FY22 Overview & Safety Program Update
MANGANESE MARKET
III
SOUTH32
Current preference for high-grade ores
and a widening premium being driven
by higher Chinese energy prices
Rising electric vehicle penetration and
adoption of manganese-rich chemistries
expected to add to overall demand
Long term price expected to be set by
marginal South African supply
transitioning underground over time
China manganese ore imports by grade (40% Mn normalised)
(Mt, LHS; share by grade %, RHS)
10
8
10
6
2
Scarcity of high-grade supply
supporting the premium
for this ore
Manganese ore price and China port stocks by grade
(US$/dmtu; Mt)
9
50%
7
40%
30%
8
ā 65+ 3
4
20%
2
10%
1
Q1
CY20 CY20 CY20
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Feb-21
May-21
Aug-21
Nov-21
Feb-22
May-22
Aug-22
CY20 CY21
CY21
CY21 CY21
CY22
CY22
High-grade port stocks
High-grade
Mid-grade
Low-grade
Share of high-grade (RHS)
Source: GTA customs
44% Mn ore, CIF Tianjin
Source: Fastmarkets, Ferroalloy.net
Mid-grade port stocks
37% Mn ore, CIF Tianjin
Low-grade port stocks
SLIDE 32View entire presentation