President Cyril Ramaphosa positioned South Africa’s mining sector as a key driver of economic renewal during his State of the Nation Address, delivered on Thursday, 12 February 2026, at the Cape Town City Hall.
In a 20-page speech, President Ramaphosa strongly underscored the strategic importance of mineral resources, describing mining as a “sunrise industry” with vast untapped potential to accelerate growth, create jobs and strengthen the country’s industrial base.
He said: “South Africa has some of the world’s largest reserves of critical minerals. Our ore reserves are valued at more than R40 trillion, making mining a sunrise industry.”
The President further acknowledged that exploration investment had declined over several years but announced a renewed commitment to geological mapping and exploration funding to harness the country’s critical mineral reserves.
The Chairperson of the Portfolio Committee on Mineral and Petroleum Resources, Mr Mikateko Mahlaule, welcomed the President’s strong emphasis on mining reform and investment, saying that the State of the Nation Address affirmed that mining remains at the heart of South Africa’s economic reconstruction and recovery plan.
“The commitment to exploration funding and beneficiation demonstrates that government is serious about ensuring our mineral wealth translates into inclusive growth and sustainable employment,” said Mr Mahlaule.
President Ramaphosa said that a significant boost to investment in exploration came with the recent announcement by the Industrial Development Corporation (IDC) of more than R300 million in funding for the Frontier Rare Earths Project in the Northern Cape. According to the President, the Northern Cape project has the potential to become one of the world’s largest and lowest cost new producers of minerals that are needed for smartphones, lithium batteries and other products.
Mr Mahlaule welcomed the IDC’s investment in rare earths, describing it as particularly significant in the context of the global energy transition. He said: “As demand for battery minerals and critical inputs rises globally, South Africa is well positioned to become a competitive and reliable supplier. The President’s message sends a clear signal that policy certainty and strategic investment are aligning to unlock this potential.”
The address also highlighted growing investor confidence in the mining sector, which the President said was on full display during the Investing in African Mining Indaba held in Cape Town last week. He further noted that new gold, copper, rare earths, platinum and coal mines are being opened in South Africa, signalling renewed momentum across multiple commodities.
The President further pointed to international support for South Africa’s mineral strategy of expanding local beneficiation of critical minerals and increasing the export of finished products.
The renewed focus on mining comes at a time when South Africa is seeking to stimulate economic growth, attract foreign direct investment and create jobs in key sectors. With abundant reserves, strengthened exploration efforts and growing global demand for critical minerals, the sector appears poised to play a leading role in the country’s economic recovery.
Justice Molafo
16 February 2026
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