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AFRIcA DoWn UnDeR

South Africa on the move

t is hard to believe one of Af-
Irica’s proudest mining coun-
tries functions on a shoe-
string exploration budget of
$180 million per year.
Then again, for almost
two decades that jurisdic-
tion, South Africa, has hardly
been welcoming of investors
and explorers. But it is a situ-
ation which is clearly on the
mend.
“At the moment, the SA
exploration budget is about
$180 million; a pittance but it
is very easy to double that,”
Orion Minerals Ltd managing
director Errol Smart said dur-
ing the closing panel discus-
sion at Africa Down Under.
“The impact from explo-
ration on jobs, the supply Paydirt editor Dominic Piper convened a panel discussion on the state of South Africa’s mining sector
chain and through employee and was joined on stage by Juwi’s Dave Manning, while Orion managing director Errol Smart and SA
taxes, VAT, that money all Minerals Council chief executive Roger Baxter joined via livestream
channels back – exploration
has an immediate impact on
the economy. The Minister sees it, the mining sector. Furthermore, Mantashe’s the country’s exploration strategy and
DMRE sees it and we have been work- enthusiasm to see the resources sec- shift towards online licencing systems
ing in the past to try and come out with tor flourish is a vision shared within the would be revealed in early 2021.
a way to clean up some of these other highest ranks of government, including “One critical factor that we need to get
hurdles but it is becoming quite attrac- President Cyril Ramaphosa who estab- government continually working on is
tive to work in SA and quite manageable lished the National Union of Minework- reducing red tape and moving towards
to work in SA.” ers (NUM). smart-based systems, administering
Vast improvements in the relation- Despite the current love-in between rights and reducing licencing times for
ship between industry and government industry and government, there are still both exploration and for mining,” Baxter
since Gwede Mantashe was appointed challenges to be addressed, according said.
SA Minister of Mineral Resources in to Minerals Council South Africa chief “We also need to make sure that the
February 2018 is a major reason behind executive Roger Baxter. systems are easy to administer and gov-
renewed confidence in the country’s Baxter hoped that more clarity around ernment can do it on a seamless basis.”
Making the country easier to access
for mining and exploration will go some
way into elevating SA back into the top
quartile of places to do business in Afri-
ca and aiding that ambition will be offer-
ing companies reliable and sustainable
power solutions.
Speaking at the Junior Mining Indaba
prior to Africa Down Under, Mantashe
said the Government was moving with
the “necessary speed” to address the
high costs of electricity and unreliability
of energy supply that adversely impacts
industry in SA.
“The expansion of the country’s en-
ergy generation capacity is a priority in-
tervention to support a rapid economic
rebound as outlined in the Economic
Reconstruction and Recovery Plan,”
Mantashe said.
“In this regard, we continue to imple-
ment the Integrated Resource Plan [IRP

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