South Africa

High Risk

South Africa · Country · Last assessed Apr 2026

Composite Score 11/25

Higher = lower risk. 22–25 LOW · 18–21 MODERATE · 13–17 ELEVATED · 8–12 HIGH · 5–7 EXTREME.

Permitting Timeline & Predictability

2/5

DMRE permitting backlog severe; timelines among the worst globally for new applications.

Fiscal Regime Stability

2/5

Royalty stable but BEE ownership requirements (Mining Charter) are a continuing fiscal cost.

Political & Security Risk

2/5

Stable democracy but ANC-led coalition; policy unpredictability around BEE and electricity.

Infrastructure & Power

3/5

Power crisis (Eskom load-shedding) is an ongoing operational drag.

Indigenous, Community & ESG

2/5

Community development obligations significant; Marikana legacy still informs sentiment.

Assessment Summary

South Africa hosts the world's most prospective platinum group metals belt (Bushveld) and significant gold, manganese, chrome, and coal endowment. The country's mining workforce and technical depth are world-class. However, the operating environment has deteriorated steadily over the past 15 years.

The DMRE permitting backlog is among the worst globally for new applications. Eskom load-shedding imposes meaningful production losses across the sector. Mining Charter ownership requirements (currently 30% historically disadvantaged ownership) impose significant ongoing capital costs. The country remains investable for established producers but is increasingly difficult for exploration-stage juniors.

Jurisdiction risk is one input — geology, capital structure, and management still matter. See the Verdict Framework for full company scorecards.