CEO of Mintek, Mr Abiel Mngomezulu;
General Manager of Research and Development at Mintek, Dr Makhapa Makhafola;
Speakers from America, Australia, Canada and the Netherlands;
Officials from the CSIR and the Southern African Institute of Mining and Metallurgy;
Colleagues from the Department of Science and Technology:
Opening remarks
Thank you for inviting me to address this important gathering of our partners from universities, science councils and the government.
Much of our country's history and economic development is inextricably linked to the story of mining and metallurgy in South Africa. Even today, more than 100 years after the discovery of diamonds and gold, mining not only serves as the heartbeat of our nation's economic progress, but also continues to define the extent to which we have transformed our society from one in which only a few benefit, to one in which the majority do.
This conference is significant in that it gathers senior officials and experts from a number of specialised disciplines and leading organisations, and provides an environment conducive to the production of practical solutions. I hope that you spent the first two days of this conference grappling successfully with various important questions, and that the last day will be even more productive.
Some of the challenges facing the mining sector
The scientific community in South Africa has had to raise the bar in order to meet the challenges and targets set by the National Research and Development Strategy and the Department of Science and Technology's Ten-Year Innovation Plan, relating to human capital development and knowledge generation.
The mining sector is certainly at the forefront of the country's economic development efforts and it continues to make a major contribution to our economy, at over R200 billion or about 16% of GDP. It also plays a vital role in technological development, innovation and opportunities for research and development-led industrial growth.
Innovative ways of exploiting our mineral wealth
South Africa, as you all know, is by quite a long was the most mineral rich country in the world. The value of our mineral resources under the ground is estimated to be at no less than $2.5 trillion. For instance, South Africa possesses 80% of the world’s platinum group metal reserves and is an important source of ferrous minerals. We have the world’s largest reserves of chromium and vanadium ores and a leading supplier of their alloys; and we are globally a significant producer and exporter of iron and manganese ores. Botswana and Congo lead in diamond production, Namibia and Niger in uranium and Zambia in copper.
It is perhaps also worth noting that, until recently, the huge demand for these raw materials from rapidly industrialising economies such as China and India resulted in significant investments being made in new mining operations. While these investments contributed to industrial development and economic growth in China and India, South Africa derived a much smaller benefit. Now, the global recession, the slump in demand for commodities and falling prices all call for a new way forward, raising particular opportunities and challenges for South Africa.
Ideally, we need to learn from our past as a country and invest strategically in assets that will maximise our long-term growth, such as beneficiation projects, for example in titanium, that will not only enhance the value of our exports, but also reduce unnecessary imports and create sustainable jobs. Existing capabilities in ferrous metals and aluminium casting, tooling and fabrication can be exploited to provide technology assistance to local firms.
The public procurement and infrastructure development in energy and transport is expected to have a positive impact on the competitiveness of the mining sector, with further spin-offs in the development of new capital equipment industries and the upgrading of existing local equipment manufacturers.
To exploit these opportunities, we need to expand and consolidate high-level scientific and engineering competence in the relevant sectors. There is also an urgent need for technologies that will address the water, energy and emissions issues associated with the mining, minerals processing and metallurgy industry. This is critical if we wish to develop and enhance the industry so that it contributes to the well-being of all South Africans.
Successes of South African research and development
Allow me briefly to highlight a few of the successes of South African research, development and innovation.
First, the Department of Science and Technology's Advanced Metals Initiative is clearly succeeding in its broad objective, which is to derive greater economic benefit from our mineral reserves. Recent reviews of the AMI confirm that the science is thorough, of a high quality, and certainly of international standard. Many of the new ideas and innovations emanating from the AMI have the potential to yield new processes and products that will, in the not too distant future, have a tangible effect on economic growth. Our department's titanium initiative is an example of this.
Secondly, our science councils and universities are doing a sterling job of implementing the Department's initiatives, undertaking exceptional research, development and innovation.
Mintek has an impressive track record in the area of minerals processing and beneficiation. By working closely with mining companies, the organisation has conducted highly successful research, which has led to a number of new processes reaching the prototype stage.
Through the Titanium Centre of Competence, the CSIR has developed a novel process to efficiently create titanium metal powder for casting into complex components. Direct laser sintering of titanium powder will position our country to produce high value components for the global aircraft and satellite industries. This milestone is important for enabling us to achieve the government’s New Growth Path, the National Beneficiation Strategy and the Industrial Action Plan.
With research chairs at key institutions and strong collaboration with industry, South Africa provides an increasing range of flourochemicals locally and around the world. I recently launched the Multipurpose Flourination Pilot Plant at NECSA. We believe that the plant will greatly enhance the Fluorochemicals Industrial Development Programme through the production of representative samples for commercial qualification and the provision of a training and skills development facility for young scientists, engineers and technicians, helping them to assume full roles in shaping a new innovative society.
Concluding remarks
There is no debate about whether or not our country has a strong research capability – we do. The critical thing is how we use this capability. We need not only to unlock the economic potential of our mineral resources, but also to ensure that the benefits that accrue from the exploitation of these minerals are shared by the majority of our people.
As you conclude your conference tomorrow, you can measure its success in terms of the extent to which you have interrogated the issues that appear on the agenda of this gathering. As the French moral philosopher Joseph Joubert once asserted: "It is better to debate a question without settling it, than to settle a question without debating it."
Thank you.
Remarks by the Minister of Science and Technology, Derek Hanekom, at the advanced metals initiative gala dinner at the mount grace hotel, Magaliesburg, Johannesburg
