EXCURSION • definitions consistently point towards a stage within the mining lifecycle. The phase involves activities such as environmental, social impact reclamation and rehabilitation. Within the South African context, mine closure is regulated by the Mineral and Petroleum Resources Development Act 28 of 2002 and the National Environmental Management Act 107 of 1998. These are overseen by the Department of Mineral Resources and Energy( DMRE), recently rebranded as Department of Mineral and Petroleum Resources( DMPR), and Department of Forestry, Fisheries, and the Environment regulatory authorities. The process commences with the mining rights applicant preparing an Environmental Management Plan before obtaining authorisation and continues throughout the operation until the Ministry of Mineral and Petroleum Resources issues the closure certificate. 10
Naturally mines are meant to be closed once their mineral reserves are depleted; however historical evidence has shown that mines can close for many other reasons beyond reserve depletion. Mines can close due to economic considerations and price drops, which makes business unprofitable. An example of such a situation is the global drop of tin prices in 1985 which led to a cessation of tin mines in Australia 8. Technical challenges related to geotechnical conditions, equipment failures, and infrastructural damage can also precipitate premature mine closures. Legal and safety violations are additional factors that contribute to mine shutdowns. 8 Mining companies operating in politically unstable countries face the risk of closure due to policy changes resulting from shifts in power and foreign investments regulations within the nation 8. Additionally, pressure from discontented communities can compel mining operations to cease.
Social and economic ripple effects of open pit mine closures in SA: Pilgrim’ s Rest Mine Open pit mine closure has an array of impacts on the hosting communities. Perhaps the most notable ones being the loss of jobs for individuals employed and a detachment from a source of livelihood. A study of Pilgrim’ s Rest Mine, in Eastern Mpumalanga( Siyongwana & Shabalala, 2019) revealed a decline in local businesses, reduced tax revenue and an overall impoverishment.
The Kimberley mine has been transformed into a popular tourist destination following the cessation of its mining activities.
In addition, a huge number of individuals migrated away from the area leading to it becoming a ghost town. The closure of the operation also led to a notable increase in criminal behaviour, drug and substance abuse.
The research by Siyongwana & Shabalala( 2019) concluded that some of the economic impacts of mine closure for the Pilgrim’ s Rest mine community included reduced buying power and a decline in the standards of living. Businesses such as hotels and accommodation services suffered, while a decline in foreign investment was experienced in the area.
The SA situation – a unique case? Although premature mine closures are observed in various parts of the world, the situation in South Africa varies considerably. Large mining companies in the region often opt to sell their depleted assets to smaller counterparts that can still extract value from an economic perspective as discussed by Mpanza et al.,( 2021) and Watson & Olalde( 2019). While this approach empowers smaller mines and previously disadvantaged groups, it presents a significant challenge for open pit mine closure in South Africa, as the capacity of these smaller mines to finance a successful mine closure up to relinquishment is limited. 11
Transforming challenges into opportunities There is limited literature on successful or satisfactory conclusions to open-pit mining operations in South Africa. However, some cases demonstrate significant potential. For example, the Kimberley mine has been transformed into a popular tourist destination following the cessation of its mining activities. Figure 3 shows the Kimberly mine in Northern Cape.
Siyongwana & Shabalala, 2019
Figure 2: Social impacts of mine closure on Pilgrim’ s Rest mine. www. africanmining. co. za African Mining Publication African Mining
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