/ 19 October 2012

Right of Reply: Locals have benefited from mine’s relocation project

Mathelo Seshane will move to a new brick house and get a settlement fee as part of an agreement with Rhino Minerals.
Mathelo Seshane will move to a new brick house and get a settlement fee as part of an agreement with Rhino Minerals.

The article "Local community ousted to make way for mine expansion" (September 28) projects Rhino Minerals as an uncaring company involved in land expropriation against the will of the Segorong community.

Contrary to basic professional journalistic practice, the Mail & Guardian printed this defamatory article without bothering to hear the company's side of the story. The truth is that the Segorong relocation process is an exemplary case of a co-operative relationship between a mining company and a community.

When Rhino Minerals, a subsidiary of Imerys South Africa, decided to extend its mining operations for andalusite at the Annesley Mine in Limpopo, we were aware it would affect the Segorong community. We initiated extensive consultations with all affected parties on relocation to a more environmentally safe municipal area, Praktiseer. The approval of the lease agreement by the minister of rural development and land reform, Gugile Nkwinti, gave impetus to the process.

Contrary to the M&G's report, the Segorong community has been so keen to relocate that it elected a ­relocation committee to ensure the process proceeded smoothly. It sits once a week to receive reports and oversee the relocation. This approach is premised on a deep appreciation that the company has coexisted with this community and its traditional leaders for many years.

The company has set aside more than R100-million to build modern houses and compensate for grazing and livestock, plus a cash settlement for the relocated households. This package provides the community with improved infrastructure that will include churches and businesses in an area with a gravel road, electricity, accessible water and a drainage system. In addition, we will also pay annual rental fees and a once-off compensation for grazing. The company has already formalised two community trusts to be used as vehicles for benefits, including mining shares.

Developer agreements
By October 2011, redevelopment member agreements and addendums to change developer agreements were signed by beneficiaries with the assistance of the provincial government task team set up for this process. At the request of the municipality, a sod-turning ceremony was arranged and the mayor of Greater Tubatse officially opened the project. Phased construction was agreed on to ameliorate forceful invasions of the targeted areas by squatters.

Even with the minor delays caused by these squatters, the beneficiaries are being relocated in phases to an area now secured by fences. The community's new homes have standard double-brick walls for structural strength and internal cosmetics (tiling, ceiling, lighting and provision for electric stoves) are being added. To date, 40 families have taken occupation of their houses, each also receiving a R12 500 settlement fee. The company provides transport and other assistance. Rhino Minerals is in constant contact with the relocated families. So far, they are happy with their new homes.

Rhino Minerals's fortunes and those of the surrounding communities are intertwined. The mine provides employment and indirect economic benefits to the broader community. For those yet to move, it provides a refurbishment programme to rebuild collapsing mud houses. Community members receive training in refurbishment while awaiting relocation. They are also employed on bigger construction projects, fostering a sense of ownership and developing much-needed skills. In addition, the company will make substantial contributions to the community's development through corporate social investment initiatives, including job creation, education assistance, business opportunities, sustainable developmental projects and alleviation of HIV/Aids.

With regard to a water licence, as raised in your article, Rhino Minerals received an approved licence for Havercroft in 2010 and is awaiting a licence for Annesley (application relaunched in March). Because of recent torrential rains, one of our catchment dams was damaged and overflowed, but it has been repaired. We have also improved our water catchment ponds upstream and around the quarries. We are at all times cognisant of the importance of running our business in compliance with the environmental needs of surrounding areas.

Xolisa Mvinjelwa is the spokesperson for Imerys South Africa, the holding company for Rhino Minerals