AMN - Strong relationships key to the future - comment by Yolanda Torrisi

Improving commodity prices and increased exploration drilling have provided signs of recovery for the mining industry and lifted the tone of the Investing in African Mining Indaba in Cape Town but there is a strong need for more dialogue and cooperation among all stakeholders if the continent is to benefit fully from mining opportunities.

These thoughts were shared with Indaba delegates by SRK Consulting partner and principal consultant Andrew van Zyl, who said that those African countries which had yet to fully launch their mining sectors needed to learn from the sobering lessons of South Africa.

One of the important lessons, he said, was the importance of constructive dialogue and engagement between mining companies and key stakeholders like government and communities. He said South Africa still had to improve its performance in this regard and other countries needed to go down a different path than the continent’s mature mining centre.

In order to leverage their mineral resources as a driver for broader economic development, Van Zyl said countries needed to develop strong relationships between the public and private sectors. These were needed to build trust sufficient enough to endure through demanding commodity cycles.

He said mining was now more of a cooperative venture than ever before, requiring commitment from mines to engage broadly about their impacts and requirements. “While, in the past, it was usually simpler for new operations to build their own infrastructure, this process now demands a more inclusive approach that is sensitive to the wider social and natural environment.”

Van Zyl said a clear and shared vision gave stakeholders the comfort of knowing what their sacrifices and compromises were going to achieve - “the prize must be worth what each stakeholder is prepared to give up”.

He told delegates that it was heartening to see signs of revived interest in prospects for mining in various parts of Africa but these prospects would be well served by acknowledgements in the private and public sectors that mines were complex undertakings that relied on real collaboration and partnerships.

He also noted the different discussions concerning mining in South Africa and the rest of the continent. “While South Africa is concerned mainly with sustaining an ageing industry – with its attendant challenges of productivity, viability and competitiveness – most of the continent must address issues like infrastructure, logistics and developing mining codes. In either context, though, good leadership among stakeholders is vital to a successful outcome.”

Yolanda Torrisi is Chairperson of The African Mining Network and comments on African mining issues and the growing global interest in the African continent. Contact:yolanda@yolandatorrisi.com