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Cape Town – The National Union of Mineworkers (NUM) added its voice to the criticism levelled against Mines Minister Mosebenzi Zwane’s proposal to place a moratorium on mining deals, rights and prospecting licences and will request him to desist from implementing it.
“NUM is deeply concerned by the current consideration to put in place a moratorium until the finalisation of the current court challenge of the recently gazetted Mining Charter by the Chamber of Mines,” it said in a statement issued on Wednesday.
“We are of the view such a moratorium will negatively affect our members through job losses, since there will be no Section 11 approvals taking on change of ownership and new mining or prospecting rights. All of this is taking place while we are faced with enormous job losses in various operations amounting to close to 20 000 affected employees.”
READ: Chamber of Mines launches interdict against Zwane over mining notice
On July 19 Zwane gazetted a proposal to restrict new mining and prospecting rights and the transfer of mining rights between companies. He invited stakeholders to make submissions on the proposals by no later than Friday August 4.
The Chamber of Mines subsequently served an urgent application with the Pretoria high court to review and set aside the notice, after Zwane had not heeded to the Chamber’s request to withdraw the notice.
The application will be heard on August 4 – the same date Zwane set as the deadline for submissions in the Gazette notice.
READ: Zwane fires next salvo with mining restriction proposal
NUM said in its statement that the proposed action by Zwane “unfortunately” emanate from his very own court agreement to withdraw the implementation of the third Mining Charter.
Earlier in July, Zwane gave an undertaking not to implement or apply the provisions of the charter, pending judgment in the urgent interdict application brought by the chamber.
The proposed move, NUM argues, will definitely be found wanting by a court of law, as it deviates from the principles and objects of the Minerals and Petroleum Resources Development Act of 2002.
'Cowboy style battle'
NUM was also highly critical of the “cowboy style battle” between the mining industry and the Department of Mineral Resources.
“This (battle) will have three guaranteed victims – the employees, communities (host and labour sending areas) and South Africans at large,” claimed NUM.
“The silence from the Public Investment Corporation and Industrial Development Cooperation, which have major shareholders in various chamber member companies, is shockingly problematic, as they seem to be passengers in this whole saga.”
READ: New Charter won't bring down mining sector - Zuma
NUM reiterated its support of the third charter as a much-needed transformation instrument.
“Employees cannot continue being victims of retrenchments, low wages and fatalities, while government and industry slug it out in courts.”
Meanwhile, the Department of Mineral Resources announced on Wednesday that Zwane has approved Lonmin’s application to acquire Anglo Platinum’s 42.5% stake in Pandora, a joint venture between Lonmin and Anglo Platinum.
The company was due to be placed under care and maintenance, placing 3 000 jobs at risk. The granting of the consent is subject to Lonmin presenting a plan to the department within five days on how it will address its BBBEE compliance.
Zwane granted consent for the cession of the right in terms of Section 11 of the MPRDA.
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