IN THE SPOTLIGHT: MINERAL RESOURCES DEVELOPMENT AMENDMENT BILL

IN THE SPOTLIGHT: MINERAL RESOURCES DEVELOPMENT AMENDMENT BILL

• 31 May 2025
• In the Spotlight
• SA Legal Academy

Draft amendments to the 2002 Mineral & Petroleum Resources Development Act (MPRDA) gazetted recently for public comment may need to be read in the context of two other pieces of legislation:

• the 2024 Upstream Petroleum Resources Development Act (UPRDA) (which has yet to be commenced), and
• related draft regulations (released in April 2024 for comment).

This is noting that, once operationalised, the UPRDA will repeal all sections of the MPRDA dealing with petroleum resources – creating ‘two independent pieces of legislation addressing matters pertinent to each industry’, according to a memorandum on the 2021 UPRD Bill’s objects. The intention is that, between them, the two statutes will provide the level of stability and security long required by existing and potential new investors across the entire sector.

Unfortunately, this was not mentioned in a Department of Mineral Resources & Energy media statement issued when the so-called draft ‘Mineral Resources Development Amendment Bill’ was released for public comment – without a memorandum on its objects, and with no reference to a change in the MPRDA’s title to reflect its focus on mineral resources only. Instead, the media statement focused on a critical minerals and metals strategy approved by Cabinet with the draft Bill but only published two weeks later.

Among other things, the petroleum resources-focused UPRDA provides for state participation by way of carried interest in all petroleum rights, which was one of the proposals in a 2013 MPRD Amendment Bill passed by Parliament in 2014, sent back by President Jacob Zuma the following year and eventually allowed to lapse. For the sake of context, this now defunct piece of legislation may also need to be read with the draft Mineral Resources Development Amendment Bill now open for comment until 13 August 2025.

As a remitted Bill, its passage through Parliament hit numerous obstacles during the NCOP leg of the process and stalled when provincial legislature negotiating mandates were ready to be considered. According to some media reports, the by then revised Bill was withdrawn by Minister Gwede Mantashe. However, others refer to the need for Cabinet approval before a Minister is allowed to take such a step. Whatever the case, no explanation was provided and nothing more was said about the Bill – at least, officially. 

For ease of refence, a link to the 2013 lapsed/withdrawn Bill is provided below, with links to all other related legislation and SA Legal Academy reports.

• draft ‘Mineral Resources Development Amendment Bill’
• departmental media statement
• critical minerals and metals strategy
• SA Legal Academy report
• MPRDA reflecting all amendments to date (Southern African Legal Information Institute)
• 2013 MPRD Amendment Bill’s lapsed/withdrawn ‘D’ version
• 2024 UPRDA (including a schedule of MPRDA sections to be repealed)
• SA Legal Academy report on 2024 UPRDA
• SA Legal Academy report on draft regulations
• 2021 UPRD Bill (passed and enacted as 2024 UPRDA)

Published by SA Legal Academy Policy Watch

Follow us on X @SALegalAcademy (you can also join us on LinkedIn and Facebook)

0 COMMENTS

LEAVE A COMMENT