‘Workers own the mine’ 2 March 2020

For the first time in the history of South Africa, former mine employees have become owners of a mine they used to work at. Exxaro Resources, one of the largest black-owned mining companies in the country, has decided to hand over full ownership of Arnot coal mine, situated between Middelburg and Carolina in Mpumalanga, to its former employees and nearby communities.

…Exxaro spokesperson Tsabeng Nthite said the mine had been transferred to Arnot OpCo, an entity owned by the former employees, communities and Wescoal Holdings. “This is a ground-breaking and transaction in South African mining history,” said Nthite. “The transaction embodies the spirit of empowerment and demonstrates Exxaro’s commitment to responsible corporate citizenship.” She could not, however, say how many employees would benefit, nor could she provide the financial value of the mine.

…The agreement quelled tensions between the owners of the mine and the surrounding communities of KwaLugedlane, Matsamo and Mawewe near Komatipoort. Over the years, the communities have accused the mine’s management of overlooking locals when employing staff, degrading their farming land and blasting too close to their houses, causing the walls to crack.