SOUTH Africa’s mining industry stands at a crossroads. Despite global economic volatility and domestic challenges, our sector remains positioned to drive the economic transformation President Ramaphosa envisioned when he spoke of creating “a transformed, growing and inclusive economy that creates jobs for millions.”
The strength of our mining industry lies in its remarkable diversity. Gold continues to shine despite its maturity, platinum group metals demonstrate resilience, and bulk commodities show encouraging growth. More importantly, we possess the mineral wealth essential for humanity’s future: the resources needed for just energy transition, digital infrastructure, and defense applications that will define the next economic era.
Yet we face a critical juncture. The recently gazetted Mineral Resources Development Bill, while containing some positive changes, falls short of supporting the economic growth and job creation our nation desperately needs. The proposed amendments risk maintaining barriers rather than removing them, potentially stifling the investment sentiment required to unlock our sector’s full potential.
This is where the Government of National Unity presents an unprecedented opportunity. The multi-party government structure creates greater political accountability and transparency. While this may result in noisier democracy, it also delivers more robust governance with broader mandate to address our economic challenges. For the first time in years, we have genuine prospects for unified vision and coordinated action.
The numbers tell our story powerfully. In 2023, surveyed mining companies spent R271.5 billion on procurement, with R1.8 billion invested specifically in enterprise and supplier development. These aren’t just statistics – they represent thousands of jobs, supported households, and strengthened communities across our country. Mining doesn’t just extract value; it creates and distributes it throughout society.
Looking ahead, our industry has identified five strategic priorities that will define success. First, we’re strengthening climate response and advancing just energy transition through responsible mining practices. Second, we’re building a data-driven advocacy culture, ensuring our policy positions rest on clear evidence of mining’s economic and social impact.
Third, we’re accelerating investment promotion by leveraging global platforms like the G20 and B20 to showcase South Africa as a premier destination for responsible mining investment. Fourth, we’re actively contributing to infrastructure improvements in logistics and energy, working directly with provincial and local governments on critical projects like water infrastructure and municipal capacity building.
Finally, we’re pursuing transformation beyond mere compliance, using industry growth to create genuinely inclusive economic opportunities that reflect our society’s diversity.
The global context works in our favor. Volatile tariff wars, conflicts in Ukraine and the Middle East, and uncertainty about traditional alliances create space for South Africa to lead on the African continent. Cross-border collaboration and Southern African partnerships can unlock regional mineral and manufacturing potential, positioning us as key players in global value chains.
Our diversified mineral endowment offers uncontested exploration and growth potential. We possess the resources to fuel both domestic infrastructure development and global energy transition to a low-carbon future. This combination represents decades of potential prosperity – if we act decisively.
The solutions are clear and achievable. We need all-of-government commitment to removing investment barriers: creating globally competitive regulatory environments, implementing modern transparent mining cadastres, streamlining regulatory processes, coordinating departments to create one-stop shops for mining operations, removing infrastructure bottlenecks, and jointly leading a shared vision for mining’s future.
The mining industry stands ready to invest, create jobs, and drive economic growth. We’ve demonstrated our commitment through community investments in education, health, enterprise development, and infrastructure. We’ve shown our capability through resilient performance despite challenging conditions.
What we need now is partnership – government and private sector working together with bold action and transformative reforms. South Africa’s mining industry isn’t just ready for growth; we’re ready to lead Africa’s economic renaissance.
The question isn’t whether we can unlock this potential – it’s whether we’ll choose to act on the unprecedented opportunity before us.
Mzila Mthenjane is CEO of the Minerals Council SA.
