Oct 5, 2022

Mining exploration is key to attracting investment

“Continued and enhanced mining exploration should be the cornerstone to the future of the mining industry in South Africa. Working with the industry, we have compiled an Exploration Strategy, which amongst others aims to ensure that we attain at least 5% share of global exploration expenditure within the short to medium term.

Mining exploration is key to attracting investment

Mining exploration is key to attracting investment

Mining exploration is key to attracting investment

 

South Africa aims to gain at least 5% of global mining exploration expenditure in the short and medium term.

This is according to Mineral Resources and Energy Deputy Minister, Dr Nobuhle Nkabane.

Nkabane was addressing the Northern Cape Provincial Mining Investment Conference on Thursday.

“Continued and enhanced mining exploration should be the cornerstone to the future of the mining industry in South Africa. Working with the industry, we have compiled an Exploration Strategy, which amongst others aims to ensure that we attain at least 5% share of global exploration expenditure within the short to medium term.

“In the main, the strategy identifies barriers that inhibit exploration investment in South Africa that is commensurate with its geological endowments and proposes a coordinated approach amongst key stakeholders in resolving the existing challenges in the shortest possible time,” Nkabane said.

The Deputy Minister encouraged those at the conference to propose innovative ways in which mining exploration can be accelerated.

“There are already numerous mining companies across the country, but the drill and shovel will stop when the known mineral reserves get depleted. That is why we must look into ways of fast-tracking exploration in this investment conference.

“On our part we hope the Exploration Strategy will pave the way in this regard and we will endeavour to ensure that relevant legislative instruments are in place to ease mining investment.”

She highlighted that mining has continued to give strong showings in the past two years despite the devastating impact COVID-19 has had on the economy.

“During the height of the COVID-19 pandemic, the mining sector continued to make meaningful contributions to gross domestic product (GDP). This was because of concerted efforts led by the [department], working in conjunction with the Minerals Council of South Africa and mining companies to minimise the impact of the pandemic both to individual workers and the mining operations as a whole.

“As a result, mining was the only sector that saw a marked increase and growth in contributions to the GDP,” she said.

Turning to mining specifically in the Northern Cape, Nkabane said the department is making moves to legalise small-scale operations in the province.

“The department is in the process of developing a legal framework for artisanal and small-scale miners, but illegal mining is a criminal matter that is to be addressed separately.

“Mining permits have been issued to the Artisanal Miners of Batho-Pele Mining Primary Co-operative Limited and Goedemood Trading Co-operative Limited which must contribute to the redress of inequality in the mining sector,” she said. – SAnews.gov.za

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