The Minerals Council South Africa is set to engage extensively with the Department of Mineral and Petroleum Resources (DMPR) on the proposed Mineral Resources Development (MRD) Bill, with the aim of ensuring the regulatory environment supports investment, industry growth, and job creation.

Representing companies that contribute 90% of South Africa’s annual mineral production, the Minerals Council submitted its comprehensive, board-approved response to the Bill by the 13 August 2025 deadline.

“The regulatory framework must encourage investment across exploration, mine development, and the sustainability of existing operations, so the sector can reach its full potential in creating jobs and generating wealth for the country,” said Mzila Mthenjane, CEO of the Minerals Council.

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He added, “Our key focus in discussions with the department is to have pragmatic conversations that tackle provisions in the Bill which could hinder investment and growth in a sector with untapped potential.”

A core concern for the Council is that the Bill must provide certainty, predictability, and a globally competitive regulatory environment. Ambiguities must be eliminated to ensure a solid foundation is laid for building on progress made in the mining industry to date.

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The Council and its members remain committed to transformation, recognising that a thriving sector can broaden participation and unlock new opportunities for all stakeholders, including new entrants.

The Minerals Council does not oppose the inclusion of artisanal mining in the Bill, provided it is governed by a fit-for-purpose regulatory framework that ensures operations are environmentally responsible and conducted in a safe and healthy manner, with clearly defined responsibilities.

The Council welcomes the Bill’s move to criminalise illegal mining, a long-standing concern, and has proposed stronger penalties to serve as a more effective deterrent. The proposed streamlining of the appeals process is also viewed positively.

However, the Council’s overarching concern is that the current draft of the Bill does not create an environment conducive to investment. A key challenge is the bill’s heavy reliance on yet-to-be-published regulations, which limits the ability to fully engage with the DMPR on important elements.

Specific areas of focus for the Council’s engagement with the department will include:

• Beneficiation
• Empowerment
• Tailings management
• Mine closure provisions

These areas are currently tied to draft regulations not yet available for public review and, in their current form, may disrupt operations and deter potential investment.

The Council urges the government to consider incentivising beneficiation and investing in critical infrastructure—such as transport, water, and affordable electricity—rather than imposing prescriptive and punitive measures.

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The Bill should also reinforce progress already made in transformation and empowerment. The mining industry has made substantial achievements, as acknowledged by Minister Gwede Mantashe, who has stated that mining is among the most transformed sectors in the economy.

These and other topics will form the basis of ongoing discussions with the DMPR. The Minerals Council is committed to constructive engagement to help shape a regulatory framework that supports a sustainable, competitive, and inclusive mining industry for the benefit of all South Africans.