The mining industry has historically been a key driver of the South African economy. Economic activity in modern-day Soth Africa has been centered on mining activities, their ancillary services and supplies. The country's stock exchange in Johannesburg was established in 1887, a decade after the first diamonds were discovered on the banks of the Orange River, and almost simultaneously with the gold rush on the world-famous Witwatersrand. Today, the South African mining sector employs approximately 490,000 workers (5% of the South African workforce) and contributes to roughly 8% of the country's GDP.
Unsurprisingly, the country's mineral wealth is a valuable source of foreign direct investment. In spite of prevailing regulatory uncertainty the mining industry remains a key focus point of the government and the private sector, and continued efforts are being made to engage foreign investors to stimulate further growth.
Topics covered in this publication:
- Overview of mining industry in South Africa
- Legal and regulatory structure
- Mining rights and title
- Duties, royalties and taxes
- Business structures
- Health and safety, and labour issues
- Social and community issues
- Anti-bribery and corruption issues
- Foreign investment
- International treaties
Reproduced with permission from Law Business Research Ltd. This article was first published in Getting the Deal Through – Mining 2018 (Published: July 2018). For further information please visit www.gettingthedealthrough.com.