Warning: new laws could cripple SA’s mining sector
CHAMBER of Mines president Mxolisi Mgojo said on Thursday that the mining industry was concerned about the new laws contained in the Reviewed Mining Charter, saying these laws might result in capital flight from South Africa.
Speaking on the sidelines of the chamber’s media briefing, Mgojo said the new laws were designed in a way that they had the potential to cripple the industry by driving investment away. “There is no capital as we speak. People are trying to raise capital and capital is getting expensive.
“Our vice-president is abroad on an investor roadshow and he just called us today asking what is happening, because investors are questioning him,” Mgojo pointed out.
“Capital is not going to come. Mines are not going to be developed and jobs are going to be lost,” he warned.