The South African government should have a draft version of its mining royalties legislation ready by February.

According to national treasury spokeswoman, Thoraya Pandy, the government is looking to have the new bill published ahead of next year's budget announcement, although she could not give a definite timeframe for the implementation of the bill.

Speaking to Reuters, Ms Pandy explained that although most of the issues have been addressed, there remain "just a few things" that finance minister Trevor Manuel is looking to "clear up".

The concept of the royalties bill has been criticised by mining firms in South Africa, which believe that royalties based on sales will undermine the less profitable mines as well as causing economic difficulties for companies during the start-up phase of a mining project.

Such concerns have led to the postponement of the publication of the bill, which was first discussed in 2003.

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