Engineering consulting services provider to natural resources industries SRK Consulting will expand its service offering to include railway infrastructure, which is a significant lifeline to the mining industry, SRK Consulting chairperson Roger Dixon tells Mining Weekly.

“Infrastructure remains a problem in most African countries and, as most are focused on maximising the benefits of mining and minimising its negative impacts, there will be increased demand for strategies that support national development agendas, from skills transfer to infrastructure growth.”

He says the new service will be integrated into the current services offering of the global group.

Dixon says the African mining industry is generally growing at a rapid pace, as the demand for most commodities has increased, particularly from China.

“One of the major challenges is developing the necessary infrastructure needed to sustain growth, such as the supply of power and water, as well as rail, road and port facilities.”

He explains that there is strong demand for iron-ore and coking coal used in the steel- making process, as well as increased interest in commodities such as phosphates, which are used by the fertiliser industry and influence food supply to the rapidly increasingly global population.

However, investors are becoming cautious. “In South Africa and many other African countries, the uncertainty around legal tenure is proving to be a major obstacle to investment,” says Dixon.

Although some investors are still wary of investing in African markets, he states that Africa should see a positive effect in the coming years from projects and developments already under way.

“However, a lot will depend on how much of the economic benefit filters down to the people of Africa,” explains Dixon, who says the continent should focus on the development of infrastructure and education. Sustainable growth will only be maintained if the people start to see the benefits.”

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