Exxaro opens sheep shearing and hydroponics facility
Exxaro Resources has officially opened a sheep-shearing and hydroponics facility worth R36 million (approx. US$2.18mn) in EliXeni Village, Cofimvaba, in South Africa’s Eastern Cape
The development reinforces the company’s efforts to expand sustainable economic opportunities and support community development beyond its mining activities.
Established under Exxaro Matla Mine’s Social and Labour Plan (SLP), the facility combines conventional livestock farming with modern agricultural production through a Nutrient Film Technique (NFT) hydroponics enterprise. It aims to strengthen agricultural productivity, generate employment, support sustainable livelihoods and increase local food production across EliXeni, eThunzini and Ezingxingweni villages in Cofimvaba. The infrastructure is intended to provide sheep farmers and hydroponics beneficiaries with opportunities to earn sustainable incomes while laying the groundwork for an agricultural hub serving the wider Cofimvaba community.
Construction encompassed site establishment, civil and structural works, a sheep-shearing shed, dipping facilities, equipment procurement, a packhouse and hydroponics infrastructure. The project has created employment opportunities for 74 people to date.
The facility is equipped to support substantial agricultural output. During the annual shearing season, the operation is expected to handle up to 500 sheep daily, producing approximately 22,418 kg of wool annually. The hydroponics enterprise consists of two tunnels, with an estimated annual capacity of approximately 90,000 heads of lettuce and spinach.
Ben Magara, CEO of Exxaro, said, “For Exxaro, impact is measured not only by what we extract from the ground, from solar and wind, but by what we help communities build beyond the surface for generations to come. This facility brings together traditional farming and modern agricultural technology to create sustainable economic opportunities, while demonstrating how SLPs can translate mining investment into meaningful socio-economic development. Although Cofimvaba is not a host community to our mining operations, it is part of our broader labour-sending footprint, and we believe our responsibility extends to the communities from which our people originate. By investing in productive infrastructure and sustainable livelihoods, we are helping build stronger, more resilient communities and ensuring that the benefits of mining extend beyond the mine boundary.”
The initiative also highlights the role of public-private partnerships (PPPs) in delivering sustainable community development. Such projects depend on collaboration between multiple stakeholders, combining financial resources with technical expertise, institutional backing, local knowledge and community participation. Bringing these contributions together can help establish initiatives capable of delivering long-term benefits.
Gwede Mantashe, minister of mineral and petroleum resources (DMPR), said, “We are pleased to hand over the newly constructed sheep-shearing shed to local farmers in Cofimvaba. We thank Exxaro for contributing to the construction of this important facility through its Social and Labour Plan. Named after the late Deputy President of the National Union of Mineworkers (NUM), Crosby Moni, the facility will support local farmers, create sustainable economic opportunities and strengthen agricultural development in the community. This is the transformation we seek to achieve in the mining industry, where mining is not only seen as extractive, but also as a catalyst for socioeconomic development and improved livelihoods. Mining must leave a lasting and positive legacy in both host communities and labour-sending areas”.
Exxaro’s investment reflects its wider approach to responsible business and sustainable social development. The company emphasises that its role extends beyond regulatory compliance and mineral extraction to include stakeholder engagement, community investment and a long-term commitment to improving social and economic outcomes.
The facility’s inauguration coincides with Exxaro’s 20th anniversary of listing on the Johannesburg Stock Exchange. The occasion offers an opportunity to consider the company’s development and its contribution to employees, communities, business partners and South Africa’s broader economy.
Looking ahead, Exxaro intends to continue collaborating with government, communities and other stakeholders to identify and develop initiatives that advance sustainable socio-economic progress. The company’s approach recognises that its long-term sustainability is closely connected to the resilience and prosperity of the communities within its wider social and economic network.