Investor Support
The South African economy has been developing and strengthening at a rapid pace over the last ten years – leading to the support and investment of both local and foreign investors. Each industry attracts their share of investors and support, and the mining industry is no different – especially when one takes into consideration South Africa’s history of producing superior minerals to the rest of the world, and the potential this industry has shown.
In terms of the local support received - beyond the investment in development by local corporations – infrastructure and technological developments aid the creation of the trust placed in the country and its industries by these investors. Advances in mining technology ensure that the investment continues – for example, in the case of the development of blasting technologies that transform processes within deep level hard rock mining will result in cost savings and uninterrupted extended mining at the rockface with increased safety and effectiveness. Additional technological advances also led to an increase in the amount and availability of the data available – which increases investor awareness, trust, and thus investment amount.
Investor support extends beyond the large multinational mining corporations – small-scale mining operations also benefit from investment in their mines. Various organisations and dedicated Projects that are established offer assistance to smaller miners and prospective miners in terms of starting up the mine itself, and the supporting business. This assistance extends to everything from the location of identifying and locating potential investors to acquiring the funding and assistance on behalf of the miner. Additional assistance takes the form of:
- Facilitating the acquirement of the mining licence.
- Facilitating an accredited training programme.
- Ensuring feasibility studies are conducted.
- Developing the local community as a whole and thereby allowing them the opportunity to either participate in the programme in terms of either becoming miners and themselves, or becoming entrepreneurs themselves by starting up businesses that offer the mine products and services on a preferential basis.
- Researching which materials and machinery are required and sourcing either a sponsor or funding.
- Researching and sourcing potential “customers” to buy the products mined, or the by-products thereof (such as jewellery, for example).
- Follow up research once the project has been implemented – providing reports on the development and possible ways in which to improve the current situation, and additional training if necessary.
Development of the South African economy seems set to continue in a positive direction – and as long as the local and foreign investment continue to show faith in this strength, South Africa as a whole looks set to prosper.
Trade Publication Content - Published 2004