Mineral Resources Minister Gwede Mantashe has announced that government will withdraw the controversial Mineral and Petroleum Resources Development Act (MPRDA) Amendment Bill.
It's a move likely to be welcomed by the industry, which has been dogged by uncertainty since 2014.
Deputy editor at Financial Mail, Sikonathi Mantshantsha joined Kieno Kammies on Friday morning to give his reaction to the news.
This is after five years of confusion, after five years of the mining moratorium because no one was going to invest...— Sikonathi Mantshantsha, deputy editor at Financial Mail
He explained part of the Act as: 'The government will grab 20% of any new investment in mines, in oil and gas exploration, in addition, you have to give 30% to BEE investors and whatever is left is yours but still the government will own 8% of royalties on anything you sell
All of sudden Gwede Mantashe says its ok we are withdrawing that and the existing Minerals Act can govern that.— Sikonathi Mantshantsha, deputy editor at Financial Mail
To hear the rest of the conversation with Sikonathi Mantshantsha, listen below:
This article first appeared on CapeTalk : After five years of confusion, Gwede Mantashe withdraws MPRDA Amendment Bill