New Mineral Resources Bill will 'devastate' SA's mining sector - International Zinc Association (Africa)

The Money Show's Stephen Grootes interviews Simon Nortje, Africa Director for the International Zinc Association.

The International Zinc Association (IZA) Africa is warning that the proposed new Mineral Resources Bill will devastate South Africa's mining sector.

In particular, its implementation will have far-reaching consequences for the zinc and galvanizing industries, IZA says.

The Minerals Council South Africa has already warned Gwede Mantashe, Minister of Mineral and Petroleum Resources, of a looming confrontation after it accused government of ignoring its input.

Of particular concern is the fact that prospecting companies were excluded from the same empowerment requirements that apply to holders of mining rights

IZA Africa Director Simon Nortje highlights the close relationship between the zinc and mining industries.

He notes that 30 000 tons of steel is used in an average mine shaft - all of which has to be galvanized using zinc in its refined form.

"The majority of our galvanizers operate in the areas to support the mining industry, and if this industry is going to decline because of this proposed legislation,, we can't stand by and watch. We've got to support the zinc industry and say this bill has to be relooked."

Simon Nortje, Africa Director - International Zinc Association

"It's not going to produce more mining, it's not going to increase employment and it's certainly not going to boost the galvanzing industry."

Simon Nortje, Africa Director - International Zinc Association

To hear more from Nortje, listen to the interview audio at the top of the article