Large Investments in Coega

The South African Government has invested over R1 billion in bulk infrastructure at the Coega industrial development zone (IDZ) just outside Port Elizabeth.

Coega has seen major road infrastructure linking the Port Elizabeth port Coega and the Port of Ngqurha as well as sewer, water and storm water facilities. In fact, R350 million has been spent this year on infrastructure in and around Coega!

More than 30 potential international investors are in negotiations with the Coega Development Corporation (CDC). In October, Coega had signed lease agreements with 9 investors to a total value of R3 Billion! 

Now, a Canadian based aluminium company known as Alcan intends to invest in the $2.5 billion aluminium smelter at Coega. They are also expected to sign an energy deal with Eskom in the near future. This aluminium smelter is expected to attract other foreign investment to the Eastern Cape and will significantly contribute to employment creation and social equity with an estimated 6 000 people required in the construction and 1 000 people in operations. Therefore, not only will this improve the unemployment rates in and around PE but also improve the economy.

In addition, Transnet has recently announced a further R2.5 Billion investment into the 2cnd phase of the development of the new deepwater port. The first ship is expected to dock at the container terminal in 2008. Welcome investors!