Legal updates and opinions
News / News
Directions on fair processes for mining sector during covid-19 lockdown issued
by Chris Stevens, Director and Head of the Mining, Environmental & Resources practice; Kathleen Louw, Director; and Bronwyn Parker, Senior Associate
- As anticipated, the Department of Mineral Resources and Energy (“the DMR”) has issued directions designed to ensure fair processes (“the Directions”) on licensing, consultation, appeals and compliance processes and reporting requirements for the mining sector during the COVID-19 lockdown period. A copy of the Directions are attached hereto for ease of reference.
- The Directions were published in Government Gazette 43227 on 11 April 2020 and came into effect on this date. The purpose of these Directions is to ensure fair processes, relating to licensing, consultation, appeals and compliance processes and reporting requirements during the lockdown period.
- The Directions specifically apply to:
3.1 Directions relating to permissions, rights and permits as contemplated in the Mineral and Petroleum Resources Development Act (“MPRDA”).
3.1.1 Certain timeframes are extended, or deemed to be extended, by the number of days of the duration of the lockdown period extended during the lockdown, being timeframes:
3.1.1.1 prescribed in terms of the MPRDA in relation to applications for and processing of permissions, rights and permits that fall within the lockdown period;
3.1.1.2 applicable to renewal of permissions, rights and permits falling within the lockdown or 60 days from 27 March 2020; and
3.1.1.3 relating to Appeals prescribed under Regulation 74 of the Regulations promulgated under the MPRDA (as amended).
3.1.2 An extension of a time period granted by a functionary referred to in paragraph 4.1(a) of the Directions, the period of which falls between 27 March 2020 and the termination of the lockdown period of the national state of disaster is extended, or deemed to be extended, by the number of days of the duration of the lockdown period.
3.2 Directions relating to directives, notices, orders and instructions
3.2.1 Timeframes stipulated in directives, notices, orders or instructions issued in terms of the MPRDA and which period falls within the duration of the lockdown period of the national state of disaster, are hereby extended, or deemed to be extended, by the number of days of the duration of the lockdown period.
3.2.2 This does not apply to directives, notices, orders and instructions issued as urgent measures to “prevent imminent damage or harm to persons, animals, the environment or property” which measures must be complied with in accordance with stipulated time frames.
3.3 Directions relating to submission of reports
3.3.1 first annual report on the Broad-Based Socio-Economic Empowerment Charter for the Mining and Minerals Industry must now be submitted on 1 June 2020.
3.3.2 Save for the report referred to above, the timeframes for submission of reports to be submitted in terms of the MPRDA and which period falls within the duration of the lockdown period of the national state of disaster, are hereby extended, or deemed to be extended, by the number of days of the duration of the lockdown period. - We have already noticed that the Directions may lead to ambiguity and/or require further interpretation. In this regard and so as to avoid the missing of any critical deadlines, we encourage you to contact the Werksmans Mining team in respect of any specific queries you may have in the implementation of the Directions.
Latest News
Vesting of Capital Gains through Multiple Trusts
by Erich Bell, Director The recent tax court decision IT 24918 (delivered on 18 March 2021) is the first case [...]
Competition Commission’s Report on the effects of the Covid-19 Block Exemption for the Retail Property Sector, 2020
by Dominique Arteiro, Director Background On 23 April 2021, the Competition Commission ("Commission") published a notice in the Government Gazette in [...]
The SAA Business Rescue Process : A steep learning curve – Lessons for SOEs
Setting the scene Since being placed under voluntary business rescue in December 2019, South African Airways ("SAA") has been a [...]
Temporary Employer / Employee Relief Scheme (“TERS”) update
by Jacques van Wyk, Director; Andre van Heerden, Senior Associate; and Lukrisha Ramadu, Candidate Attorney On 20 April 2021 the [...]
The Legal 500 Europe, Middle East & Africa Rankings
The Legal 500 has released its 2021 rankings for the EMEA region. Regarded as [...]
Opportunities for private equity in business rescue
By Elliott Wood, Director and Bafana Ntuli, Director On 23 February 2021, the first ever virtual Ansarada DealMakers Annual Awards [...]
