South Africa changes mining code to boost black ownership

28 Sep, 2018

South Africa on Thursday unveiled a raft of changes to a controversial mining bill which is to raise black ownership of mining companies from 26 percent to 30 percent. Mineral Resources Minister Gwede Mantashe revealed details of the mining charter, intended to transform the key industry and address long-standing racial inequality in the sector.
The 30 percent black-held equity will be distributed between employees, mine communities and entrepreneurs, Mantashe said at a news conference in Pretoria.
An impasse between government and business over key provisions of the legislation had in recent years created uncertainty within the industry, a cornerstone of South Africa's economy.
Mantashe told reporters that the document will "entrench regulatory certainty for investors, and provide security of tenure for investments". The government had been criticised over the slow pace of change in the sector which contributes eight percent of GDP.

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