Illegal mining threatens South Africa’s economy

Illegal mining is no longer just a distant issue confined to closed-off, abandoned, and operating mines; it’s creeping into our neighbourhoods, threatening both South Africa’s economy and the safety of our communities.

A recent, shocking incident brought this reality to light: authorities arrested a 65-year-old man from the North West for allegedly allowing illegal miners to use a bedroom in his house as an entrance to a mine shaft at the nearby Khuseleka mine. Alongside him, his 31-year-old accomplice was also taken into custody.

This story reflects a larger and disturbing trend—illegal mining is becoming bolder and more entrenched. What once may have seemed like an underground issue is now a direct assault on both the formal mining sector and the broader economy. When homes become gateways to criminal operations, it’s clear that the problem is spiralling out of control.

The economic toll is staggering. Illegal mining activities in South Africa cost the formal mining industry over $7 billion rand ($370 million) annually, resulting in lost mineral reserves and additional security spending.

These funds could be reinvested into infrastructure, healthcare, and education. Some mining companies are already faced with rising costs, regulatory challenges, theft, property damage, and mineral reserve erosion due to illegal mining. Economically, this reduces the mine lifespan and leads to loss of production, revenue, jobs, and community benefits.

This isn’t just a mining sector issue; it’s an economic crisis. In a recent interview with the SABC Hawks head, Lieutenant-General Godfrey Lebeya said illegal mining will continue to pose a significant risk to the growth potential of the South African economy if it is not dealt with.

As a country, we need to act. We urgently need stronger law enforcement, tighter regulation of disused mines, and community interventions to combat unlawful mining, which threatens the country’s economy and safety.

What’s deeply worrying is the brazenness of these operations. It is terrifying to think that zama zamas (illegal miners) can turn anyone’s bedroom into an entrance to a mine; it sends a chilling message—our communities, not just our mines, are being invaded. The desperation feeding into the illegal mining and criminal networks draws in the most vulnerable among us and tears at the fabric of our society.