A broader consultation with the Bapo Community is necessary to consider a proposal to covert mining royalties it is supposed to receive from Lonmin into equity shares, North West Provincial Government delegation led by Premier Thandi Modise and the mining house agreed in Mahikeng on Friday.
While Premier Modise and members of Executive Council (Exco) have expressed their in-principle support for Lonmin’s proposed empowerment transaction, they have insisted that it needed endorsement by the community.
The meeting also agreed that the Public Protector, Advocate Thuli Madonsela who is investigating the payment of mining royalties to Bapo Ba Mogale Tribal authority and their administration through the Provincial D: Account should be briefed about the proposal by Lonmin before it is finally sanctioned by the provincial government.
In welcoming an announcement by Lonmin’s Executive Vice President for Communications and Public Affairs, Lerato Molebatsi that her company has ring fenced R120 million for local procurement in the new financial year, Premier Modise said that while this will boost the local economy and improve the lives of people around the mining community, the provincial government wishes to review Lonmin’s social labour plans to ensure that communities in the province benefit from the R6 billion that the mining house has set aside for Corporate Social Investments over the next 5 years.
“While mining is a national competency, the abject poverty that surrounds the world’s second producing platinum mines in the province is our greatest concern hence we are insisting on an urgent review of social labour plans of all mining houses,” emphasised Modise.
The provincial government has set aside R20 million for water and sanitation projects to be implemented in Marikana during the current financial year. Lonmin has also committed to augment the amount with an additional R35 million towards the projects and development of roads in the area.
The company has recently donated 50 hectares of land to the provincial government for development of an integrated human settlement project in Marikana towards which it would invest R500 million over the next five years.
Enquiries:
Lesiba Moses Kgwele, Spokesperson
Tel: 018 388 3705
Cell: 083 629 1987
Fax: 018 388 3157
E-mail: LKgwele@gmail.com
