Stability, security and supply of minerals on the continent came under the spotlight when the annual ‘Investing in African Mining Indaba’ kicked off in Cape Town on Monday.
Opening the conference, Frans Baleni, chair of the Indaba’s advisory board, said mining was taking place amidst many challenges - not only in Africa but around the world. “We are gathered here while the world is still grappling with the after-effects of the global pandemic. Food and labour supply challenges are being felt all around the world, while debt and the energy crisis, climate change as well as geopolitical conflicts add to the crisis.”
He said it was important to find unified and creative ways of addressing these challenges, citing the Indaba as an ideal platform to do this. But Baleni emphasised that to draw investment to Africa, it was essential that the continent showcased its stability as an investment destination. “When it comes to security, governments and investors need to be at the forefront of cultivating civic engagement to minimise conflicts associated with greenfield projects on the continent, while we need to ensure little to no disruption in the supply of minerals to the market.”
Minister of Mineral Resources and Energy, Gwede Mantashe, agreed, saying the bottlenecks at the country’s ports were concerning. “We also need to improve our railway system to ensure we are able to move our minerals to the international market with as little disruption as possible.”
He welcomed the move by Transnet to work with the Minerals Council, saying this would go a long way in addressing the bottlenecks on the railways and at the ports.
“Logistical challenges have a direct impact on our mining sector and therefore on the economy. We are finding mines keeping bigger stockpiles simply because they cannot move products to the ports efficiently and effectively. A smooth supply chain is critical for our mining sector.”
