Gold loses some luster after Trump’s decisive win
Gold’s slide is a marked turnaround for a commodity that had surged by more than 30% in the year leading up to the US vote.
South Africa’s government is wiling to consider mining companies’ concerns over planned changes to the country’s mining laws, which opponents say will discourage investment.
Speaking to the Financial Times (pay wall), officials said they remain “open minded” about modifications to the 2002 Mineral and Petroleum Resources Development Act, being suggested by the sector’s main actors.
A Parliament committee is currently holding public hearings on the planned revisions, which aims to promote employment by forcing mine operators to process output locally and declare some minerals strategic to secure supplies.
Mining companies and legal experts have criticized extensively some of the bill clauses, which they see affecting their businesses negatively. They have also say the new law would give the mines minister too much regulatory discretion, disregarding the constitutional provisions on property rights.
Among other potential changes, the bill grants broad discretion to the minister to decide the levels of minerals that must be set aside for beneficiation and the preferential pricing regime under which beneficiation can take place. It also lets the minister limit the export of certain minerals that qualifies as “strategic.”
South Africa’s two main mining sectors, platinum and gold, have been under pressure from spiralling costs, weaker commodity prices and major strikes.
3 Comments
Robin
South Africa sounds like bad new now, what’s happening… is the blind leading the blind??
drift123
A failed culture indeed! Without tourists and foreign geologist, engineers as well as Western diamond buyers the country would be nothing but starving people and scrub brush..
South african school kids should be told that Everything african is sub standard, moronic, inferior and outdated and that the school children should do everything possible to emulate Western culture.
Farai
Concessions by the current ruling party to the post apartheid economic establishment glossed over structural defects in the economy which needed fixing. The consequence is these incessant industrial actions.