By Damon Vis-Dunbar
23 March 2009
A South African judicial ruling has opened the door for two plaintiffs to seek compensation for alleged expropriation of their mineral rights, in a case that echoes the complaints made by European investors in a pending international arbitration against South Africa under bilateral investment treaties.
The judgment* comes in response to claims lodged with the Pretoria High Court, in which the plaintiffs (Agri S.A. and AM van Rooyen) argue that their rights to coal and clay were expropriated without compensation in 2004 under the Minerals and Petroleum Resources Development Act (MPRD).
The MPRD Act is intended to boost the black population’s participation in the mining sector, and forms part of a wider effort by the South African government to address the country’s racial inequalities rooted in a legacy of apartheid.
Under the Act, private ownership of mineral rights was replaced with a system of licenses offered by the government. Companies who held mineral rights under the old regime were given an opportunity to apply for licenses under new regime; however, mining companies complain that so-called new order rights are not equivalent in value to the rights they enjoyed previously.
The Ministry of Minerals and Energy sought to dismiss the lawsuits by Agri S.A. and AM van Rooyen on the ground that they fail to provide sufficient facts to support their claims.
In 6 March 2009 ruling, however, the High Court has rejected the Ministry's charge that the plaintiffs' claims are "vague", allowing the claims to proceed to the merits stage.
Showing posts with label mining rights. Show all posts
Showing posts with label mining rights. Show all posts
Wednesday, 25 March 2009
Monday, 29 December 2008
ANALYSIS-Guinea's coup: a true break with past or deja vu?
CONAKRY, Dec 28 (Reuters) - Guinea's new military rulers must swiftly meet promises of fighting graft and preparing for free elections if they are to avoid the route of other would-be reformers in Africa who badly outstayed their welcome.
Seizing control of the world's No. 1 bauxite exporter after the death of President Lansana Conte a week ago, the young officers of the National Council for Democracy and Development junta have been unopposed in what is so far a bloodless coup.
Led by a 44-year-old little-known army supply corps captain, they have promised a clean break from a nearly quarter century of Conte's rule, which saw the diabetic, chain-smoking general govern with a corrupt clique of military and civilian cronies.
Capt. Moussa Dadis Camara has promised elections in December 2010, saying he has no wish to keep power. He has also pledged to review multi-billion dollar mining contracts with foreign firms.
But although Camara has been cheered in the streets and applauded by political and civil society leaders, Africa watchers say his words are the staple offering of incoming reformers, used more often than not to justify violent or unconstitutional takeovers.
"We've seen this before in Africa -- the young guard wanting to have the trappings and power of the old guard. And then it's always the people who get left out," Corinne Dufka, senior West Africa researcher for Human Rights Watch, told Reuters.
"If Camara is serious, he needs to hold elections quickly, well before 2010. Guineans are fed up, they want democracy and have been denied it for years."
SAVIOURS
Africa's turbulent half century of post-independence history has seen a legion of self-styled "saviours" and reformers, and national liberators, from Uganda's Idi Amin to Zimbabwe's Robert Mugabe whose bright, crusading starts in power have degenerated into long, autocratic, inept, and nepotism-riddled regimes.
Many also started off with domestic and foreign blessing.
Guinea's own Conte, who as a colonel took over in a bloodless 1984 coup after the death of the first president, the Marxist Sekou Toure, made similar early public pledges to usher in an a new era of freedom and prosperity.
Conte did introduce multi-party democracy after the end of the Cold War, and opened up Guinea to wider foreign investment.
But he remained a military autocrat, increasingly capricious and reclusive at the end of his rule, tolerating no rivals and keeping power and privilege in the hands of a small elite, whose squabbling members he skilfully played off against each other.
The vast majority of Guineans still live in poverty, without regular electricity or piped water despite the nation's mineral riches, which besides a third of the world's known bauxite -- used to make aluminium -- include gold, iron ore and diamonds.
"We can't abandon our fate to soldiers. We need to get back as quickly as possible to a civil regime," said Madani Dia, a political analyst from a local Guinean think-tank, Agora.
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