Thursday 2017-10-19

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LUFAFA GOLD MINE CLOSED

By Lungelo Nkambule | 2017-10-10

Lomati Mine formerly known as Lufafa has been closed for some time now. However, it is set to reopen by the end of October. The mine was shut down after numerous concerns were raised by different stakeholders over the running and administration of the company. This was revealed by the Minister of Natural Resources and Energy Jabulile Mashwama yesterday during the first quarter portfolio committee debate. The minister was responding to questions posed by senators over the running of the mine. Senator Chief Kusa said he had concerns in the way the mine was run. Factor “I have a concern over the corporate governance factor at Lomati Gold Mine. We were all excited when the gold mine was opened as we know the benefits of having one. “I am told it is managed by a Swazi but the Swazi lives outside the country. My concern is who looks out for the concerns of government or looks into the administration of the company,” he said. Senator David Dlamini making his submissions also wanted to know what was happening at the mine. He said they got to know of the challenges the mine was facing through the media hence they would love an explanation from the Minister. “What is happening at Lufafa (Lomati), why are people not paid what is due to them?” he said. Responding, the minister said there had been an enquiry into the running of the mine after which it was resolved that it had been closed down while the company tries to put its house in order. Enquiry “Following a number of negative reports about the mine, the ministry took it upon itself to visit the mine and look into its running, upon arrival we realised there was a lot wrong and we had an enquiry look into it,” she said. The minister said the findings from the enquiry showed that there was a lot wrong hence the decision to shut down the mine so that the company could put their house in order. “We have been informed by the company that they have changed management for the effective running of the mine and further resolve the problems which were identified during the enquiry,” she said. She also apologised to their senators that they had learnt about many things through the media stating that normally they should be briefed and they would try to do so moving forward.

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