The Division of Mineral Sources and Power (DMRE) has denied allegations by PP Gems that it’s ignoring unlawful sugilite mining by Black Rock mine and failing to reply to authorized correspondence.
Assmang operates the Black Rock mine on a number of farms in Kuruman, within the Northern Cape. Its registered mining proper permits it to extract manganese ore.
In June 2020, PP Gems and its associated entities utilized for 3 mining permits to mine gems, excluding diamonds, on part of Portion 9 of the Farm N’Chwaning 267 in Kuruman. The regional supervisor for the Northern Cape accepted these functions.
Assmang turned conscious of those functions in Might 2021 and objected, arguing that the land in query is a part of its legally permitted mining space. The corporate claimed that gems are included inside the definition of manganese ore, making the approval of separate mining permits for gems legally invalid.
Nevertheless, the director-general dominated that Assmang’s mining proper solely lined manganese and never gems, dismissing Assmang’s appeals. These choices at the moment are beneath evaluation by Mineral and Petroleum Sources Minister Gwede Mantashe and stay unresolved.
Assmang has additionally appealed the precise granting of the mining permits to PP Gems, and these appeals are nonetheless being reviewed by the DMRE. Moreover, in November 2023, Assmang took authorized motion to overturn an environmental authorisation that allowed PP Gems to begin mining.
The Gauteng Excessive Courtroom in Pretoria dominated in Assmang’s favour, invalidating the environmental authorisation and stopping PP Gems from beginning mining operations.
In November 2024, the DMRE’s try to enchantment this ruling was rejected by the Excessive Courtroom. The State Lawyer’s Workplace then utilized on to the Supreme Courtroom of Enchantment on December 11, 2024. The Supreme Courtroom has not but selected this matter and the DMRE continues to be contemplating whether or not it ought to proceed with the enchantment.
Throughout late 2024, PP Gems repeatedly requested the DMRE director-general to concern letters of advice to the Worldwide Commerce Administration Fee of South Africa (Itac) to acquire export permits.
Nevertheless, DMRE director-general Jacob Mbele refused, citing the court docket ruling that overturned PP Gems’ environmental authorisation. For the reason that authorized case is ongoing, he mentioned he was unable to concern the requested letters.
On December 23 final yr, PP Gems sought authorized motion in opposition to Assmang, Black Rock mine, the South African Police Service and the South African Income Service (Sars).
PP Gems requested the court docket to stop Assmang and Black Rock from promoting sugilite and different gems mined from Farm N’Chwaning 267, cease the sale of sugilite gems seized by Sars on the OR Tambo Worldwide Airport, declare PP Gems because the rightful proprietor of the seized gems and order Sars to return 619 kg of sugilite to PP Gems.
On January 27, the South Gauteng Excessive Courtroom dismissed PP Gems’ utility owing to an absence of urgency. Because of this, the seized gems stay in Sars custody and are beneath investigation.
Given these circumstances, Mbele mentioned he stays unable to concern the requested letters of advice.
The DMRE has insisted that it’ll not be pressured into making untimely or illegal choices however that it stays dedicated to supporting authorized funding within the mining sector.
The DMRE has acquired a number of media inquiries about allegations of unlawful mining associated to this dispute. The central concern is that each Assmang and PP Gems have been granted mining rights for various minerals on the identical land. It mentioned that it is a widespread prevalence in South Africa, the place completely different minerals typically exist in the identical space owing to pure geological processes.
Mbele defined that many mining areas in South Africa comprise a number of minerals. He cited the Bushveld Advanced for example, the place platinum-group metals, chrome and vanadium are all discovered collectively.
South African mining legal guidelines enable completely different corporations to mine completely different minerals on the identical land, both independently or via agreements.
Some corporations have efficiently negotiated agreements to mine collectively, whereas others battle with points resembling security, logistics and business preparations. The place obligatory, the DMRE facilitates discussions between corporations.
Nevertheless, its potential to intervene is proscribed when authorized disputes and appeals are concerned.
Mbele emphasised that the DMRE is dedicated to sustainable mining and honest entry to sources. Permitting completely different minerals to be mined in the identical space is one strategy to obtain this. Proposed amendments to the Mineral and Petroleum Sources Growth Act will quickly be introduced to Cupboard and launched for public remark.
These adjustments goal to offer extra safeguards for mining corporations working in shared mineral zones. Buyers and the general public could have the chance to present enter on the proposed adjustments, the DMRE mentioned.