Will there be a coal mine in the Waterpoort area in the near future?

That is a question that could be answered in three or for months’ time, according to Mr Ulf Westhof, geologist of Rio Tinto, a mining group that is carrying out mineral exploration in the area.

“It is too soon to say whether there will be a mine. We have completed the first stage and the results so far show that it is worthwhile to continue to the second stage,” Mr Westhoff said on April 2.

Rio Tinto, a multinational mining group in partnership with Kwezi Mining, a South African BEE company, carries out mineral exploration in Limpopo in search of coal deposits. The project area lies within the flat-lying ground immediately north of the Soutpansberg mountain range. Most of the work to date has focused on the area around Waterpoort.

“Work to date has consisted of geological mapping and drilling consisting generally of widely spaced exploration holes. Plans are afoot to carry out a more detailed study of the Waterpoort area in order to understand the location, quantity and quality of the coal in this area better. This will consist of more closely spaced exploration holes, together with ground geophysical surveys. The geophysical surveys may take many forms, but in each case, disturbance to the ground and farming activities is minimal,” states a report of the mining group. The local work is being carried out by their newly formed companies Chapudi Coal (Pty) Ltd and Kwezi Mining Exploration (Pty) Ltd.

The group's activities span the world, but are strongly represented in Australia and North America with significant businesses in South America, Asia, Europe and Southern Africa, where they own large percentages of the Phalaborwa Copper Mine in the Limpopo, Richards Bay Minerals, in Kwazulu-Natal, the Murowa Diamond Mine in Zimbabwe and the Rössing Uranium mine in Namibia. Their policy is to work in full consultation with the relevant landowners.

Rio Tinto conducted a meeting with farmers and stakeholders in the area on March 13. Consultation will follow with all key stakeholders in the coming months.

Rio Tinto promised that all drilling sites will be cleared up and rehabilitated upon completion.

“We definitely want proper rehabilitation of the environment and we don't want any safety risks,” said Mr Gideon Meiring, chairperson of the Soutpansberg District Agricultural Union. “We want security paid into the farmers' accounts, as we need guarantees. Where they are drilling holes, the underground embankments safeguarding the water might be damaged," he said.

Mr Meiring said that mineral rights had been taken away from the farmers unilaterally. Private ownership of mineral rights expired in 2005 and was exchanged for a licensing system. Land owners had a cut-off date to obtain prospecting or mining licenses before they lost the mineral rights on their farms. Mr Meiring said that he was not aware of any farmers in the area who had obtained mining licenses.

The mineral rights owner is not permitted to prospect or mine for minerals without having obtained a prospecting permit or mining authorisation from the State. These licences are not transferable. They are aimed at controlling prospecting and mining, with regard to considerations of health and safety, environmental rehabilitation and responsible extraction of the ore, according to a government website.

"We don’t want to hamper development for we know that electricity is becoming an issue in South Africa. But this is an eco-sensitive area and a tourism area. A good balance should be maintained," said Meiring.