The Democratic Alliance (DA) has written to Mineral and Petroleum Resources Minister Gwede Mantashe and senior officials calling for urgent action against illegal mining in one of South Africa’s most critical biodiversity hotspots in northern Limpopo. [View the letter here.] This follows a Parliamentary Question submitted by the DA, available [here].
The company in question has a suspended, and hence invalid, environmental authorisation which is currently under appeal. Despite this, MC Mining announced last week that it had commenced open-cast mining at the Makhado Colliery.
Evidence shows land clearing and damage began as early as June 2024. Further development was observed during a DA oversight in January 2025 and confirmed by third-party reports in May and July. Mining without authorisation is illegal under the Mineral and Petroleum Resources Development Act (MPRDA), and the Minister is compelled to act.
The colliery lies within the Vhembe Biosphere Reserve and a Critical Biodiversity Area- the highest level of conservation priority. MC Mining has a history of environmental non-compliance, including a R9 million fine at its nearby Vele Colliery for the same offence: operating without environmental authorisation. This was before rebranding from Coal of Africa.
Financial risk compounds the environmental threat. Section 24PA of NEMA requires financial provision for rehabilitation, but MC Mining appears to have lapsed on guarantees. Its latest financial statements show short-term assets cover only 8% of liabilities, placing it near insolvency. Should the company collapse, the MPRDA directives would leave taxpayers liable for rehabilitation costs.
MC Mining, an Australian company, is majority-owned by Chinese firm Kinetic Development Group, which is also seeking approval for a ferrochrome smelter in the adjacent Musina-Makhado Special Economic Zone (MMSEZ). This heavy industrial plan is incompatible with the biodiversity-rich setting, misaligned with South Africa’s decarbonisation goals, and plagued by corruption allegations. Yet the Limpopo government continues to prioritise foreign polluters over local industry and communities, which remain among the most impoverished in the country.
The DA supports lawful, sustainable development, not environmental destruction for narrow foreign interests. We will continue advocating economic growth through tourism, biodiversity, and agriculture that creates jobs while safeguarding our natural heritage.