Deloitte SA Blog


How will mineral beneficiation affect your business?

This paper, prepared by Ebrahim Takolia of Deloitte Consulting, South Africa, is aimed at all decision-makers, across all industries. I have provided an introduction below and welcome you to download the full paper which is very comprehensive and highlights challenges, opportunities and the effects mineral beneficiation will have on businesses. If you have any questions or require additional information, you may contact Ebrahim Takolia at Click Here to download the Deloitte Mineral Beneficiation paper.

Positioning for mineral beneficiation – Opportunity knocks

Mineral beneficiation is a priority for governments of resource rich countries that would like to leverage the potential of mineral beneficiation to create local employment and drive economic growth. Many governments are developing strategies for domestic mineral beneficiation.

South African President, Jacob Zuma, has said that mineral beneficiation is a priority for his government and will finalise and adopt a beneficiation strategy as its official policy. In June 2011, government released a strategy that identified a number of instruments such as policies, legislation and incentives that can be put in place to enable beneficiation.

A mining company will typically be in one of the following assessment phases with respect to beneficiation:

Strategic Assessment: an analysis of the strategic considerations as well as risks and opportunities for mineral beneficiation, particularly focusing on the business case and taking into consideration government incentives and social imperatives like job creation;

Feasibility Assessment: the beneficiation opportunities have been identified and feasibility studies need to be undertaken to determine the viability of such initiatives; or

Implementation: the feasibility of an initiative has been determined and an implementation plan and schedule needs to be developed.

This paper is the first in a series about beneficiation and will be updated as legislation and incentives come into effect, which assesses the merits of beneficiation.

Download the full article . . . . Positioning for mineral beneficiation – Opportunity knocks

We welcome your feedback on this interesting and topical subject!

Category: Executive Leadership, Government & Public Sector, Mining, Energy & Resources

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2 Responses

  1. Anthony Peter O'Connor(Tony) says:

    Mineral benefication to me is nothing more than value adding to whatever is mined and resourced in South Africa. Why this should suddenly be a revelation is astounding. For example we mine Gold, at one stage the leading world producer, and yet we are not the leading producers of gold jewelery. Instead we have got lazy finding it easier to export the Gold and buy the Jewelery back at many times the cost.

    There are huge opportunities available here, and for every other metal mined, it is rediculous. We sold out our steel production to India, and we, like America, but on a much smaller scale, are allowing Japan, China etc to sell back to us finished product that we sell them at huge cost to our economies because it is easier. It also goes way beyond just mineral benefication.

    Society at large has become a throw away society, where it becomes cheaper to buy brand new than to repair. There is little need for artisans in certain areas, as little value is placed on their abilities to repair. Small appliances for example, they even make them almost impossible to open to repair. What absolute waste. What is manufactured these days is so good, yet they seem to have a built in expiry date. Why? If everyone had a fridge, microwave, iron, kettle, toaster, etc, that did not break, manufacturers would go out of business. Opps!

    My wife was so cross with me for repairing our toaster, which still worked perfectly when she threw it away in favour of a new four slice one. Why? Does South Africa have the potential to become an Economic Super Power, You bet ya! , because all it will take is to develop our Secondary Industrial Economy, and export to the world. Can we do it, yes we can, and it is widely acknowledged by the rest of the world. Southern Africa in fact, with Zimbabwe ready to change, Zambia changed, Mozambique itching to change, etc, African expansion is in fact what the world is needing right now , from the Fairest Cape in all the World to Cairo!

    On Facilitation trips to Uganda last year it became very apparent that what the rest of the world are very good at is exploiting as is the nature of fallen man and broken Capitalist society greed. Uganda are oil rich but even more wealthy in food production, because of the ubundance of clean water and fertile land. Due again to the ubundance, they do not have to worry about preserving food, they just throw away fresh produce everyday, that is not sold. The opportunity for manufacture of canned, bottled, exported food is enourmous, which would see this equatorial country with Lake Victoria, or is that fresh water sea, another factor, making it ripe for first World exploitation.

    I could go on and on such is my passion, but I will stop here. I close with this thought, however, with all this potential in South Africa, Southern Africa, and the whole contenent of Africa, should we not be possing sanctions on the rest of the world for their self-benefication attitude. If the truth is told, the so called aid programmes have ulterior motives. The First world need Africa more than Africa needs them, if the truth be told. “And the last shall be first, and the first shall be last”


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