The adoption of shared use infrastructure agreements is crucial for supporting the growth of junior miners in South Africa’s critical minerals sector, according to Dumisani Kubayi, CEO of exploration firm KMDNF.
In an interview with Energy Capital & Power at the Critical Minerals Africa 2024 Forum, Kubayi explained that larger mining firms have a key role in advancing junior mining operations by easing their financial and logistical burdens through access to existing infrastructure.
“Shared use agreements enable juniors to focus on their core mining activity without being hindered by the high costs and complexity of setting up new infrastructure,” stated Kubayi.
Beyond the capital-intensive nature of infrastructure development, junior miners also face challenges such as limited access to geological data and prolonged mining license application processes, which can take up to five years.
“The lengthy turnaround time for licensing is a major deterrent for investors, causing some to abandon projects in favor of opportunities elsewhere,” said Kubayi.
KMDNF is exploring chromium, nickel and manganese across four exploration licenses in South Africa's Bushveld Complex, specifically in the Lephalale and Thabazimbi regions.
“Chromium is a key focus for us due to its stable market price and strong demand across industries such as steel manufacturing.”
