‘Beneficiation holds the key’ – Shabangu

Efforts by the Gauteng government to seek ways to rekindle the glorious years of the place of gold that caused South Africa to dominate the world supply of gold and diamonds for almost an entire century should be welcomed and encouraged, according to Minister of Mineral Resources, Susan Shabangu. “Gauteng’s GDP is amongst the top five in Africa thanks to the mining industry. It is therefore important to seek ways to rekindle the days where South Africa, and this province, dominated when it came to the supply of gold and diamonds in the world.” But, said Shabangu, speaking about the past would lead to nothing. “What will take us somewhere is when we are able to use the past, to learn lessons from it and never to repeat its mistakes. We need to employ knowledge.” Speaking at the Gauteng Investor Conference in Johannesburg recently, Shabangu said it was about responding to the imperatives of job creation and related ills. “We have to deal with the stubborn legacy of poverty and inequality,” she told delegates. “We believe that beneficiation offers us a real chance to get the lives of the people of this country back on track. We must not just send raw ores into the world. We must use skill and commitment to change that flatearth approach.” Some 54 different types of mineral resources, estimated at $2.5 trillion (excluding energy commodities such as coal, oil and gas) are exported largely as raw ores or metals rather than beneficiated products. “The Gauteng province should be taking advantage of the country’s recently approved beneficiation strategy to create opportunities in this province.” But it requires the input and co-operation of business. “Beneficiation means that companies have to embark on their activities for say 50, 100 or so years. For example, for almost 20 years the East Rand was the hub of manufacturing yellow machines and other major equipment for the mining industry. Bell and other local manufacturers have lost considerable market share due to central buying of the equipment which takes place at the head offices of the major mining houses – be they in London, Zurich, Sydney or elsewhere.” She said the action plan for the successful execution of the beneficiation strategy for South Africa was in its final stages.