Mining firms on the carpet for non-compliance

Boksburg - More than 300 notices have been sent to companies in the mining industry which have not complied with stipulations in the mining charter regarding transformation, Mineral Resources Minister Ngoako Ramatlhodi said on Thursday.

"There remains many, many areas of challenge in terms of transformation in particular," he told the National Union of Mineworkers (NUM) congress in Boksburg, east of Johannesburg.

"We are to hold licence holders to terms of the contracts under which the licences have been issued."

Ramatlhodi told the union that those who had been issued notices would have to give a presentation to explain why they had not met particular contributions under the licencing agreement.

Under the mining charter, 26% of a company must be black-owned.

However, these black owners were selling their shares.

"They were given this opportunity... and what they did, they sold what they acquired under the charter, took the money and left," Ramatlhodi said.

"Now somewhere we were supposed to have said... we want this thing in the name of black empowerment, we must say it to the black people. We did not do that. We allowed them to sell to non-blacks and that affected the ownership patterns."

There had been a lapse in the process of administering this.

He said the matter would be dealt with through the law.

"We are using the law as we understand it, administratively, and secondly we are using the law to interrogate what that means."

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