Extracting true value: uncovering greater opportunities for African mining with a value chain model

The General Counsel Forum 2026 will be one of the most important platforms facilitating critical dialogue on the ever-increasing complexities faced by stakeholders in the mining and natural resources sector. 

Global, regional and domestic events over the last few years have already prompted a critical review by forward–thinking, proactive stakeholders, of the way in which business is conducted, and a transition to models that support resilience and longevity, but this has now become more important than ever for all stakeholders. 

Historically, there was a strong focus on regulatory and policy certainty, and many regarded policy and regulatory certainty as a definitive remedy to address challenges around investment, and sustainability of mining operations. 

This externalisation of what many investors offered as a reason for not participating often resulted in stakeholders ignoring alternative opportunities, and not asking the important question around whether extraction or downstream operations should be the exclusive objective. 

Many stakeholders have started refocusing based on a deeper understanding of true value and where this sits, with particular emphasis on the mid-stream operations and activities, including beneficiation.

This emphasis on the full value chain acknowledges that profitable extraction relies on a myriad of factors which are often outside of the control of the extractor, and which create volatility and narrow margins, while participation in the full value chain creates resilient and sustainable growth, development and value sharing. 

Africa’s messaging around Africa being resource-rich has perhaps distracted from real opportunities in the full value chain, from extraction to end user by means of reliable infrastructure and services.

Acknowledging that extraction is merely the starting point and that a more holistic approach must be adopted through a value chain model will facilitate stability, which leads to more sustainable investment, and value-sharing by stakeholders including communities in and around the points of extraction (mines) and throughout the value chain. 

Participation in the full value chain also requires acknowledging that the ‘social licence’ cannot be ignored, and that the artisanal and small-scale mining sector thrives whether formal structures are in place or not, and unless the artisanal and small-scale mining sector is formalised there will be loss of value, including payment of taxes and royalties, through illegal mining and activities by other off-takers that operate outside of the formal business ecosystem.

Creating a stable, regularised value chain is a driver for growth and infrastructure development including electricity, roads, rail, water, and other infrastructure that has a broader benefit.

Developing a sustainable full value chain, including the midstream element, requires introspection and robust decision-making based on credible, reliable and trusted information, including from internal and external legal advisors. 

The role of General Counsel is continuing to evolve from a pure legal advisory role to an embedded strategic role that requires proximity to senior decision-makers, access to all relevant information and participation at the highest levels within the organisation. 

I look forward to leading the Fireside Chat at the General Counsel Forum on 11 February in Cape Town, where Jasmine Abrahams, Allison George, and I will be exploring the topic “Mine to Market: Building Africa’s Legal Value Chain”. 

Warren Beech is the CEO of Beech Veltman Inc, and an internationally recognised expert in mining, energy, natural resources, environmental and infrastructure law. 

For more more information on the GC Forum | Extractives, including further details of our speakers and 2026 agenda, please visit the website here. 

This event is free to attend for mining and energy GCs and in-house legal teams; mining and energy professionals in leadership, risk and compliance roles; government relations, policy and regulatory professionals; investors and financiers in the mining and energy sectors; NGOs and academia. Registration is closed to non sponsoring law firms. 

To attend please register here.