Just hours after the end of the Investing In African Mining Indaba 2017, South African President Jacob Zuma, delivered his State of The Nation Addresss, in parliament on Thursday evening.
In a room full of MP’s and delegates, Zuma promised more commitment from governement, to ensure that the mining industry would be a priority area for South Africa.
“We welcome the recovery in commodity prices which has resulted in an upswing in mining output. This augurs well for the industry,” said Zuma. “We will continue to pursue direct state involvement in the mining industry.
The Mining Charter is being reviewed with the aim of recognising the state’s right to exercise sovereignty over mineral and petroleum resources in the republic, and to deracialise the ownership of the mining industry.
Zuma expressed the reveiw of the Mininig Charter. He made known his wish that discussions between government and business on the Mining Charter – which is being reveiwed, would yield results, so that the process can be finalised.
“The Charter seeks to recognise the internationally accepted right of the state to exercise sovereignty over all the mineral and petroleum resources within the Republic,” said Zuma.
“It is also aimed at helping the country to de-racialise the ownership of the mining industry. This will help to ensure the sustainability of this industry, that has alwasy been the “backbone” of South Africa’s economy and an important foreign exchange earner.”
Roger Baxter, CEO, Chamber of Mines, commented on the President’s SONA, and said “The Chamber appreciates the President’s resolve to finalise the passage and promulgation of the amendments to the Mineral and Petroleum Resources Development Act (MPRDA) as soon as possible. And we, like he, hope that the review of the Mining Charter can be resolved on a mutually satisfactory basis.
“In order to create a better platform for greater investment in mining, we need a predictable, competitive and stable mining policy and regulatory framework applied in a ‘smart tape’ manner.”
The Chamber also noted the President’s wish for more black-owned and controlled mining companies. The chamber stated that they believe significant progress has been made.