APPROVED IDP DOC 2011-16.BA PHALABORWA.pdf

The Mohale quartz deposit appears on the basis of initial information to be viable as a mine to
supply the Pietersburg smelter of Silicon Smelters and/or exports. It would not be used for a silicon
metal smelter in the SDI but it could be linked with other enterprises such as glass manufacture,
SMME pegmatite producers or forestry operations. More exploration is needed on the Mohale
deposit, the Marais deposit and for high quality quartz elsewhere in the SDI and the country
generally.
It is recommended that the factors impeding the development of the projects discussed be
investigated in detail to see if any of them can be facilitated by government. This includes the
administrative factors mentioned by Iscor as hindering the Gravelotte project. The Council for
Geoscience should be asked to investigate the Marais deposit.
The principle finding of a related study on small scale mining was that although there are 560
identified mineral deposits in the Phalaborwa SDI, only two, slate and quartz offer a reasonable
opportunity for small scale exploitation. While there are many reasons for this brief list including
high capital cost, poor mineral markets, low grades, etc. it is evident that economically workable
deposits are scarce. This is due, at least in part, to the fact that mining has been conducted in the
area for over 100 years and many deposits are mined out. Secondly, although many suitable
deposits may remain in regions such as the Murchison belt, insufficient geological information is
available in the public domain to make a reasonable judgment. Nor has the study been able to
identify sufficient deposits of one type and of good quality, to justify a central processing plant.
The mineral rights holders have been identified for the five selected prospects. Further to this, a
preliminary investigation on the mineral rights status of other deposits in the Limpopo revealed that
many mineral rights belonged to the State. Yet, mining authorisations were granted in cases of up to
55 subdivisions on each farm. Because the mining authorisations are granted in perpetuity the
license holders are deemed to be “claim” holders. In such circumstances, the NSC will identify the
specific holders concerned should this become necessary in terms of project development.
An observation from a brief study of certain operating mines in the region is that although mines
create permanent employment opportunities, relatively few jobs are created when compared with
the considerable capital investment.
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