduced one of the world’s largest steelmakers to the investment who provided incremental end-user expertise to the project. Pallinghurst took Tshipi through the development stages from pre-feasibility through to completion, ramp-up and to steady state production. Tshipi is now one of the world’s largest, lowest cost and most valuable manganese mines, with over 100 years of resources. The mine is highly cash generative and has repaid approximately twice the capital cost of the mine to shareholders, via share buy-backs and dividends, within just 5–6 years of being in production. Pallinghurst relisted Jupiter on the Australian Stock Exchange in 2018 at a market capitalisation of US$600 million.
Approximately US$170 million has been paid to shareholders since IPO, and the current yield of over 15% per annum is one of the best mining stock yields worldwide.
For the year ended 29 February 2020, Tshipi achieved exports of over 3.4 million tonnes, continuing its impressive output, and the company reported EBITDA of ZAR3.15 billion.