https://www.engineeringnews.co.za

On-The-Air (22/05/2015)

safm22may2015

22nd May 2015

By: Martin Creamer

Creamer Media Editor

  

Font size: - +

Every Friday morning, SAfm’s AMLive’s radio anchor Sakina Kamwendo speaks to Martin Creamer, publishing editor of Engineering News and Mining Weekly.  Reported here is this Friday’s At the Coalface transcript:

Kamwendo: It’s the end of an era as diamond-giant De Beers prepares to exit diamond-mining in Kimberley, the city where it all began 127 years ago.

Creamer: Yes, I think this is a good move by De Beers. They are not moving out of Kimberley as such, they will still have their diamond sorting centre and still keep their responsibilities for the Big Hole and their registered office and headquarters there. What they are doing is that they want to exit mining.

We have seen them do that very strategically and very well over the last ten years. The also want to exit their mining now from Kimberley, which means De Beers will be in Kimberley but will no longer be mining. The way they want to do it is quite responsibly.

They are calling now for open bids. If you look at these big companies like De Beers and we also saw it with BHP Billiton were they spun-off assets, which didn’t meet their criteria, De Beers has Rolls Royce criteria. When these criteria are no longer met, they then want to pass this over to someone else who can keep it going. We have seen several of the other mines still going.

Cullinan, Petra is doing well there, putting another R1.5-billion and they also took over Finsch from De Beers. De Beers also disposed of several other South African operations in the same way, giving someone else a chance before the mine actually is worthless. By 2018, this mine will no longer meet their criteria.

They now have Standard Bank as an advise and people must have expressions of interest by next Friday, particularly BEE credentialled people, who can take over. There is still a lot of life there and if you have got a different set of overheads, you can keep this going to 2030 and that is what they are hoping to do with this operation that began 127 years ago.

Kamwendo: The Chamber of Mines this week gave a sneak preview of its new plan to put South Africa’s mining industry back on the front foot.

Creamer: This was an important annual general meeting, the 125th AGM of the Chamber of Mines in Johannesburg, very well attended. It was good that they showed a lot of spunk there when particularly when they came forth with this new strategic plan, which has the whole of the chamber’s Council approval to put South Africa back where it should be in mining.

We see that they want investment to double by 2030. That is quite a moderate target, but at least they are showing a resolve to get the mining back to where it should be. We have got $2.3-trillion worth of value in the ground, which is worth nothing if you cant get it out profitably. They say to get it out profitably, they need stability, predictability and competitiveness. That is why they want to work with the government.

We see it is a very robust industry. Every now and again government gives them a left hook and then they respond with a right cross, but the gloves don't come off completely. We saw that even at the AGM where the government representative said let’s use our safety model and extend it.

We have done so well with safety we had the safest year in mining history last year. We reduced fatalities by 86%, we can work together in all areas. Obviously the mines want the stability, predictability and legislative framework. The government wants transformation. So, they are working together. The chamber is saying celebrate our transformation and the government is saying that they haven’t transformed enough. When the statistics come out, you can see that the chamber has done pretty well. In terms of ownership, their average black ownership of mines is 38%, which is above the 26% laid down.

When the government measures it with its own statistics, it doesn’t only look at the chamber members, it looks at the whole country, which a government has got to do. So it also takes into account those mineral rights that are owned by a family or small business that hasn’t even done anything yet. When you take that into account, the percentage falls. They will, I’m sure, reach common ground. They are also talking about this operation ‘hurry up’, which I think, the government wants to do. It has done it in the maritime region already project Phakisa. The Chamber is very keen to work with the government on this, so that South Africa can get the full gross domestic product out of mining.

Kamwendo: The world’s first fly farm is all set to open in Cape Town next month.

Creamer: This fly farm we have spoken about on this programme before, but it is now going to be ready for operation by the middle of next month. There will be five-billion flies there. Of course, flies are not difficult to get, but it is a very innovative idea that has been developed by this AgriProtein group, which has invested R70-million. They also do the job of getting rid of our waste, because they go to the abattoirs and get the blood and guts.

They go to restaurants and get the waste and let the flies feed on this waste. When the eggs are laid they allow the larvae to be hatched. Then at the right point they take that larvae, which is protein rich and they dry it and they turn it into a new product called Magmeal, the mag stands for maggots.

We know that when chickens scratch in the fields they are looking for these maggots and also fishmeal has become very expensive and we need to replace it on planet earth. This is a huge initiative that is winning awards worldwide.

Kamwendo: Thanks very much. Martin Creamer is publishing editor of Engineering News and Mining Weekly, he’ll be back with us at the same time next week.

 

Edited by Creamer Media Reporter

Comments

Showroom

Aqs image
AQS Liquid Transfer

AxFlow AQS Liquid Transfer (Pty) Ltd is an Importer and Distributor of Pumps in Southern Africa

VISIT SHOWROOM 
Actom image
Actom

Your one-stop global energy-solution partner

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Photo of Martin Creamer
On-The-Air (15/03/2024)
15th March 2024 By: Martin Creamer
Magazine round up | 15 March 2024
Magazine round up | 15 March 2024
15th March 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.219 0.276s - 155pq - 2rq
Subscribe Now