INDIAN COMPANY EXPLORES MINING OF SA COAL

INDIAN COMPANY EXPLORES MINING OF SA COAL

By BRIAN KAJENGO

Officials from the South African Department of Trade and Industry (the dti) and representatives of Coal of India have agreed to explore mutual prospects in the coal sector in order to increase trade relations between the two countries, and explore opportunities on display in the South African mining industry value chain.

The agreement emanated from a meeting held on the side lines of the Africa Mining Indaba in Cape Town.

Coal is one of South Africa’s primary sources of economy booming from small place Mpumalanga. The industry has contributed much of the job creation of the country.

Coal of India is in the business of mining and exporting low grade thermal coal and has been mapping the South African coal mining industry, with the interest of acquiring mining concessions and information on how best to exploit coal deposits in a way that serves the best interest of all stakeholders.

The discussion also elaborated on the cost involved in the mining business and the industry’s policy, government priority in terms of mining and regulatory framework in the effort to clarify and provide predictable solutions.

“These discussions with different stakeholders are a breakthrough on how South Africa could engage more productively with investors in the mining sector,” said Mr Yunus Hoosen from the dti.

Hoosen said the talks were also a platform to encourage big mining role players to develop smaller mining companies in the coal sector to be sustainable, and also zoom in on the beneficiation opportunities and localisation within the industry.

The mining indaba generated substantial leads for South African Companies. The Mining Indaba that is currently taking place in Cape Town will generate substantial leads for future investment and collaboration in the mining sector for South African companies.

 The Chief Director for Investment Promotion at the Department of Trade and Industry (the dti) Mr Yunus Hoosen said this

He was speaking on the side-lines of the Africa Mining Indaba where twenty four companies supported by the dti are exhibiting in the South African National Pavilion set up in partnership with the Department of Mineral Resources (DMR) and the Department of Science and Technology (DST) is supporting.

“The companies exhibiting in the pavilion represent mining houses, professional services, engineering and capital equipment manufacturers who are capable of developing value chain with their respective counterparts in other countries,” said Hoosen.

He added that the Mining Indaba will afford these mining companies an opportunity to showcase their expertise especially in the area of beatification.

“Government still wants to attract and encourage investment in the sector in order to grow the economy and also to explore joint ventures for future major mining infrastructure projects in South Africa,” he explained.

The dti delegation will be meeting with potential investors from Brazil, India, Nigeria, Japan and Iran to explore areas of mutual benefits, throughout the week.   

Earlier the Minister of Mineral Resources, Susan Shabangu, told delegates at the Mining Indaba that the event has contributed significantly in attracting the appropriate attention to the potential of African mining investment and development.

 She also stated that beneficiation of minerals was critical for the government and formed part of the Mineral and Petroleum Resources Development Act (MPRDA) Amendment Bill.  Minister Shabangu added that government is confident that the MPRDA will provide a predictable, stable and globally competitive mining legislation that will amongst others promote investment, development and transformation.