The lesson learned from the recently concluded Mining Indaba in Cape Town is that mining is back with a vengeance, and the future has seldom looked brighter.
“The future of mining lies not just in extraction, but in forging robust networks that connect players across the value chain,” says Deerosh Maharaj, head of energy, infrastructure and mining at Business and Commercial Banking (BCB) within Standard Bank South Africa.
“This network is a key secret in unlocking value.”
One segment now receiving BCB’s attention is small and medium-sized enterprises (SMEs). The banks have historically been reluctant to extend finance and support to smaller players despite their potential to add outsized value to the mining sector.
Since its formation as a standalone business unit within Standard Bank, BCB has steadily advanced its role in engaging downstream players, junior miners, and SMEs, a market segment characterised by tighter margins and limited focus on value chain development.
Over time, the business unit has built credibility in navigating these complexities, drawing on lessons from adjacent industries.
Maharaj, drawing from his background in renewables, noted a familiar challenge: smaller clients often see little value participation in platforms like Indaba. Yet 2026 marked a record year for attendance and engagement, signalling a growing recognition of collaboration’s power.
Key themes from the conference resonated deeply with him. Minister of Mineral Resources and Energy Gwede Mantashe emphasised the need for unity, aligning with Standard Bank’s vision of enriching the mining value chain.
Africa boasts pockets of excellence in gold, platinum group metals (PGMs) and manganese, but these remain siloed. “We need to get this as efficient as possible so we can dominate as a continent,” Maharaj urges.
“South Africa has deep pools of excellence across the mining value chain, and everywhere we look across Africa there are South Africans involved at very senior levels. Through better coordination and networking, we think there’s huge value that can be tapped across the continent.”
Policy reforms were another highlight emerging from the Indaba, with calls for speedy application processing and eased regulations. The political will appears to be there, now it’s a question of translating that will into action.
For SMEs and the informal sector, this means rethinking frameworks to support artisanal mining, which employs 45 million people globally according to the World Bank. In South Africa, illegal mining poses challenges, but licensed operators already meet high standards in safety and ESG (environmental, social, and governance) criteria.
This is where huge opportunities lie. The gap? If SA can build on its existing strengths while easing the regulatory burden, investment will flow.
Award-winning SMEs
“At this year’s Mining Indaba, we launched our Mining Mmogo – meaning ‘Together’ – event, a black-tie gala dinner and awards evening celebrating small to medium enterprises that embody excellence in mining across the continent,” says Maharaj.
“The evening landed exceptionally well, and confirmed our long-standing view that such a platform for recognition was needed to spotlight this hidden growth engine of the sector.”
Among the winners were businesses like Msobo Mining, a junior miner operating out of Mpumalanga, which received the Sustainable Mining Award for its exceptional work in setting a benchmark for sustainable land stewardship.
Msobo is committed to responsible mining and sustainable land rehabilitation. Over the past five years it has accelerated the rate of rehabilitation in all its operations – returning the land back to agriculture use, both for arable and grazing, and alternate land use.
Its past progress is clear evidence of the commitment. Msobo Coal has to rehabilitation. It was hence recognised by the bank for responsible land stewardship and exemplary post mining sustainability goals.
Another remarkable business recognised is Jaira Projects, a contract miner that won the award for Mining Trailblazer of the year.
It was recognised for applying good old-fashioned South African entrepreneurial agility – by leveraging our world class mining skills incumbent in South Africa coupled with technology advancements to provide mining contracting services to the majors which substantially lowers their cost curves.
There is a growing trend for majors to outsource contract mining.
“This gives them the ability to derisk their operational models in many respects, but this generally comes at a premium on costs,” says Maharaj.
“Jaira Projects has flipped this model around, creating true value in their contracting models.”
Mining’s role in SA
Mining has long anchored South Africa’s economy, contributing 6-7% to GDP, over 50% of merchandise exports, and supporting 450 000 direct jobs, per Minerals Council South Africa. But its role is evolving.
Maharaj calls beneficiation – adding value to raw minerals – a “must-win battle” offering significant opportunities for SMEs.
As global demand surges for critical minerals like PGMs, manganese and chromium, the continent must transition from mere supplier to builder of resilient supply chains.
New growth drivers are emerging from often-overlooked corners: artisanal operators and value-chain participants. These are the invisible growth engines powering the mining sector.
Improvements in licensing and regulation across Africa, from the Democratic Republic of Congo to Ghana, aim to curb environmental damage like river system destruction.
An often overlooked component of the mining ecosystem are mainstream engineering, procurement, and construction (EPC) companies, many based in South Africa and exported continent-wide. These firms, along with contractors, make immense contributions to efficiency and sustainability.
Examples from Standard Bank’s recent deals illustrate this well.
One junior coal miner rehabilitated land into agricultural plots, seeding it for commercial farming and exceeding typical sustainability expectations. Another contracting miner reduced costs for a main operator, enhancing margins and safety through some deft technology and production planning.
At the Indaba, Standard Bank hosted events that drew clients who initially had no plans to attend, creating networks that link African miners.
“These operators contribute to efficiency, competitiveness, and sustainability by lowering costs, ensuring continuity, and embedding sustainable practices,” says Maharaj.
SA miners have learned to adapt to hardships, a culture born out of years of rising mining inflation and fickle commodity prices.
This gives them a competitive edge as the future unfolds.
Access to finance and working capital pressures hinder SMEs. Maharaj notes that mining is a complex sector and a deep understanding of the SME segment of the sector was once a blind spot for banks, but better understanding of industry cycles and volatility has changed that.
“Mining has had a good year, and we’ve seen growth in our book,” he says.
Standard Bank is now more bullish, with increased risk appetite for SMEs. Formalising artisanal and small-scale mining is crucial for long-term competitiveness, transforming it from a social issue into a strategic imperative.
Brought to you by Standard Bank Group.
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