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How to start a mine

What is needed?How to go about it?Requirements by government, other parties
Step 1:
Market survey for mineral/metal demand
Study local and international markets.Proper market analysis influences DME's decision to grant mining licences.
Step 2:
Target area for mineral and secure surface rights, if needed
Assistance from geo-consultants or Council for Geoscience. 
Step 3:
Exploration for mineral or desktop study if information readily available
Employ geologists, consultants or another means of exploration (drilling, geophysical surveys).Prospecting application to be granted by DME. Application to be accompanied by standard information, including:
  • Environmental management plan
  • Social plan
  • Closing plan Step 4:
    Demarcate viable mineral deposit and compile a bankable feasibility documentFeasibility study on deposit. Assistance of consultants most likely required. For requirements on metallurgical processes contact Mintek.Feasibility study to accompany application for mining. Step 5:
    Secure surface, mineral and mining rightNegotiations needed with mineral right holder or DME if land is State owned.

    Secure capital for operation by share issue or joint venture. Mining application must be granted by DME. Application must be accompanied by standard information, such as:

  • Environmental management plan
  • Social plan
  • Closing plan

    The basics on starting a mine is also illustrated in the interactive Canadian website

    For more information about the requirements for mining and prospecting permits in South Africa, please see Mine Economics Directorate and legal requirements as per Mineral and Petroleum Resources Development Act and its Regulations.


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    Department of Mineral and Energy Affairs | Private Bag X59, 0001 Pretoria |
    Tel (012) 317-8000 | Fax (012) 320-4327 | www.dme.gov.za


    Step 6:
    Start mining operation
    A successful mining operation presupposes the employment of an effective and efficient management team and a skilled productive labour force.Inspectorate of Mine Health and Safety, Social Plan and Mine Rehabilitation will visit the operation on regular basis to inspect the mine's standards and performance as per its Mining Plan.


            Telephone: +27 12 317-8000 Facsimilie: +27 12 322-3416 Postal Address: Private Bag X59, Pretoria, 0001, South Africa


  • An interactive guide on how to start a mine designed by the Canadian government

    For information about the requirements for mining and prospecting permits in South Africa, see Mine Economics Directorate and legal requirements as per Mineral and Petroleum Resources Development Act and its Regulations.