Community-led disruption hits SA mining again as Rio Tinto reduces RBM operations

RIO Tinto has curtailed operations at Richards Bay Minerals (RBM) owing to an escalation in violence among the operation’s surrounding communities, said Reuters citing a statement by the Anglo-Australian miner.

“There has been an escalation of criminal activity towards RBM employees and one was shot and seriously injured in the last few days,” Rio Tinto said in a statement.

The company said all mining operations have been halted and the smelters are operating at a reduced level, with a minimum number of employees now on site.

Community disruption has become increasingly prevalent in South Africa’s mining operations, many of them located in relatively remote regions where industrial activity and employment is scarce.

Pan African Resources, a gold mining firm operating in Mpumalanga province, in July reported running battles with a criminal element that had disturbed the operation of its key Barberton Gold Mines.

Community protests in Mpumalanga were also reported widely by the country’s coal mining companies. According to the Minerals Council South Africa, disturbances involving communities, backed by politically motivated and sometimes criminal influences, had led to disruptions worth “hundreds of millions in rands”.

Addressing the Joburg Indaba in October, Mike Fraser, COO of South32, said mining communities were becoming increasingly dependent on the local operations around them because of South Africa’s economic malaise and rising unemployment.

But he pointed out the past 12-months had seen an escalation in organised protests which were often in the interests of a small number of individuals. Fraser said these individuals had asked South32 to “… breach standard commercial processes for their own benefit”.

He said that “… we cannot continue to do business this way”. South32 currently operates thermal coal mines in South Africa and has a joint venture in manganese ore mining and alloy processing with Anglo American.

He also cited an increase in illegal mining activities which had become disruptive to South32’s operations “… when they escalated to the point where they risked the safety of our people and the local communities”.

“This has been a particular challenge for us in the communities around our energy coal businesses in Mpumalanga,” he added.