Newcastle has received a major vote of confidence after investors backed a project linked to the redevelopment of the former KCE plant at Karbochem Industrial Park.
The project is supported by approximately R32 million in investment funding, linked to Metals One’s reported US$1.8 million backing of Lions Bay Resources.
According to Newcastle Municipality, Lions Bay Resources has now successfully concluded the acquisition of the former KCE plant. The facility is expected to be refurbished and redeveloped into an energy-generation plant over the next 12 months.
The project has been developing for several months. In December 2025, Newcastle Advertiser/Northern Natal News reported on Metals One’s backing of Lions Bay Resources and plans for a power and gold-processing project in Newcastle.
In March 2026, Newcastillian News reported that funding had been advanced to support the acquisition of the Karbochem facility.
The latest municipal announcement now confirms that the acquisition has been completed, moving the project into its next phase.
Mayor Xolani Dube welcomed the investment, saying it supports Newcastle’s economic growth agenda and the municipality’s push to attract industrial development.
For residents, the project brings fresh hope that one of Newcastle’s key industrial assets could be brought back into productive use.
More details on jobs, timelines and implementation are expected as the project moves forward.