24 August 2006
The Northern Cape Provincial Government and the Department of Minerals and
Energy will hold a mining indaba next week on 31 August 2006. The mining indaba
came as a result of the call made by the Minister of Minerals and Energy, Ms.
Buyelwa Sonjica, during the Presidential Imbizo that was held in Namakwaland in
June.
Minister Sonjica called for the mining indaba to hold in Northern Cape to
discuss issues relating to the mining sector as it is the mainstay of the
Northern Cape economy. The broader objectives of the indaba would be to
highlight socio-economic challenges emanating from minerals downscaling and to
discuss ways in which mining can benefit the residents of Northern Cape
Province.
There has been severe downscaling in the copper and diamond mining
industries hence a dire need to come up with alternative economic activities
that would sustain the mining industry in the province. There are reserves of a
range of minerals, precious and semi-precious stones in the Northern Cape, but
these are not benefiting the residents. The indaba will look at issues of
mining beneficiation and how the value addition and value chain completion can
have positive spin-offs for the provincial economy.
In line with the Northern Cape Provincial Growth and Development Strategy
(NCPGDS), research was carried out in the mineral sector to determine an
implementable Mining and Mineral Processing Sector Development Strategy. The
strategy looks at, amongst other issues, the recent legislative changes which
provide the province with a number of opportunities for catalysing future
growth and development around the mineral base. The indaba participants will
discuss these issues, including investment opportunities and resources required
to fulfil the NCPGDS goals.
The manner in which black economic empowerment transactions in the mining
industry have been occurring will have to be interrogated in order to have
substantial benefit to business people in the province. There must be a way in
which Broad Based Economic Empowerment will assist the business community to
directly benefit from these transactions. The exclusion of the business people
of Northern Cape from the major Black Economic Empowerment (BEE) deals should
belong to the past.
The other most important aspects such as small-scale mining, skills
development and infrastructure will not be left out. It would be crucial to
discuss means of getting small-scale miners to start operating so that they can
boost economic development in rural areas. The obstacles they encounter with
regard to getting licenses, funding and procurement opportunities would be
highlighted in order to propose mechanisms of transforming small-scale miners
to medium-sized miners. This move will afford them the chance of moving to the
first economy.
Although the issue of skills development is not directly linked to mining
activities, it plays an important role in economic development. Mineworkers
need skills to enable them to have a better livelihood when they are retrenched
or when mines are closed. This aspect should not be looked at from the
perspective of legislative compliance but from human resource development.
All these issues will be discussed by various stakeholders from the mining
sector. Dignitaries expected to participate include, amongst others, the
Minister of Minerals and Energy, Buyelwa Sonjica, the Northern Cape Premier,
Dipuo Peters, Finance and Economic Affairs MEC, Pakes Dikgetsi, and the members
of the Provincial Executive Council.
Enquiries:
Lerato Jabane
Tel: (053) 839 4000
Cell: 082 312 2555
Issued by: Northern Cape Provincial Government
24 August 2006
