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A Special General Meeting, followed by the February General Meeting of the Institute, was held in Kelvin House, Johannesburg, on 18th February, 1970, at 4.30 p.m. Mr J. K. E. Douglas (President) was in the Chair. There were also present 24 Members: Messrs A. R. C. Fowler, R. C. J. Goode, Prof D. D. Howat, Messrs D. G. Maxwell, J. A. Nixon, P. W. J. van Rensburg (Council Members), C. A. Border, J. C. Fritz, E. K. Gibson, P. L. Grimbeek, S. D. Hill, D. A. Immelman, P. J. Uoyd, M. Mrost, C. S. Macphail, D. G. Malan, W. D. Ortlepp, R. S. Pearson, A. J. H. Pole, Dr W. S. Rapson, L. W. P. van den Bosch, R. A. von Maltitz and Dr A. Whillier. Eight Associate Members: Dr M. I. Brittan, Messrs J. Brett, I. E. Clarke, C. L. de Jongh, W. B. Evans, D. Loubser, R. C. More O'Ferrall and G. R. Still. One Graduate: Mr T. J. Kotze. One Student: Mr J. A. Cruise. Nine Visitors: including Dr N. G. W. Cook, Messrs M. D. Labuschagne, A. Nicoll, S. Sadowski, Dr A. M. Starfield and Dr H. Wagner. Secretary: Mr D. C. Visser. Total present: 45. SPECIAL GENERAL MEETING The President: "You will have received notices of the Special General Meeting and I declare it duly constituted. In keeping with the trend of overseas and local institutes, your Council recommends that we should change our membership classification as indicated in the notes of the meeting. The new grades are proposed to replace those presently in the Constitution and By-Laws. In terms of Clause 4.8 of the Constitution a special general meeting must be held for the purpose of considering and, if approved, adopting with or without amendments, the revision of the undermentioned clauses of the Constitution, which Council now recommends should read as follows. Clause 2.2 'Corporate Members shall comprise the grades of Honorary Life Fellow, Fellow and Member', these being the equivalent of Honorary Life Member, Member and Associate Member. Clause 2.6. 'Non-Corporate Member shall comprise the grade of Honorary Fellow, Graduate, Associate and Student.' Are there any questions in regard to this proposal? If not would someone propose that these clauses be amended and adopted?" Proposer: Mr A. J. Nixon. Seconder: Prof D. D. Howat. The motion was then adopted. The President: "It is recommended that Clause 2.15 should read, 'A Corporate of the Member of the Institute shall be entitled to use the following authorised letters designating the grade of Membership in Honorary Life Fellow and Fellow, F.S.A.I.M.M. and Member, M.S.A.I.M.M.' Previously we used the letters M.S.A.Inst.M.M. and your Council considered that we should adopt the simpler lettering. Could I ask someone to propose that this amendment be adopted?" Proposer: Mr R. C. J. Goode.

By V. N. Medvedev, A. M. Bryukhanov

Stationary mine air control equipment enables monitoring of CH4 concentration only in sensor locations. CMC-4 individual indicator built into a caplight has been developed in Ukraine, extending CH4 monitoring to manned job sites. Major technical characteristics of the indicator are demonstrated. It features two operation thresholds: 1st threshold 1.0 to 2.0% vol. 2nd threshold 1.5 to 2.5% vol. Basic absolute accuracy ± 0.2% Caplight battery is a common power supply for the lamp and CH4 indicator, providing at least 10 hours of the system non-stop operation. Average pre-failure life is at least 10,000 hrs. It features: an explosion proof design and intrinsically safe test circuit; a small-sized sensor as an integral part of the caplight; a hybrid microcircuit to facilitate functioning of methane monitoring unit. The CMC-4 indicator weight is the weight of the caplight itself and equals 2.4 kg. A two-threshold design makes possible to distinguish between methane sources: slow accumulation due to diffusion or sudden rushes due to a gas-dynamic event. CMC-4 indicators in addition to stationary equipment minimize the risk of CH4 explosion underground determined as a product of accident intensity by calculated time interval.

Jan 1, 2003

Numbering of the Journal Because computer and library authorities prefer journal subscriptions to be based on the calendar year, and because the present numbering system of the Journal of the South African Institute of Mining and Metallurgy does not conform with the calendar year, it has been decided to change the numbering system of the Journal.

Jan 1, 1979

By Y. Rajpal

The Hedley and Grant pillar strength formula is widely used within the South African mining industry to calculate pillar strengths in bord and pillar mining layouts, and is currently being used at Bathopele Mine. Bathopele is an operation of Anglo American Platinum near Rustenburg, mining the UG2 reef at depths ranging from 40 m to 300 m below surface. The formula includes a parameter K, which is a downrated uniaxial compressive strength value of the rock, used to calculate the strength of a pillar. At Bathopele Mine, for the shallower areas Less than 150 m the value was 33 MPa, but this was increased to 44 MPa due to the fact that rock mass conditions improved and there were no incidence of failure in the shallower areas. Underground observations showed pillars to be stable with no signs of failure, and it was questioned whether the design was not still too conservative, resulting in sub-optimal extraction ratios and consequently a loss of revenue to the mine. A trial mining section was started at the mine where the pillars were reduced from 6 m x 6 m to 5 m x 5 m and the pillar behaviour was monitored for the onset of failure. Numerical modelling was conducted using the TEXAN code to back-analyse pillar stresses in order to find a more realistic value for K. Results from the trial section indicated that the pillar design was in fact too conservative, and the value for K was adjusted to 54 MPa for future designs. This paper details the findings from underground monitoring and numerical modelling results, and includes details for further calibration of the K value in order to further optimize the extraction of the orebody.

Jan 1, 2012

By L. A. Cramer

There are a couple of dozen junior platinum mining companies coming into existence in Southern African and most intend to mine, concentrate the PGM?s in a flotation product and sell the concentrate to one of the major producers in South Africa. The price they will receive for their product and hence the return they achieve for their investment will depend upon the large number of factors that influence the market for such a product. Unfortunately the number of buyers is severely limited as it is dominated by the two major local producers, Impala Platinum and Anglo Platinum. Furthermore the current smelting technology has limited capacity for UG2 concentrates and high nickel concentrates will quickly fill any available base metal refining capacity. Few if any overseas buyers can compete for the bulky flotation concentrate produced. This paper will explore those factors such as metal recoveries, metal prices, operating costs, capacity constraints, deleterious elements, transport issues, metal premiums and discounts that are in play, types of flotation concentrates, processing capital costs, PGM grades, etc and their impact up on what smelters and refiners might be prepared to pay for such PGM concentrates. Ultimately simple graphs and equations can be developed for probably payment terms for such concentrates. Those who negotiate well will move to the higher return section of the envelope and those who use the concentrator facilities to produce the most saleable combination of flotation concentrates will enhance their returns. A deep and firm understanding of the issues surrounding this market is necessary in order to negotiate the best possible price for the seller.

Jan 1, 2008

By M. N. Mathabathe, A. S. Bolokang, C. W. Siyasiya, R. J. Mostert, G. Govender

The b-solidifying g-TiAl intermetallic alloys of nominal composition Ti-48Al (binary alloy), Ti-48Al-2Nb (ternary alloy), Ti-48Al-2Nb-0.7Cr (quaternary alloy), and Ti-48Al-2Nb-0.7Cr-0.3Si (quinary alloy) (in at.%) were developed. The materials produced were tensile tested at room temperature. The as-cast microstructures and fracture surfaces of the tensile tested specimens were examined using conventional metallographic methods. Microstructural examination indicated that the alloys were comprised of lamellar structures (a2+g) embedded in columnar dendritic cores in the as-cast condition. However, the quinary alloy contained a Ti5Si3 second phase. The alloys exhibited no detectable ductility during tensile deformation, indicating the brittleness of all the materials. The fracture surfaces revealed that the alloys failed by translamellar fracture with correspondingly few cleavage facets.

Apr 1, 2021

By E. Govender-Opitz, L. Lelia

The South African mining industry plays a significant role in the economy of the country. Nonetheless, the negative impacts on the environment continue to prevail. In regions where mining exists in proximity to communities, mining activities have led to the disruption of modality. Rural communities are mostly affected as they depend on land use for agriculture to sustain their livelihoods. The conversion of land for mining activities often leaves the communities vulnerable when mines close because of the limited life span of mines. An ongoing discourse focuses on how the mining industry can contribute to sustainable development of the communities in which they operate. Post-mining transformation offers an approach for the mining companies to contribute to sustainable livelihoods post-mine closure by strengthening rural-urban linkages, which ensures inclusive development of both rural and urban areas. The paper employs a case study approach to Richards Bay Minerals and the adjacent rural communities of Sokhulu and Mbonambi. It sets out to understand the post-mining transformation employed by RBM and explore the rural-urban linkages that manifest as a result. Findings show that sand dune rehabilitation employed by RBM is successful in restoring soil fertility and establishing the natural ecosystem. The casuarina planted to rehabilitate the dunes is used to spur an alternative charcoal industry post-closure. The main rural-urban linkages that manifest are flows of people due to job opportunities and flows of goods from the sale of charcoal produced. However, there is a lack of communication and lack of authority to ensure responsible management of the casuarina plantation and equitable sharing of benefits. The paper recommends that other post-mining transformation strategies such as eco-tourism should be explored and that the government, at both national and local level, the community and the mine should be involved to ensure overall success and sustainability of the strategy. Keywords Post-mining transformation, rural-urban linkages, alternative land use

Jan 1, 2020

By H. A. D. Kirsten

The structural competence of mesh- and fibre-reinforced shotcrete was investigated in two series of tests on full-scale panels. It was found that uniformly distributed loading was marginally less demanding than point loading, mesh reinforcement was superior to fibre reinforcement, Dramix fibre and Melt Extract fibre were similar in reinforcing characteristics, and 30 mm to 35 mm was an optimum fibre length. Furthermore, the consistency of the fibre content could not be assured on practical mining sites, and an average fibre content of about 1,5 per cent was the maximum that could be obtained for fibre lengths not exceeding 35 mm. Also, owing to its greater flexibility, shotcrete reinforced with diamond mesh was preferable to fibre-reinforced shotcrete in mining excavations subject to squeezing conditions. In view of the difficulties associated with assuring the consistency of the fibre content in mining applications, it appears that the sophisticated attributes of fibre-reinforced shotcrete can be effectively exploited only in civil-engineering applications in which quality assurance is subject to explicit contractual control. Load-deflection curves, together with measurements of compressive stresses in the surfaces of some of the panels, enabled the ultimate flexural strength of reinforced shotcrete to be rigorously formulated, and rigorous design procedures for shotcrete subject to bending and direct thrust to be developed. The application of the procedures is demonstrated in a practical design case in which the moments and thrusts in a tunnel lining are determined in a numerical analysis of the interaction between the lining, the surrounding rock, and the rock-reinforcing system.

Jan 1, 1992

By F. S. Hoseinian, B. Rezai, E. Kowsari, M. Safari

In order to remove heavy metal ions from a large volume of wastewater with a low ion concentration, ion flotation appears to be promisingly effective. In the ion flotation process, because of the high ion removal percentage, the amount of water recovery percentage is a very important factor which determines the process efficiency. However, ion flotation suffers from relatively high collector concentration to achieve the high removal percentage to the desired limit, which subsequently increases the water recovery. In this study, functionalised graphene oxide (FGO) was synthesised, using a chemical method in the ion flotation process, applied as a collector for increasing process efficiency by reducing the collector consumption and water recovery. The high ion removal was achieved with both collectors of sodium dodecyl sulfate (SDS) and FGO, while the water recovery with a collector of SDS was 3.4% higher than that with a collector of FGO. The results indicated that the FGO could be effectively used for high ion removal and low water recovery in the ion flotation process. Keywords: Ion flotation, synthesised collector, ion removal, wastewater, water recovery

Jan 1, 2020

By T. Chikande

"Falls of ground pose costly hazards to personnel and equipment and thus measures should be taken to prevent them. This study endeavours to improve the support systems used in geotechnically poor ground at a Zimbabwean platinum mine by analysing the status quo and recommending an effective support system. Various techniques were used to determine the quality of ground conditions, predict the rock mass behaviour, and to identify the appropriate rockbolt type. An analysis of the current ground control methods and their limitations was also undertaken.The results showed that the current support system and mining practices in poor ground need to be modified to improve safety and productivity. Stoping overbreak is influenced by poor ground conditions and the explosives currently used. The use of emulsion is recommended to replace ANFO. Redesigning of pillars is also recommended in poor ground conditions. An evaluation of the current roofbolt system indicated an opportunity for improvement. With new insight on the performance of the shorter length roofbolts currently in use, a new support system was recommended taking into consideration cost-benefit analysis. Barring down using pinch bars in poor ground was seen as a risky and time-consuming exercise, hence the use of mechanical scalers is recommended to achieve zero harm and to meet production targets. Smoothwall blasting is recommended in poor ground to minimize excavation damage. Other recommendations include the use of hydrological surveys to determine groundwater levels and implement corrective measures. Both empirical and numerical modelling approaches need to be utilized in determining the optimum support. IntroductionThe presence of geological discontinuities such as faults and joints weakens the rock mass. Adequate support is critical in achieving zero harm in underground mines. This paper reviews the current support systems used in poor ground conditions at a Zimbabwean platinum mine. The area of research is located on the Great Dyke of Zimbabwe. The mine exploits platinum group elements (PGEs) and base metals. It is shallow, having a maximum depth of less than 300 m. The Great Dyke is the second largest reserve of PGEs, following the South African Bushveld Complex (Oberthur et al., 2012). It is a linear layered intrusion that extends for about 550 km with a maximum width of 11 km (Prendergast, 1989). The generalized section of the Great Dyke is almost like a trumpet, comprising layers that dip towards the centre. The reef exploited at the mine, the Mineralised Sulphide Zone (MSZ), is located in the pyroxenite layer, which is hosted in the ultramafic sequence. The MSZ is a uniform layer about 2– 3.5 m thick, dipping at around 10–14° from surface outcrop towards the axis of the basin, and located between bronzite and websterite horizons. The visible disseminated sulphide mineralization shows a typical and consistent vertical distribution of platinum group metal (PGM) and base metal values. The research was undertaken to review the current support systems used in geotechnically poor ground conditions in a bid to improve both safety and productivity."

Jan 1, 2016

By W. Newcomen, G. Dick

"Effective management and mitigation of pit slope instability in open pit mines begins with a comprehensive slope monitoring programme. The ability to differentiate between non-critical pit wall movements due to rebound or relaxation of the excavated slopes and movements that may be indicative of slope failure is important for maintaining a safe working environment and maximizing production. Slope failure prediction methods using velocity, acceleration, and strain criteria have been introduced and put into practice over the past few decades. Forty-eight slope failures with surface monitoring data are presented and assessed using the strain-based failure prediction approach, with consideration of the quality of the rock mass and the potential failure mechanism. The results indicate that the strain-based approach can be used to provide general guidance regarding strain thresholds for pit walls for a variety of failure modes in diverse geological environments. The advantages and potential drawbacks of the strain-based and other slope failure prediction methods are discussed. The importance of implementing a pit slope monitoring and performance evaluation system early in mine development is also emphasized. IntroductionThe successful prediction of the Manefay Slide pit slope failure at Bingham Canyon at 9:30 am on 10 April 2013 (Engineering and Mining Journal, 2014) highlighted the importance of having a comprehensive slope monitoring system that provides an accurate prediction of the time of failure of an open pit slope. Using most of the geotechnical monitoring tools available, the time of the failure was predicted within hours and equipment and personnel were evacuated from the pit well in advance of the failure. From a time to slope failure perspective, the monitoring system in place was a success.There are two general groups interested in monitoring pit walls, with slightly different objectives in mind when the monitoring system is being set up. There are those at the mine site that have to implement the pit slope design, monitoring protocols, and the action response plans, and there are those designing the slopes (often consultants) who regularly visit the mine but may not be responsible for the day-to-day activities. was a success.There are two general groups interested in monitoring pit walls, with slightly different objectives in mind when the monitoring system is being set up. There are those at the mine site that have to implement the pit slope design, monitoring protocols, and the action response plans, and there are those designing the slopes (often consultants) who regularly visit the mine but may not be responsible for the day-to-day activities."

Jan 1, 2016

By A. Chuma, K. J. Nyembwe, H. Simonsen, J. H. Potgieter

Different concentration techniques were evaluated for preconcentration of a mineral ore at a coarser size to avoid energy and resource wastage. Specifically, the aim was to reduce milling costs and energy required in the beneficiation of tin. In this study, cassiterite (0.17% Sn) was the mineral of interest in a pegmatite ore body associated with quartz (SiO₂ > 60%) and alumina (Al₂O3 > 20%). Three concentration techniques, namely dense media, shaking table, and flotation, coupled with characterization analysis, were used to assess the concentration response. The results confirmed that particle size and mineral liberation impact the separation process. High recovery and grade were obtained with gravity concentration methods (dense media and shaking table) for coarser (+300 to +212 μm) and intermediate (+150 to +53 μm) particle sizes. Lower recovery and grade were identified for much finer sizes (−53 to −38 μm). Flotation produced a high-grade product at a relatively low recovery and appeared to be only applicable to finer grains. Separation efficiency based on Schulz’s equation measured a segregation performance of 74.8% for dense medium separation and 60.7% for the shaking table for the coarse and intermediate particle sizes. Flotation only achieved a separation of 30%–40%. The results suggest that use of dense media separation as a rough preconcentration method prior to further grinding, and the utilization of a more advanced concentration technique for mineral recovery and upgrade, constitute a successful approach to improve process economics.

Apr 14, 2024

By V. Oberholzer

The presence of fines (particles smaller than 6 mm in diameter) causes hydrodynamic problems in gasifiers and therefore it is of great importance to minimize the amount of fine coal in the feed. This serves as motivation for understanding coal?s breakage mechanisms, which could lead to the ability to predict the generation of fines. The aim of this project was to simulate the pulsating effect of the conveyor belt in order to investigate factors influencing the breakage. Results indicated that an increased initial particle size had an increasing effect in the amount of fines generated. Weathering had an insignificant effect on the breakage of coal. To conclude, a breakage model was developed to describe the rate of breakage out of the top size when a combination of two breakage modes is present.

Jan 1, 2009

By C. O’Donova, E. Adam, L. A. Torres-Cruz

High-profile failures of tailings dams illustrate the significant safety challenge they pose. The decant pond of such facilities plays an important role in their mechanical stability. This study investigates the feasibility of using public multispectral data collected by the Sentinel-2 satellite mission to monitor the area of the decant pond. The Sentinel-2 mission has a revisit time of 5 days and the data used herein has a spatial resolution of 10 m/pixel. We considered two water-detection metrics: the normalized difference water index (NDWI) and the near-infrared (NIR) reflectance. Implementation of the method at a South African platinum tailings dam illustrates the capabilities and limitations. Public, sub-metre resolution true-colour imagery served as validation data. There is good agreement between pond area measurements based on Sentinel-2 and the validation imagery. These results suggest the feasibility of using Sentinel-2 data to supplement the monitoring of the decant pond.

Apr 2, 2022

By P. Linzer, L. M. Linzer

The gravity method is often applied in mining-related scenarios such as geological and mineral exploration, detecting subsurface cavities and voids (“receptacles”) that may become sinkholes, siting of surface structures, fault-mapping, and more. It is also widely applied in geotechnical engineering to map subsurface karst profiles and to detect subsurface cavities, such as can occur in open pit mines. While it is widely acknowledged that, compared with other available geophysical methods, this method is the most applicable to the karst profiling problem, survey geometries applied in the field are often far from optimal. The gravity surveying specifications prescribed in SANS 1936 omit some key requirements for optimal survey outcomes, and this paper is intended to fill those gaps. The authors have seen scopes of work that require only a few measurements over the footprint of a proposed structure, indicating a lack of understanding of the nature of the gravitational field. A single gravity measurement is subject to the camouflaging effects of several influences, many of which can be larger than the anomaly caused by the subsurface density variation itself. Papers in the body of literature show an awareness of the need to map the regional field so that it can be subtracted to unmask the residual gravity anomaly, but rarely do they examine how instrument sensitivity governs the size of detectable anomalies or discuss how a detailed terrain correction can be instrumental for isolating faint targets. This paper aims to explain how to apply the gravity method correctly to mining and geotechnical problems, specifically in the detection of subsurface cavities. It discusses various factors to assist with optimising the acquisition of gravity data and its processing so as to maximise the practical value of gravity surveys.

Sep 1, 2025

By R. E. Robinson

I shall present a concept for the development of the resources of this country and its neighbours that repre¬sents a fantastic challenge to our scientists and entre¬preneurs. This concept offers prospects of development that must make our previous achievements seem equivalent only to the first act in a drama enacted on the stage of Southern Africa. I hope to illustrate how, in Act Two, chemistry will play a dominant role, and chemists and chemical engineers will be among the principal actors.

Jan 1, 1980

By L. Cheng, Y. Liu, Z. Shen, H. Shang, Y. Li

The pre-concentration process of magnetic coarse particles can discharge waste rock or liberated gangue before milling, which is an effective means to reduce cost and increase the efficiency of the concentrator, but the weakly magnetic ore doesn’t have the effective separation method of coarse particle such as hematite, limonite, ilmenite and so on, Because the composite iron minerals contain both strong and weak magnetic elements, the pre-concentration process cannot be applied, or the existing pre-concentration process has problems of complicated configuration and high operation cost. By researching a new type of external magnetic separation technology, the pre-concentration process of composite iron ore was realised by single equipment, which can have a good recovery rate with simple arrangement. In this paper, the separation principle and structure characteristics of the external magnetic separator were researched, and the magnetic circuit characteristics of the external magnet were analysed. The laboratory tests of vanadium titanium magnetite were conducted, and the test results proved that the external magnetic separator can be applied for the pre-concentration process. The industrial application shows that a product of TFe 24.76% with 90.08% recovery, TiO2 10.10% with 91.78% recovery can be achieved from the feed of TFe 20.67%, TiO2 8.33%. Keywords: Coarse particle pre-concentration, composite iron ore, external magnet, magnetic separator

Jan 1, 2020

Excessive dust generation from unpaved mine haul roads is a problem common to most surface mining operations. While optimal road wearing course material selection parameters reduce the inherent dust generation potential, they do not totally eliminate fugitive dust. Many different classes of suppression or palliative treatments are available for mine haul roads and this paper initially ascertains basic selection guidelines, using a set of ideal dust palliative product, application and performance parameters based on mine road-user requirements. An evaluation and modelling methodology for truck generated fugitive dust emissions is developed as a basis for the comparative assessment of dust control strategies. For water-based spraying, a watering model was developed to estimate individual mine road watering frequencies for characteristic site parameter combinations during summer and winter operating conditions, for a required level of control or maximum dust defect. This forms the base-case scenario with which to compare the performance of other types of dust palliatives under the same conditions. Finally, a basic palliative economic evaluation model is introduced with the aim of identifying and costing the establishment, application and maintenance rejuvenation activities associated with the use of chemical palliatives. While palliative cost and performance is generally site specific, it is shown that under certain combinations of conditions, the use of dust palliatives has the potential to deliver cost savings when compared to water-based spraying.

Jan 1, 2007

By T. Feroze, B. Genc

"The effect of some of the system variables in forcing and exhausting ducted fan systems on ventilation in an empty heading was investigated using computational fluid dynamics(CFD) and comparative analyses. The diameter of the duct, duct mouth to face distance, and the power of the fan (quantity delivered by the fan) were varied and their effect on ventilation determined through a comparative analysis of the flow rates calculated close to the face of the heading. Estimation models were developed, which can be used to calculate the flow rate close to the face of the empty heading for different settings of the system variables studied.The study showed that recirculation for a forcing ducted fan system can be reduced by increasing the duct diameter or increasing the duct mouth to face distance. For the exhausting ducted fan system, higher flow rates were achieved by reducing the duct mouth to face distance, andincreasing the fan design flow rate and duct diameter.The outcomes of this investigation will help ventilation engineers in deciding the optimum duct fan system required for sufficient ventilation.IntroductionThe ventilation of underground mines, irrespective of the type of mine and mining method, is divided into two broad branches, the primary ventilation and secondary or auxiliary ventilation. The primary ventilation is responsible for the total volumetric flow through the mine and the auxiliary ventilation is responsible for the ventilation of the development ends, production areas, and facilities disconnected from the main circuit with no through-ventilation connections. Auxiliary ventilation is the more difficult to achieve (Bise, 1996), and the disruption of this ventilation system is considered to be one of the primary factors contributing to methane and coal dust explosions (Creedy, 1996). A number of causalities have been recorded by many authors due to these explosions (Phillips and Brandt, 1995; Dubinski et al., 2011; Phillips, 2015). The ventilation of short headings, less than 10 m in depth, can be carried out without the use of any auxiliary equipment (Feroze and Phillips, 2015). However, for headings deeper than 10 m, auxiliary ventilation systems are required. These are generally classified into the three basic types, namely line brattice (LB) ventilation systems, ducted fan systems, and jet fans (Figures 1 through Figure 3 respectively)."

Jan 1, 2017

By K. Thambi

"A recent amendment to Section 36(11)(e) of the Income Tax Act, 53 of 1968 (Tax Act) now extends the allowable deduction of ‘capital expenditure’ incurred by mining companies pursuant to the Mineral and Petroleum Resources Development Act 28 of 2002 (MPRDA). In terms of the Taxation Laws Amendment Bill 2016 (TLAB 2016), the allowable deduction has been extended to include expenditure incurred on infrastructure in terms of Social and Labour Plan (SLP) requirements as per the MPRDA. Interestingly, what necessitated the amendment was the need to recognize SLP requirements and to circumvent administrative difficulties for mining companies and the South African Revenue Services (SARS) in differentiating the use of developmental infrastructure by employees or the community. The successful implementation of such a deduction hinges on a sound SLP system. However, given the challenges within the current SLP system, this amendment could be considered somewhat premature. IntroductionSection 36(11) of the Income Tax Act 58 of 1962 (Tax Act) enabled mining companies to deduct certain capital expenditure in lieu of its other sections. In particular, it made provision for mining companies to deduct capital expenditure incurred pursuant to the Mineral and Petroleum Resources Development Act 28 of 2002 (MPRDA), but excluding capital expenditure incurred in respect of infrastructure or environmental rehabilitation. As such, mining companies could only deduct such capital expenditure that related directly to their employees and not to the wider community (Clegg, 2018).In terms of the Taxation Laws Amendment Bill 2016 (TLAB, 2016) (South Africa, 2016a), the recent amendment to Section 36 extends the relief provided under section 36(11)(e) to include capital expenditure incurred on infrastructure in terms of the Social and Labour Plan (SLP) requirements of the MPRDA. In other words, the capital expenditure incurred by the mining company for the benefit of the people living in mining communities. To qualify for such a deduction, the infrastructure erected or developed by the mining company should reflect what was agreed between the mining company and the Department of Mineral Resources (DMR) as per the SLP requirements of the MPRDA (TLAB 2016)."

May 1, 2019