Business Day (Johannesburg)

South Africa: Small Miners Enter Fray On Minerals Bill

Julie Bain

6 June 2002


Johannesburg — THE South African Mining Development Association, which represents smallscale and junior miners, has added its voice to the debate on the second draft of the Minerals and Petroleum Development Bill.

The association is working to establish itself as an industry lobby group for smaller mining companies.

It will make its oral submission to the parliamentary portfolio committee that is debating the new draft of the bill that will transform SA mining.

Last month the Chamber of Mines, which represents SA's large, long-established mining companies, said it was worried about the second draft of the bill and called for more clarity.

Like the association, the chamber has lodged a written submission with the portfolio committee and will also make an oral presentation.

The chamber was worried about clear definitions for upliftment and socially disadvantaged people in the bill.

Those submitting applications for mineral or mining rights based on the new law would have to show that they would contribute to the upliftment of the community surrounding the mining area and show how historically disadvantaged people would be involved.

A lack of clarity could leave companies unsure as to how to meet that obligation, said the chamber.

The association said it would like the parameters of upliftment to be more firmly set in relation to equity participation, management issues, training and development, sustainable development and procurement policy.

Bridgette Radebe, who is chairwoman of Mmakau Mining, said in her capacity as chairwoman of Samda yesterday that upliftment had to include some kind of equity participation.

The association said that, taking into account the overall objectives of the bill, it believed that the stakeholders would come out winners.

Some of the items it saw as positive in the draft bill were that it gave existing mining companies security of tenure and that the historically disadvantaged would potentially have access to mineral rights.

The chamber voiced concern on the lack of a provision in the proposed bill for a direct right of appeal to the high court.

Radebe said the association was comfortable with the bill's provision for appeal provided for in the draft.

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