Pondoland mine project gets first green light

Pondoland mine project gets first green light

Source: Earthlife Africa eThekwini (Durban) Branch

30th April 2004

THE long-standing dispute regarding the implementation of the Xolobeni Mineral Sands Project in Eastern Cape could be nearing its end. This follows the awarding of a minerals lease to Transworld Energy and Minerals Resources (SA) by government.

Alan Luscombe, CEO of the Australian parent company of Transworld Energy said yesterday that the minerals and energy department had granted the company a titanium mining lease, paving the way for an environmental impact study.

Transworld Energy is already in possession of a prospecting permit for the project.

"This is an important step for the Xolobeni project and clears the way for us to proceed with the necessary studies required to apply for mining approval by way of a mining right," Luscombe said.

"We are confident that mining approval will be granted by May next year," he said.

The mining project in Pondoland has been caught up in a wrangle between the minerals and energy department and several environmental groups.

There has also been a tussle between the department and its environment and tourism counterpart over the environmental sensitivity of the area, with the later arguing that the project would damage the ecosystem.

The minerals and energy department insists that the project will create jobs in the impoverished area.

However, environment and tourism spokeswoman Phindile Makwakwa said her ministry still maintained that eco-tourism outweighed the benefits of mining.