This is according to social justice movement Bua Mining Communities (BuaMC) coordinator Joseph Magobe.
ASX-listed mineral sands miner Mineral Commodities’ (MRC’s) subsidiary, Transworld Energy & Minerals Resources (TEM), has intentions to prospect and mine the Kwanyana block, on the Wild Coast.
Mining Weekly reported in 2013 that MRC had successfully reapplied for prospecting rights for the project, which is regarded as one of the largest undeveloped mineral sands resources in the world, containing more than nine-million tons of ilmenite.
The renewal of the licence follows the Department of Mineral Resources’ (DMR’s) revocation of TEM’s conditional mining right for the block in 2011, owing to environmental issues. The prospecting licences for the four other blocks in the Xolobeni region were renewed at the same time.
In 2012, African National Congress secretary-general Gwede Mantashe called on mayors and councillors in the Wild Coast region to unite behind the granting of licences for mining in the area to unlock the development potential which would benefit poverty-stricken communities.
MRC told Mining Weekly that, if the Xolobeni project were to come start production, about R2-billion would be invested in local infrastructure, 300 people would be employed for two years to build the mine and 600 people during its 25-year life cycle.
Further, based on a standard 1:5 ratio for job creation on projects of this nature, Xolobeni would create about 3 000 direct and indirect jobs in one of the poorest regions in South Africa, said MRC.
“More than R1-billion would also be realised by the local community, the AmaDiba people, who are 26% shareholders in the Xolobeni project.”
MRC stated that this would mean the AmaDiba people, who had established their own wholly owned subsidiary, XolCo – the Xolobeni Empowerment Company – would benefit from the dividend flow of the project.
Nonetheless, many AmaDiba people have continued to oppose the project over the past three years, with the murder of AmaDiba Crisis Committee chairperson and staunch opponent of the Xolobeni project Sikhosiphi ‘Bazooka’ Rhadebe in March thrusting the issue back into the mainstream media spotlight.
Magobe tells Mining Weekly that the Xolobeni matter has re-emphasised the preciousness of natural resources to local communities and the need to preserve the environment in which they reside.
He points out that BuaMC represents about 20 mine-hosting communities in and around the Bojanala platinum district municipality, in the North West, and has “learnt a great deal from the AmaDiba people regarding how they have addressed the mining issue”.
However, Magobe emphasises that it would be “disastrous” for BuaMC to advocate for a total ban on mining in the North West, as the region depends heavily on the mining sector for job creation.
The local municipality and the provincial government should instead ensure that the region’s economy is diversified away from mining, he adds.
Magobe says many industries, such as information and communication technology, agriculture and renewable energies, could ensure a more sustainable future. These alternatives will not only benefit the local economy but are also significantly less harmful to the environment – an issue that mine-affected communities have long been highlighting to government, he elaborates.
Source: Mining Weekly
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