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Ten years ago, entrepreneur Itumeleng Rangaka saw a different future — one where waste could become worth, and today he runs a successful business that specialises in the collection, treatment and recycling of everything related to oil; turning environmental threats into renewable opportunities.
With an engineering background and a passion for solving problems, Rangaka has grown Dilex Purification from a modest operation out of KwaZulu-Natal to a national player.
Dilex’s business journey over the past decade has faced its fair share of challenges, including business plans that were not considered fundable; operations that were not scalable; and, as Rangaka recalls, business confidence which was not what it should have been.
Having been born and raised in the Royal Bafokeng Nation in the North-West Province, Rangaka was invited last year to participate in the Kgolo Enterprise and Supplier Development (ESD) Programme.
Launched in 2022, the Kgolo ESD Programme is a business support and funding initiative powered by the Royal Bafokeng Nation (RBN). It is administered in partnership with small business development specialist Edge Growth, with the goal of nurturing high-potential black-owned small and medium enterprises (SMEs) within the Bafokeng community.
Edge Growth serves as the strategic implementation partner, working closely with Royal Bafokeng Nation Implementation Entities to support the growth of these SMEs by designing and delivering tailored interventions when it comes to skills development, market access and funding readiness. As such, the Kgolo ESD Programme offered a viable opportunity for Dilex Purification to scale and grow.
“This included receiving the support of a mentor who understood our sector, and training that went beyond theory. Most importantly, knowing that there would be funding available to us has made all the difference,” says Rangaka. “It has meant that the additional investment in time and energy from our leadership team was well-worth it: we’re fully committed to the journey and are aligned in terms of the destination.”
Over the past year, the company has undergone significant transformation, marked by a renewed focus, refinement of its business model, and a comprehensive review of its financial modelling and growth strategy to improve funding readiness.
With guidance from mentor Sfiso Moyo, Rangaka reworked the business plan and sharpened Dilex’s value proposition. “We also worked extensively on our modular technology model: compact, scalable mini-processors that could be deployed near waste generation sites – ideal for mines like that in the North-West.”
Game-changing progress soon followed, including the securing of a partnership with Spilltech which gave Dilex access to clients such as Sasol and access to the collection and recycling of five million litres of oil and hazardous waste streams. Next followed a bold acquisition that saw Dilex acquire a 49% stake in WEAREX, a mini refinery with advanced capabilities but limited reach. “This catapulted us from being just a bulk processor to being both a collector and a client-based processor,” Rangaka explains.
This new model sees Dilex charge clients to collect waste, recycle it into high-grade oil and resell it to blending companies. These changes have scaled the company into the hazardous waste processing value chain, with access to ports in Durban and Richards Bay further expanded the company’s footprint, enabling it to receive waste from docked vessels. Furthermore, Rangaka has secured a deal with Kwena Laboratories to certify the recycled oil, extending its shelf life and boosting the company’s appeal to mining clients.
“The Kgolo ESD Programme didn’t just teach me about ratios or statements,” he says. “It taught me to believe in the scale of my vision.”
Today, Dilex is charting a course toward a network of regional micro-processors designed to deliver clean technology and drive local economic development, with the long-term vision of establishing a national, modular oil recycling franchise.