As Mining Indaba gets underway in Cape Town on 5 February, bringing together key players in the mining industry, it is a good moment to focus on the crucial importance of strong legal frameworks and advice to the sector.
International trade in mining is essential to supply-chain resilience across the globe and absolutely central to economies across Africa. It provides resources for construction and manufacturing – in particular, the production of clean energy technologies that are vital for meeting Net Zero – and boosts the vital growth which leads to job creation and infrastructure development.
It is also an industry that continues to go through great change, from the technological advancements that are shaping mining practices, to environmental and social governance considerations which impact investment. These changes have led the UK government to develop a Critical Minerals Strategy.
All of this means that having the right legal support and frameworks underpinning the sector couldn’t be more important. As Minister for Legal Services at the UK Ministry of Justice, I know that lawyers, and especially the general counsel (GC) who will be gathering at the Mining Indaba GC Forum, play an essential role in dealing with a wealth of contractual and regulatory issues and disputes.
Through our GREAT Legal Services campaign, the UK Government has been carrying out a programme of work focussed on building collaboration with Africa’s legal sector. We’ve held a series of events bringing together African and UK lawyers to share ideas and insights in Johannesburg, London and Paris, and I will be travelling to take part in more events in Kenya and Tanzania next month. We’ve also partnered with Africa Legal to contribute to a series of educational courses aimed at legal professionals.
We want GCs from the mining sector to be part of that collaboration, and the campaign team will be at the Mining Indaba GC Forum to build new partnerships. I attended Indaba in 2022 in my previous role as Exports Minister and was inspired and enthused by the GCs I met.
The inclusion of GCs in the senior ranks of mining companies is a way to not only ensure compliance with the many regulatory demands and contractual obligations, but also improves decision making and can lead to economic benefits. In-house legal teams should increasingly be involved in decision making, bringing their expertise and understanding of reputational and legal risk to the process, especially in light of the immense environmental, technological, and geo-political challenges that the mining sector faces.
That’s why gatherings such as the GC Forum are so pivotal, bringing together those working in the mining industry to share valuable expertise and experience. Through the exchange of knowledge and relationships forged at these events, in-house legal teams can really strengthen their company’s ability to respond to the changes and challenges in the industry.
But mitigating commercial risks and creating economic benefits for businesses also hinges on choosing the right governing law in contracts. English and Welsh law continues to be a leading and trusted choice for contracts and settling disputes because of its long history, predictability and reliability – crucial characteristics in what can be a litigious industry.
With the right expertise and tools at their disposal, in-house legal teams will lead the mining sector through change. The best mining companies will trust and empower their GCs, to the benefit of the global economy, environment and people.
GREAT Legal services are proud sponsors of the GC Forum, and the UK MOJ and GREAT Legal Services campaign are the refreshments sponsor for the networking break and the GC Forum and drinks reception.
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