1. “Mining and the Environment: Challenges of Sustainable Development”
Presentation to the Portfolio Committee on Water and Environment
5 November 2014

2. Presentation outline About the Chamber of Mines
Historical and Current Context
Chamber of Mines Response
Roles and Responsibilities
Conclusion

3. About the Chamber of Mines
To be the VOICE OF MINING, providing the advocacy role to its members
To be a catalyst for industry performance improvement (e.g. environment, safety and health) – putting the house in order
Deal more effectively with legacies of the past
Develop a positive contribution model, by putting South Africa first

4. Members of the Chamber of Mines
Financial corporations
Anglo American Corp
African Rainbow Minerals
Barrick African Gold
BHP Billiton
Mvelaphanda Resources
Rio Tinto (Richards Bay Minerals)
Coal mining
Anglo Coal Division
BHP Billiton Energy Coal
Coal of Africa
Continental Coal
Exxaro
Jindal Mining
Kangra Group
Kuyasa Mining
Optimum Coal
Sasol Mining
Siyanda
Total Coal
Tweewaters Fuel
Umcebo Mining
Xstrata Coal
Chrome Mining
Samancor Chrome
Xstrata Alloys
Diamond mining
De Beers Consolidated
Namakwa Diamonds
Petra Diamonds
SA Diamond Producers Organisation (SADPO)
Trans Hex Group
Gold mining
AngloGold Ashanti
DRD Gold
Gold Fields
Harmony Gold Mining
Rand Uranium
Iron Ore
Kumba Iron Ore
Platinum mining
Anglo American Platinum
Impala Platinum
Lonmin Platinum
Northam
Royal Bafokeng Plat
Other commodities
ASA Metals
ASPASA
Clay Brick Association
Corobrik
Deilmann Haniel (Redpath)
Delta Mining
G&W Base and Industrial Minerals
Imerys South Africa
Murray & Roberts Cementation
PPC
Randgold & Exploration
SA Mining Contractors’ Assoc
Shaft Sinkers
Vametco Mineral Corporation
Some new members
Jindal
VMCIL
Riversdale
Vergenoegd Mining
Amava Mining
Tshipi e Ntle
Giyani Gold 4

5. Presentation outline About the Chamber of Mines
Historical and Current Context
Chamber of Mines Response
Roles and Responsibilities
Conclusion

6. Historical and Current Context
Critical but contradictory role
- Mining is an integral part of South Africa, and politics heavily influences the sector and its players. Politics and mining feed on each other, and each political wave has brought its own flavour of changes to the mining industry. These political waves influences the way mining does business.
Negative Legacies
- Labour relations, socio-economic, occupational health and safety issues
- Environmental footprint: water (including AMD) , land, soil, biodiversity
- Regulatory inadequacies and corporate policies

7. LEGISLATION
MPRDA & NEMA (As amended) EIAs, EMPs & EMPr
Environ. Management
Mines & Works Act Mining Rights Act Minerals Act MPRDA (No. 27 of 1956) (No. 20 of 1967) (No. 50 of 1991) (No. 28 of 2002) Formal closure No env. man Strengthening through Strict reg. of env.
fencing of sites regulations env. man plans (EMPs) EMPs & MWPs
No detailed provision On surface rights Brought about change Concept of sustainable dev.

8. Historical and Current Context, Cont..
Positive Legacies
- Discovery of minerals led to the creation of new towns
Demand for minerals led to the building of RSA’s economic infrastructure, manufacturing/engineering capacity and financial services (e.g. roads, rail network, water and electricity infrastructure)
Demand for skills lead to the establishment of learning and research institutions (e.g. Wits University, SAIMR)
Essentially served as the backbone of RSA’s economy and facilitator of its development

9. Metals and minerals in a Smart Phone
Copper (16 grams) ¹
Silver (0.35 grams) ¹
Gold (0.034 grams) ¹
Palladium (0.015 grams) ¹
Platinum ( grams) ¹
Ceramic magnetic switches containing rare earths ²
Indium²
Titanium dioxide ²
Indium tin oxide ²
¹ source – USGS
² source – NRC critical minerals report

10. Metals and Minerals in a car
960kg iron &steel
109kg Aluminum
22.7kg Carbon
19 kg Copper, 34kg for a hybrid
19kg Silicon
11 kg Lead
10kg Zinc
7.7kg manganese
6.8kg Chromium
4.1kg Nickel
0.3 kg Platinum
+Antimony, barium, beryllium, cobalt, gallium, gold, magnesium, molybdenum, neodymium, indium, palladium,
Sulphur, rhodium, silver, strontium, tin, titanium, tungsten, vanadium, zirconium.

11. Even a Wind Turbine uses a significant amount of metals and minerals
335 tons of steel (chrome included)
4.7 tons of copper
13 tons of fiberglass
3 tons of aluminum
1,200 tons of reinforced concrete

12. Even the cosmetics and makeup are made from minerals
Talc
Mica
Kaolin
Calcite
Titanium dioxide
Zinc oxide

13. Even a bright smile, even comes from mining…….
Silica
Limestone
Aluminum
Phosphate
Fluoride
Titanium
Mica
Petroleum

14. Presentation outline About Chamber of Mines
Historical and Current Context
Chamber of Mines Response to AMD
Roles and Responsibilities
Conclusion

15. Chamber of Mines Response to AMD
Industry was instructed by DWA to develop a long term sustainable solution.
In response to government instruction the mining industry achieved the following:
- Establish Section 21 companies, which is WUC
- Contract WUC to develop solution (R65million)

16. Chamber of Mines Response to AMD, Cont…
In response to government instruction the mining industry achieved the following:
The mining industry through WUC submitted the First Class Feasibility Study and Stakeholder Engagement which essentially entails the following:
Definition of the scale of the AMD problem – qualities and quantities
Multiple Options considered

17. Chamber of Mines Response to AMD, cont..
Detailed Feasibility Study undertaken
Risk Assessments
Extensive Regulator and Public engagement
Permitting advanced to approval of Final Scoping- E.I.A Report
WULA ready for submission
Government solution - participation was by invitation

18. Chamber of Mines Response to AMD, cont..
The mining industry has also contributed significantly to government short, medium and long term interventions on AMD.
Far Western Basin
Rand Uranium/Gold One (Pump and treatment facility)
Central Basin
Central Rand Gold ( Submersible Pumps)
DRD Gold ( Pumping Infrastructure
Chamber of Mines participate in Inter Government Forum on AMD regarding immediate, short term and long term management of AMD

19. Chamber of Mines Response to AMD, cont..
Prevention of future negative legacies
- COM and DWA formal liaison forum
- Development of Best Practice Guidelines i.e. Water Conservation and Demand Management, series of water resources management guidelines.
- Individual companies implementing the regulatory requirements i.e. NWA, MPRDA, NEMA etc
Initiatives in response to IMC report
- Technical input into DWA implementation processes

20. Presentation outline About the Chamber of Mines
Historical and Current Context
Chamber of Mines Response
Roles and Responsibilities
Conclusion

21. Roles and Responsibility
Mine Water Management
Ownerless and derelict mine sites- responsible party is the State – explore opportunities for private sector participation
Authorisation holders impacted by extraneous water- authorisation holder with State assistance
Authorisation holders
- sole responsibility
Lessons from mature mining jurisdictions: Institutional arrangements and approaches

22. Presentation outline About the Chamber of Mines
Historical and Current Context
Chamber of Mines Response
Roles and Responsibilities
Conclusion

23. Conclusions Innovative approaches to legacy sites;
Search for win-win solutions
e.g Emalahleni Water Treatment Plant, WUC proposal
Regulatory flexibility
Improved environmental performance
Social license to operate – mining companies
Monitoring and enforcement - State
Obligations of gov depts to cooperate and align regulatory process
end

24. Thank You Nikisi Lesufi tel: /1