Africa the Right Place for Mining Investment, Says Minister

Mineral Resources Minister Mosebenzi Zwane said Africa remains the ideal destination for investment by international mining companies when he opened the 2016 Mining Indaba at the Cape Town International Convention Centre on Monday.

“I am optimistic that as investors and analysts present here, you will evaluate the investment prospects of the continent appropriately and take a long-term and comprehensive view,” he said.

Following engagements with captains of industry, the minister said government remained committed to addressing bottlenecks that were raised as a cause of concern to investment.

With the industry facing tough times and job cuts, he called on companies to approach restructuring in a responsible manner. He said companies indicated that restructuring was inevitable for the sake of ensuring sustainability in their businesses operations.

“Our quest for inclusive economic growth – including empowerment of women, the youth and other members of vulnerable groups – is designed to help us achieve the type of society where everyone has a better life.

“We will provide the requisite support for this new generation of miners, which we anticipate will be characterised by junior to mid-tier mining companies.”

Zwane emphasised the importance of saving jobs and protecting the interests of mineworkers.

He said government is doing all it can to ensure that there is peace and stability in the labour environment to create an enabling environment for investors in South Africa.

He said during his engagements with captains of industry, he received an indication on the importance of stable labour market conditions.

“Together we have created a stable mining environment through the Presidential Framework Agreement for a Sustainable Mining industry. There are now fewer disruptions in the industry, enabling operational activities to stabilise under the circumstances.

“However, we should take lessons from the protracted platinum strike in which there were no winners and ensure that such events are not repeated.

“It is our view that the commitment of stakeholders to dealing with these matters will go a long way in addressing negative perceptions about the labour market conditions,” he said.

Source: SAnews.gov.za