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Existing Mining Rights – An existing mining right holder (rights held on date of
commencement of MCIII) with 26% BEE shareholding shall be recognised as
compliant for the duration of the mining right held. When an existing mining BEE
right is renewed, the ownership requirements of MCIII will apply and these
companies will have to amend its shareholding to comply with MCIII.
Pending Applications – Pending applications which were lodged and accepted
before the commencement of MCIII shall be processed in terms of the 2010
Mining Charter which only required 26% BEE shares. These mining right holders
must within 5 years from the effective date of such mining right increase its
shareholding to 30% as prescribed by MCIII.

2. Inclusive Procurement, Supplier Development and Enterprise Development
Mining right holders are required to stimulate the local economy by strict local
procurement requirements.
Goods: Mining right holders must spend 70% of total goods expenditure on
South African manufactured goods of which 44% must be on BEE Compliant
Companies and 21% must be spent on HDP’s or HDPOC’s.
Services: Mining right holders must procure 80% of total spend on services from
South African based companies of which 10% must be spent on BEE Compliant
Companies and 50% on HDP’s or HDPOC’s.
Supplier and Enterprise Development is further promoted by mining right
holders who are allowed to offset certain percentages expenditure for supplier
and enterprise development purposes from their procurement targets.
3. Employment Equity

This element aims to achieve equality in the workplace and incorporates
demographic targets according to provincial and national demographics. The
following targets are set for the different management levels:

• Board and executive management: 50% HDP’s
• Senior management: 60% HDP’s
• Middle management: 60% HDP’s
• Junior management: 70% HDP’s

4. Human Resource Development
Mining right holders must spend 5% of their leviable amount (leviable amount is
roughly equivalent to payroll) on human resource development which includes
employees and non-employees (the community). Investment in science,
technology and engineering is encouraged as well as training in the form
of learnerships and apprentices. Spending must also be done according to
provincial and national demographic targets.

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