Empowering the next generation of young leaders with transformation of South Africa's mining sector

The mining industry is at a crossroads, and young leaders are driving the conversation for change. As the Investing in African Mining Indaba event drew to a close at the Cape Town International Convention Centre on Thursday, 6 February 2025, young leaders took centre stage, seeking support and space in the sector. This gathering of industry stakeholders saw young mining professionals voicing the need for skills development, job creation, and youth formation in the industry.

The Deputy Minister of Mineral and Petroleum Resources, Phumzile Mgcina, opened the session by acknowledging the critical role young leaders play in advancing mineral development, particularly in exploration. She noted that in 2023, Africa’s share of the global exploration budget was only 10%, with South Africa’s share remaining below 1%, emphasising the urgent need for increased investment and participation.

Mgcina highlighted the South African government’s commitment to supporting junior miners, many of whom are young leaders, through convertible grants and by promoting exploration for key minerals. She announced that the country’s exploration fund, established in 2024, is set to provide R160-million to at least eight projects, with three being 100% black-female-owned, and all beneficiaries being more than 50% black-owned.

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In addition to these initiatives, she also outlined the department's efforts to support artisanal and small-scale miners, including young miners. 

“To alleviate the challenges that are faced by artisanal and small-scale miners, the Department of Mineral and Petroleum Resources continues to assist these miners to access funding for their start-up projects that are considered as high risk. To this end, at least 20 projects have been selected to receive funding to the tune of R67-million between February and March this year. Thereafter, another funding call will be issued. We call on all aspirant miners to apply for this fund, which promises to empower young people to create their own opportunities,” Mgcina said.

This support for junior miners is particularly significant, given the sector’s growing contribution to the South African mining industry. According to research conducted by the Minerals Council, junior miners have emerged as a significant force, generating R88-billion in revenue in 2022 and outpacing the overall industry’s growth rate since 2018.

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