Judgment reserved in CoM’s application for declaratory order regarding continuing consequences of ownership

10th November 2017 By: Anine Kilian - Contributing Editor Online

JOHANNESBURG (miningweekly.com) – The Chamber of Mines (CoM) on Friday advised that its application for a declaratory order on the principles applicable to the assessment of the ownership element of the Mining Charter, particularly in respect of the continuing consequences of previous black economic empowerment (BEE) deals, was heard by a full bench in the High Court of South Africa on November 9 and 10.
  
All parties presented their respective arguments over the two-day period and judgment has been reserved.
 
“The CoM remains fully committed to the meaningful transformation of the South African industry and believes the continuous assessment of the progress made in this regard is vital.

“As such, the chamber recently carried out a survey of its members to assess the progress the industry has made in terms of the 2010 Mining Charter’s transformation pillars during 2016,” it said in a statement on Friday.

In total, 28 mining companies covering all sectors and representing an estimated 70% of the industry and 67% of employment, participated in the survey.

According to the outcomes of the survey, based on the principle of recognition of continuing consequences of previous transactions, ownership of the industry by historically disadvantaged South African’s (HDSAs), stood at 39% in 2016, which is significantly above the Charter target of 26%.

Further, in 2016 alone, some R2.2-billion flowed to HDSAs in dividends from the surveyed companies.