DEPARTMENT OF MINERAL RESOURCES

1. DEPARTMENT OF MINERAL RESOURCES PRESENTATION TO MINERAL RESOURCES PORTFOLIO COMMITTEE OF 2010 / 11 MTEF STRATEGIC PLAN 2 SEPTEMBER 2009

2. PRESENTATION OUTLINE DMR ORGANOGRAM • BACKGROUND of DMR • STRATEGIC PLANNING PROCESS - Balanced Scorecard Approach - Department Strategic Objectives - Contribution to Government Priorities • LEGISLATIVE PROGRAM (MTEF) • BRANCH KEY FOCUS AREAS • OVERVIEW OF SOE’S QUESTIONS the dmr Department: Mineral Resources Republic of South Africa 2

3. DMR ORGANOGRAM the dmr Department: Mineral Resources Republic of South Africa 3

4. BACKGROUND PURPOSE – Sustainable regulation, promotion and transformation of the Minerals Sector for the Benefit of all South Africans Policy & Promotion Develop policy and legislation and promote the mining and mineral industry Regulate Implement Policy (Mineral & Petroleum Resources Development Act Mine Health Safety Act) Transformation Mining Charter (skills dev, ownership, Rural / economic dev, housing & living conditions, migrant labour, procurement & beneficiation the dmr Department: Mineral Resources Republic of South Africa 4

5. BACKGROUNDMinisterial Priorities • Contribution of the Department including its SOEs to Rural Development. • Review of the Mining Charter and transformation of the mining industry • Consolidation of policy making activities within the Department • Handling of environmental management issues • Rehabilitation of ownerless and derelict mines • Alignment of departmental structure to our strategy • Strengthening capacity of the department to deliver on its mandate, including its market intelligence and research capacity • Execution of service delivery improvement plans the dmr Department: Mineral Resources Republic of South Africa 5

6. BACKGROUNDMinisterial Priorities • Role of SOEs in support of the developmental agenda • Mine Health and Safety – focus on health of mineworkers • Role of dedicated research institutions in support of policy, as well as prevention of fatalities and other forms of mine accidents • Capacity of the Inspectorate to respond to growing challenging facing the mining industry • Beneficiation within the mining industry including the role of the State Diamond Trader • Strengthening of Monitoring and Evaluation within the Department • Implementation of cost containment measures, in view of the economic recession. the dmr Department: Mineral Resources Republic of South Africa 6

7. STRATEGIC PLANNING PROCESS BALANCED SCORE CARD 4 perspectives Stakeholder / Customer – Addresses our stakeholders expectations Internal Process – What business processes are needed to satisfy our stakeholders Learning & Growth – People and systems required to sustain the department as a learning organisation Financial – prudent stewardship of limited resources the dmr Department: Mineral Resources Republic of South Africa 7

8. STRATEGIC OBJECTIVES • Actively Contribute to sustainable development • Promote and Transform the Minerals sector • Regulate the Minerals Sector • Effective and Efficient Service Delivery • Promote Health and Safety in the Minerals Sector • Protect the Environment • The promotion of a DMR as a learning organization, and • Sound financial stewardship the dmr Department: Mineral Resources Republic of South Africa 8

9. CONTRIBUTION TO GOVERNMENT PRIORITIES the dmr Department: Mineral Resources Republic of South Africa 9

10. LEGISLATIVE PROGRAM 2009 / 10 • Geoscience Amendment Bill Subsequent Years • Amendment MPRDA • Amendment MHSA the dmr Department: Mineral Resources Republic of South Africa 10

11. SOE OVERVIEW • Council for Mineral Technology (MINTEK) – research in developing technologies for competitiveness in mineral processing • STATE DIAMOND TRADER – promotion of equitable access to beneficiation of diamond resources • SA DIAMOND AND PRECIOUS METALS REGULATOR – Create an enabling environment and widened access for beneficiation of diamonds and precious metals the dmr Department: Mineral Resources Republic of South Africa 11

12. SOE OVERVIEW • COUNCIL FOR GEOSCIENCE – Develop and publish geoscience knowledge, products and services • MINE HEALTH AND SAFETY COUNCIL – Advise Minister Occupational Health and Safety legislation and research methods of promoting health and safety on SA mines the dmr Department: Mineral Resources Republic of South Africa 12

13. BRANCH KEY FOCUS AREAS the dmr Department: Mineral Resources Republic of South Africa 13

14. STRATEGIC PRIORITIES MINERAL REGULATION • Implementing the MPRDA – compliance with social and labour plan and environmental management requirements • Derelict and ownerless mines the dmr Department: Mineral Resources Republic of South Africa 14

15. STRATEGIC PRIORITIES MINERAL POLICY AND PROMOTION • Promote sustainable mineral beneficiation • Promote investments in mining • Drive transformation policies • Protect our environment • Communicate and consult with stakeholders the dmr Department: Mineral Resources Republic of South Africa 15

16. STRATEGIC PRIORITIES MINE HEALTH AND SAFETY • Presidential Audit • Capacity Building • Mine health and safety amendment act implementation • Illegal Mining • Skills Development the dmr Department: Mineral Resources Republic of South Africa 16

17. STRATEGIC PRIORITIES CORPORATE SERVICES • Implementation of Balanced Scorecard • Implementation of Performance Management and Development System (PMDS) • Implementation of Integrated HR Plan Update on Split of the Department of Minerals and Energy the dmr Department: Mineral Resources Republic of South Africa 17

18. THANK YOUQUESTIONS? the dmr Department: Mineral Resources Republic of South Africa 18