JOHANNESBURG – Government wants to raise black mine ownership to 30-percent over the next five years.
This is one of the targets in a revised draft mining charter which was released for public comment yesterday by Minister of Mineral Resources Gwede Mantashe.
It replaces the controversial charter released a year ago by Mantashe’s predecessor, Mosebenzi Zwane.
Mining companies agreed to postpone a legal challenge to Zwane’s charter after President Cyril Ramaphosa said he was committed to finding a solution to the dispute.
The new draft gives existing mine permit holders five years, instead of one year, to meet the new black ownership requirement.
It also addresses a dispute under the previous charter over companies in which black investors have sold their shares.
Such a company will now be seen as BEE compliant and has five years to reach 30-percent black ownership.
New Draft Charter
– Existing permit holders have five years to meet black ownership requirement
– If black shareholders sell shares, company remains compliant
– At least 50% of seats on boards reserved for black South Africans
– 1% profits paid to employees and communities
– 70% of procurement budget spent on goods made in South Africa