Concerns have been raised over he potential changes to the black economic empowerment (BEE) process in South Africa.

Mining companies could be forced to seek written permission from the Minister for Minerals and Energy whenever undertaking a BEE transaction, no matter how small.

The move is designed to protect empowerment transactions, but Business Day reports that there are fears among mining companies that the changes would result in long delays as the department could be inundated with applications for transactions as small as one per cent.

The changes are contained in the Mineral and Petroleum Resources Development Amendment Bill, which is currently being circulated for comment.

To date, ministerial permission has been required only when a controlling stake is being transferred as part of a BEE transaction.

Sources:

Bid to shield BEE mining stakes raises concern, 23/05/07
http://www.businessday.co.za/articles/article.aspx?ID=BD4A469986

Ÿ Adfero Ltd