SRK Consulting celebrates 50 years in 2024. Could you comment on this achievement and your focuses from here onwards? 

Currently our head count in South Africa is almost 420, and over 1,700 throughout our global network. Vital to this success has been our ability to attract experts in their fields, making the business an exciting hub of expertise. Given the scarcity of many of the skill sets we require, such as in tailings management, we are also very proud of the solid base of experience that we leverage to nurture and continuously upskill our professionals.

We have achieved all this while remaining a staff-owned, stand-alone business. Many successful competitors have been absorbed into larger corporations, but we have prioritised our independence. We feel that this is the best platform for the integrity of the services, studies and recommendations that we offer our clients. 

How does SRK embrace innovation in its service offering?

Our success is attributed to our ability to innovate in the technical solutions we deliver. We celebrated our 50th anniversary under the banner of 'Innovation in Focus', by integrating digital technology, big data, virtual reality, and analytics. We have developed smart tools and fully exploit the value of artificial intelligence, incorporating these to address global challenges like climate risk, renewable energy and tailings management besides others. 

How do you think South Africa’s carbon tax policy sets a precedent for carbon taxation in the continent and how does it impact mining operations? 

African countries’ efforts to reduce greenhouse gas emissions are driven by their respective commitments to global climate change treaties and protocols, but they may gain some insights from South Africa’s carbon taxation framework. Mining companies are looking to reduce their carbon footprints, and a specific tax will certainly add to the commercial incentives for doing so. SRK is engaging with clients on practical ways to drive decarbonisation strategies on mines; Africa’s variety of renewable energy sources – including sun, water and wind – makes energy generation a strong focus in these strategies. 

To what extent is climate risk factored into mining design and planning? 

Climate risk is a crucial aspect of mine design and planning, affecting mining companies irrespective of size. Standards guide this focus, driven by stakeholders like financiers, banks, stock exchanges and legislation. Companies must consider their impacts on climate change and their projects' resilience, including strategies like decarbonisation at design and considering impacts like changing rainfall patterns on operational and commercial viability. 

How are regulations on sustainability-related disclosure evolving in the continent?

These regulations are evolving rapidly across Africa, driven by increasing awareness of environmental, social, and governance issues and the need for greater transparency and accountability in business practices. The Johannesburg Stock Exchange (JSE) has been a leader in Africa in this area, aligning with global stock exchanges by requiring listed companies to produce integrated reports that include sustainability information. 

The African Securities Exchanges Association (ASEA) is working to harmonise sustainability reporting standards across member exchanges, promoting best practices and consistency in ESG disclosures. The African Development Bank (AfDB) is also actively promoting sustainable development and encouraging companies to adopt ESG reporting through various initiatives and funding programmes.

What is SRK’s outlook on the African mining industry in 2024-2025? What are the main opportunities and challenges you identify?

Africa remains an important mining destination, well endowed with minerals vital to the transition to a lower carbon future. Maturing mining policy frameworks and political stability will further support investment. Countries like Zambia and the Democratic Republic of Congo are already garnering rewards. The resilient gold price also signals that Africa’s long legacy of gold mining may also have a plenty of life left.

Among the challenges to navigate is global geopolitics, as East-West tensions create unpredictability. There also remains a serious infrastructure deficit, including transport, energy supply and distribution. Mining is applying the latest renewable energy technologies to develop localised solutions, with evolving battery technology also holding promise. 

Would you like to add anything else? 

For five decades, SRK Consulting has strived to develop a culture and environment where the best people can thrive and hone their expertise. We do this to provide the highest quality of service to clients, but also to contribute actively to a better society – whether through a healthier environment, reduced waste, more prosperous societies, or efficient production of vital resources.