Mining & Construction Law
The South African economy is very reliant on the country’s mineral deposits. Our legislation has, therefore, evolved over the years to ensure that the preservation and distribution of minerals are governed correctly. We have a dedicated team of lawyers specialising in Mining & Construction Law. The Mineral and Petroleum Resources Development Act No 49 of 2008 (with the help of other legislation) regulates the mining industry and provides that all minerals in South Africa are owned by the state.
Naturally, this will result in royalties payable to the state by the mining right holder and various other obligations such as the establishment of a Mining Works Program, Environmental Management Program and a Social and Labour Plan. When applying for a right it is most important to establish beforehand what the requirement of the applicant is as this will determine the type of right that needs to be applied for.
When commencing any construction project, the agreement between the parties will be the foundation of their legal relationship. If this agreement is not drafted and understood correctly, it may very well mean the end of the relationship and result in major damages for the parties involved.
These agreements may vary from a basic Service Level Agreement to FIDIC-, NEC- and JBCC agreements. The aforesaid agreements should only be signed once proper advice has been obtained and consensus is reached between the parties.