South Africa’s mining industry is destined to transition into a ‘very different’ mechanised, modernised and automated industry staffed by a highly skilled, well-paid and lithe workforce. That is the prediction of acting Chamber of Mines CEO Roger Baxter, who told KPMG’s Mining Tax and Law of the likelihood of mining doubling its contribution to South Africa’s gross domestic product (GDP) by 2030. Read on page 8 of this edition of Mining Weekly of mining already contributing 18% of GDP alone and 50% of GDP when all its associated industries are taken into account. In 2012, mining spent R2-billion on communities, R4-billion on skills development, paid R20-billion in corporate taxes and increased wages at a rate of 12% a year, despite the world’s top 40 mining majors suffering flat revenue, 72% lower net profit, record impairments and a big increase in net debt.

For a long time, price opacity has reigned in the diamond industry. For instance, diamond major De Beers does not disclose its selling prices and, while there is an index for rough diamond prices and asking prices are listed, there are no live spot prices. But the Web may change things. Read on page 18 of this edition of Mining Weekly of the Bluedax website listing diamonds for sale at fixed prices and auctions being introduced, but only those registered can see the real-time price data. However, evaluation remains difficult for prospective investors and some are becoming more strident in their calls for greater price insight. Rough diamond price gains have been underpinned by declining output at many of the biggest mines as supplies of accessible gems near the surface deplete. The richest mines are now decades old and new mines are few and far between. Mined diamonds begin their journey at the sights held ten times a year by De Beers, which sells a big percentage of rough diamonds to a limited number of buyers. Bluedax may now glean more from non-De Beers companies, with the name Alrosa, of Russia, being mentioned.

Global engineering consultancy SRK Consulting is gearing up to expand its African footprint by focusing on local skills development and strategising to be a leader in African natural resources, development solutions and providing sustainable solutions. Read on page 24 of this edition of Mining Weekly of the company having 15 offices on the continent and being involved in 776 projects across 26 countries in Africa. Its expansion strategy is based on long-term investments in selected countries where the right local experts and opportunities have been identified. The aim of its African technical team is to drive economic development, spread the benefits of investment and ensure that primary industries, such as mining and energy, create a broader foundation for diversified growth.