South Africa blocks Kropz bid to mine in national park

South African National Parks has denied Kropz Plc’s (LON: KRPZ) request to extend its phosphate mining operations into the West Coast National Park, citing legal prohibitions on mining within protected areas.

The company, 90% owned by billionaire Patrice Motsepe’s African Rainbow Capital Investments, applied in March to extract phosphate — a key ingredient in fertilizer production — from land within the park. 

The application sparked immediate backlash from conservation groups, including the World Wide Fund for Nature, which is already engaged in a legal dispute with Kropz over the Elandsfontein mine.

“SANParks cannot allow any mining activities within a declared national park, as this is prohibited,” spokesperson JP Louw said. He confirmed the agency has informed Kropz of its decision

Located in a biodiversity hotspot, the West Coast National Park is home to 250 bird species—over a quarter of South Africa’s total—including flamingos and sandpipers. The park also features ancient human footprints and a seasonal bloom of wildflowers that draws tourists from across the country.

Kropz acquired the Elandsfontein phosphate deposit in 2010 and has developed an open-pit mine and processing facility with an annual capacity of one million tonnes. Despite this, the project has faced persistent opposition from environmentalists concerned about its proximity to the park.

In addition to Elandsfontein, Kropz operates phosphate projects in the Republic of Congo and aims to become a leading mine-to-market plant nutrient company in sub-Saharan Africa.

Trading in Kropz shares was suspended in mid-April. At the time, the company had lost more than 55% of its value, closing with a market capitalization of £9.5 million ($12.7 million).