#MiningIndaba: Stakeholders need to pull together to revitalise industry

The country ranks low than the DRC, which is strange because the DRC is quite a risky environment, said Neal Froneman, CEO: Sibanye Gold. “Individually we cannot, as stakeholders, turn our problems around.”

He outlined where the problems lay in the different stakeholder components.

Business

Mining companies must commit to investment to ensure sustainability in the right environment. In addition, most of the businesses are well established, and there were not enough new entrants in the sector.

Regulation

Froneman says unclear policy is part of the reason why South Africa ranks so low in the Fraser survey.

“The regulatory framework has impacted negatively, because investor don’t know what the cost of doing business is here. We need a clear policy and partnership processes that are fair and efficient.”

Labour

“In terms of labour militancy – well you can’t get worse than South African,” he said, and unions must focus on promoting member interests rather than chasing a political agenda. They also must recognise the need for sustainability.

Employees

Froneman explained that part of Sibanye’s strategy is employee engagement and creating an environment where workers understand that they have to tighten their belts in tough times, so they can share in the good times.

Communities

Community representatives must engage constructively to speak up for the needs of the broader constituencies, Froneman said. “We’ve found many hidden agendas, such as local businessmen trying to promote their own interests.”

Mining communities also need to understand economic cycles and therefore be more supportive of a sustainable role, rather than being disruptive.

In conclusion, Froneman reinforced his message that sustainability in the mining industry required a joint effort from a stakeholders, with no one sitting in the centre of the circle.