DMR will not implement licence moratorium, according to tweet

SOUTH Africa’s Department of Mineral Resources (DMR) said last night it would not pursue a moratorium on new applications for mining and prospecting licences, but would opt for “other legal instruments”.

In a late night tweet last night, the DMR said: “As a result, based on the reasoned submissions made, the Department will not pursue the moratorium.

“The DMR will opt for other legal instruments at its disposal, in line with the MPRDA [Minerals and Petroleum Resources Development Act] & applicable legislation, In order to achieve its objective of socio-economic development”.

The Chamber of Mines said yesterday (August 3) it believed mines minister, Mosebenzi Zwane, had instructed his regional offices to apply the moratorium which also has the effect of blocking transactions between existing operators – a claim that the DMR subsequently denied.

Despite the DMR tweets, the Chamber is expected to press ahead with an urgent interdict of the moratorium. The application with the High Court is due to be heard today.

The moratorium, which applies discretional powers granted to the minister in the MPRDA, is thought to be Zwane’s response to exercise his authority after the Chamber applied for an interdict to halt a redraft of the Mining Charter.

In opting for “other legal instruments” it would appear that the “law-fare” between the DMR and the Chamber of Mines will take a few more twists and turns.