YOLANDI GROENEWALD - Aug 28 2008 06:00

Thirteen years ago a strong environmental campaign saved the St Lucia dunes from being mined. This time the Minerals and Energy Department will not be swayed by public opinion, a senior official told the Mail & Guardian this week.

“The St Lucia decision was a political decision that had the ANC’s support,” said Jacinto Rocha, department deputy director-general. “At Xolobeni it is significantly different.”

The region, one of the poorest in South Africa, needs mining desperately, Rocha said, explaining last month’s decision to grant Australian company Mineral Commodities the right to strip-mine a 22km stretch on the Wild Coast.

“People argue that ecotourism is the best option for the people there, but where has ecotourism ever attracted major investment?” Rocha said. “Mining helps to pay the Kruger Park’s electricity bills. Without the capital that mining brings, you couldn’t have parks like Kruger.”

Rocha said the mining consortium’s application was faultless andthe department had no reason to refuse it — in fact, it could have been sued if it did so without good reason.

Activists from Sustaining the Wild Coast challenged Rocha’s claims. Its director, John Clarke, said there were huge problems with the consultation process and the behaviour of the Australian company.

There have been numerous reports of intimidation and foul play during the mining application process, prompting the South African Human Rights Commission’s intervention.

Despite the huge public backlash, it appears opponents of mining were caught napping — Rocha said the department had not received a single objection during the 30-day objections period. “They are making a big noise outside, but they did not make the right noises through the right channels,” he said.

People were wasting their time “toyi-toyiing on a beach” and should follow correct procedures by lodging an official appeal with the department or going to court, said Rocha.

Community leader Mzamo Dlamini countered that the community could not fathom the objections process. And since the company applied for a permit three years ago, MRC consultants had been everywhere trying to sweeten the deal for the community.

He indicated that the community might go to court to stop mining.

Mining rights do not fall under the ambit of the department of environmental affairs. Environment Affairs Minister Marthinus van Schalkwyk, who has publicly opposed the mining stance, allegedly only learned of the Wild Coast mining concession from the media.

Rocha said his department was under no obligation to inform Van Schalkwyk or the environment department. “We consulted them during the licensing processes, so we were well aware of their views,” he said. “And we considered their final late application — even if the media reported otherwise.”

Article comments

That’s just the problem. The decision was made at executive level way back, along with the electricity upgrade and N2 tollroad.

Since the concession is open on the remainder of the 22km tenement, will it be a surprise if the smelter/beneficiation plant, which was removed from the initial EIA, goes ahead?

The price of ilmenite and rutile seem to be closely guarded industry secrets, so it’s difficult to gauge the true market value of the end product. However, 95% of the world’s use for titanium is titanium dioxide pigment: with a value of approximately $2,000 per ton.

The mineral, ilmenite contains 55-65% titanium as TiO2, the rest being iron oxide. Rutile, on the other hand is basically pure TiO2. It derives its name from the Latin rutilus, red, in reference to the deep red color…

9,000,000 Tons of ilmenite, plus another 6 million tons of rutile, xircon, leucoxene, etc.

You do the math.

One has to wonder who the actual beneficiaries are of the 18% shareholding being held by TEM’s auditors.
Jeff Brown on August 29, 2008, 10:43 am

Posted on September 2nd, 2008
Filed under: Articles