The Department of Mineral Resources and Energy (DMRE) recently announced that PMG Consortium has been selected as the preferred bidder to establish a mining cadastre in South Africa. But what is a cadastral system, and how will it benefit South Africa?
A mining cadastre is effectively an online map showing mineral wealth and active mining operations throughout the country.
Benefits
Implementing such a cadastre will enable transparency not only for prospective miners, but also for the public at large.
The South Africa mining sector has spent years trailing its African neighbours who have implemented mining cadastral systems, such as Mozambique and Botswana.
Once the mining cadastre is in place, companies will be able to apply for exploration, prospecting and mineral and related rights on a more automated basis. The system is intended to alleviate the backlog caused by the drawn-out application processes in the existing South African Mineral Resources Administration System, known as the SAMRAD system. This backlog currently runs to approximately 3,000 applications over the course of the past three years, with an estimated R30 billion in mining sector investments. Introducing a cadastral system should expedite the processing of applications and promote a prompt regulatory process.
The effect of the transparency of the mining cadastre is that companies will be able to monitor the…
Christina Pretorius | Director | Mergers and Acquisitions | mail me| | Luke Schooling | Associate | Mergers and Acquisitions | mail me | | Dylan Hampton | Candidate Attorney | Mergers and Acquisitions | mail me | |
| Norton Rose Fulbright | |
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Related FAQs: Mining cadastre
Q: What is a mining cadastre?
A: A mining cadastre is a comprehensive system that manages and records information related to mineral rights, permits and licenses in the mining sector. It functions as a portal that displays a country’s mineral resources and energy management, ensuring transparency and efficiency in the allocation of mining rights.
Q: How does a mining cadastre improve transparency in the mining industry?
A: By providing an accessible portal that displays a country’s mining permits and licenses, a mining cadastre enhances transparency. It allows stakeholders to easily track and verify the status of mineral rights, which reduces corruption and promotes fair practices in the allocation of mining and exploration rights.
Q: What kind of information can be found on a mining cadastre map?
A: A mining cadastre map typically includes spatial information about mineral rights, active mining operations, exploration permits and geographical data relevant to the mining industry. This map portal serves as a visual representation of the country’s mineral resources and their distribution.
Q: Who manages the mining cadastre in South Africa?
A: The Department of Mineral Resources is responsible for managing the mining cadastre in South Africa. This department oversees the licensing system and ensures that the cadastre portal is updated and accessible to the public.
Q: What are the benefits of using a mining cadastre portal for miners?
A: The mining cadastre portal provides several benefits for miners, including streamlined access to information on available mineral rights, simplified application processes for permits and licenses and improved communication with regulatory authorities. This leads to more efficient mining and prospecting activities.
Q: How does a new mining cadastre impact mineral exploration?
A: A new mining cadastre can significantly impact mineral exploration by providing clear and organised access to information about existing licenses and permits. This spatial dimension helps explorers identify areas with potential mineral resources, thus enhancing their ability to make informed decisions.
Q: What role does transparency play in the mining licensing system?
A: Transparency is crucial in the mining licensing system as it helps to build trust among stakeholders. By making information about mining permits and licenses publicly accessible, it reduces the risk of conflicts, enhances accountability and encourages responsible mining practices.