Environmental account holds $250m

In a written reply to a Parliamentary question last week‚ Mineral Resources Minister Susan Shabangu said this money was in the form of bank and insurance guarantees posted by the mining exploration companies.

Shabangu said there was no timeframe for the reimbursement of the financial guarantees.

"Where the Minister is satisfied with the execution of the rehabilitation requirements by the (license) holder‚ the financial provision will be relinquished to the holder on granting of the closure certificate‚" she said.

Shabangu said refunds on financial provision (for environmental rehabilitation) were dealt with on a case-by-case basis and was only considered in cases where closure is approved and there was no risk of a residual liability to the state.