The summit is focused on addressing pressing challenges in the sector, including infrastructure deficiencies, political instability, and the need for economic diversification.
Infrastructure deficiencies remain a significant obstacle for many African countries in fully capitalising on their critical mineral resources.
Roads, railways, ports, and reliable energy supply are insufficient in several regions, limiting the efficiency of mineral extraction, processing, and transport. This in turn reduces the economic benefits that these resources could bring.
Malebogo Mohape, Spokesperson and head of publicity for the summit, highlighted South Africa’s leadership role in unlocking the economic potential of critical minerals.
"SA is well-positioned to lead in extracting and benefiting from rare earth minerals, platinum group metals (PGMs), lithium, nickel, palladium, copper, and other vital resources," Mohape said.
The lack of local value addition to extracted minerals, and mineral beneficiation, remains a longstanding issue in Africa. Mutai pointed out the legacy of derelict and ownerless mines, where past mining activities left land unrehabilitated, creating security risks and enabling illegal mining.
South Africa’s Mineral and Petroleum Resources Development Act (MPRDA), first enacted in 2002, addresses this issue by requiring mining companies to demonstrate financial means for land rehabilitation before permits are granted. "This is a critical step towards holding companies accountable and ensuring sustainable mining practices," Mohape added.
Representing the Democratic Republic of Congo’s (DRC) Atlas Mining Fortune Mlalazi emphasised the importance of moving towards sustainable development and reducing over-reliance on raw mineral exports.
“The challenge lies in exporting raw materials without adding value locally,” Mlalazi said, pointing to examples such as Zimbabwe’s lithium and the DRC’s vast array of resources, including diamonds and gold.
“We need investors who not only extract resources but also build factories within Africa to process and add value. Polishing diamonds and refining gold locally will allow us to sell finished products and capture greater economic benefits.”
As discussions continue at the summit, participants are proposing solutions to tackle the sector’s challenges. Key areas of focus include:
1. Infrastructure Development: Building roads, railways, and ports and securing stable energy supplies to improve mineral extraction and transport.
2. Governance Improvements: Strengthening laws to ensure accountability from mining companies and prevent illegal mining activities.
3. Economic Diversification: Shifting from exporting raw minerals to producing finished products, which would generate more jobs and economic growth within the continent.
The summit also aims to foster collaboration between African governments, investors, and international organisations to address these challenges collectively.
--ChannelAfrica/SABC--
