MINE HEALTH AND SAFETY INSPECTORATE

Annual Report2009/2010

2 August 2011

Presentation Outline

1. Background

2. Health and Safety Performance.

3. OHS Improvement Strategy.

4. Mine Safety Achievements.

• Commodity prices breaking records with gold price exceeding $1 600 /oz and speculators predicting $2 000/oz platinum price in near future.

• Public sector infrastructure spending worth R808.6 bn over MTEF.

• Mining growth further expected in the North West, Limpopo, Mpumalanga and Northern Cape Provinces.

• Diminishing gold ore reserves resulting in deepening of shafts and mining of shaft and remnant pillars.

• Poor legacy of health management resulting in social and economic impact with suffering mine employees and companies facing potential multimillion rand claims.

Background

Purpose

Execute the Department’s mandate to safeguard the health and safety of the mine employees and people affected by mining activities.

Objective

Reduce mining-related deaths, injuries and ill health through the formulation of national policy and legislation, the provision of advice, and the application of systems that monitor, audit and enforce compliance in the mining sector.

Mine Health and Safety Inspectorate

Occupational Health

Milestone Target for Respirable Crystiline Silica (< 0.10 mg/m3)

0102030405060708090

100

GP NW FS LP KN MP WC NC EC RSA

Regions

% C

ompl

ianc

e

2007 2008 2009

95 % Target

1006953

717647

710 694 669

264 246201 200 220

171 168

0

200

400

600

800

1000

1200

2003 2004 2005 2006 2007 2008 2009

Respiratory Mine Accident

CAUSES OF DEATH2003 - 2009

Occupational Safety

Actual Fatalities per Region

Regions 2008 2009 % Change

Gold and Platinum

Gauteng 58 44 -24North West 50 56 12Free State 18 21 17

Coal

Mpumalanga 27 25 -7Limpopo 8 5 -38KwaZulu- Natal 2 9 350

Other

Northern Cape 6 4 -33Western Cape 2 3 50Eastern Cape 0 0 0

All Mines 171 167 -2

Actual Injuries per region

Regions 2008 2009 % Change

Gold and Platinum

Gauteng 862 761 -12North West 1,635 1,757 7Free State 472 400 -15

Coal

Mpumalanga 472 419 -11Limpopo 188 202 7KwaZulu- Natal 31 54 74

Other

Northern Cape 56 56 0Western Cape 22 15 -32Eastern Cape 12 8 -33

All Mines 3,750 3672 -2

Occupational Safety

%Sector Deaths Rate Deaths Rate ChangeGold 81 0.24 63 0.20 -22Platinum 41 0.11 32 0.09 -22Coal 18 0.12 13 0.09 -28Other 28 0.13 20 0.10 -29Total 168 0.16 128 0.12 -24

1 Jan - 31 Dec 2009

*1 Jan - 31 Dec 2010

Occupational Safety

%

Sector1 J an - 18 J ul 2010

1 J an - 18 J ul 2011 Change

Gold 37 31 -16Platinum 18 19 6Coal 6 7 17Other 10 12 20Total 71 69 -3

Fatalities

Occupational Safety

%

Sector1 J an - 18 J ul 2010

1 J an - 18 J ul 2011 Change

Gold 722 656 -9

Platinum 766 532 -31

Coal 151 97 -36

Other 146 130 -11

Total 1785 1415 -21

Injuries

MHSI 2009/10 Performance

2009/10 Achievements/ SuccessesImproved stakeholder relationships• Quarterly meetings in all regions with Unions. • Quarterly meetings with DoL, DoH and DPP.

Address Health and Safety Risks: • Completed Inquiries & Investigations as planned. • Audits (83%) & Inspections (91%).

Development of Guidelines• Reviewed existing Guidelines. (e.g. Underwater Mining; Emergency Preparedness; and Drawpoints, Tipping Points & Orepasses).

Review and develop internal policies and proceduresExams Policy, Medical Appeal Procedure; Inclusion or Non-Inclusion of Fatal accidents in Statistics.

Human Resource Development • 99 Officials completed a course on Risk Management in Mining. • 97 Officials completed Health & Safety Training (Legal, Inspection, Audit, Investigation and inquiries).

• Accidents in the mines Accidents in the mines “one life lost is one too many”.“one life lost is one too many”.

• Elimination of recurring accidents.

• Fall of ground and TMM risk presents a significant obstacle to achievement of zero harm.

• High rate of occupational illness and diseases.

• TB, HIV and AIDS impact on society and industry.

• Accuracy of Occupational Hygiene Measurement results.

• Growing mining sector versus skills base.

• Entrenching sustainable compliance culture in mining sector.

• Failure to adopt leading practice.

Challenges

OHS Improvement Strategies

Restructuring of MHSI to enhance enforcement capacity

• Splitting of the North West regional office into two independent offices. PI will be appointed in Rustenburg;

• Establishment of regional compliance and investigation units;

• Appointment of legal advisors at the regional offices to assist with investigations and inquiries;

• Chief Directorate: Occupational Health has been established and is operational;

• 19 Learner Inspectors appointed at our regional offices;

• 18 Bursary Students doing engineering courses;

• Training Initiatives with WITS, MQA and IRCA.

Promotion and Enforcement• Enhance co-operation with tripartite stakeholders through the

MHSC and MQA;

• Mine Health and Safety Summit to be held during the financial year;

• Arrange regional quarterly tripartite forum meetings to share health and safety information;

• Engaging unions on health and safety matters;

• Requesting quarterly reports from the mining company boards and engaging CEOs;

• Review of the Mine Health and Safety Act and Regulations to strengthen enforcement and set minimum standards;

• SIMRAC/CGS project on integration of seismic networks has commenced.

• Stoppage of unsafe mines in line with our legislation maintained (441 issued and 726 transgressions addressed).

Areas addressed in Section 54 Instructions

Occupational Health

• Promote the review and implementation of effective mine health programmes to prevent significant exposure to health hazards;

• Employ the services of a NIOH/CSIR to assist MHSI with verification of mine sampling results;

• Collaboration with the DoH and other stakeholders to ensure a sustainable improvement on ill-health including HIV and TB;

• HIV/TB Summit will be held in this financial year;

• Reviewed Mining Charter now includes health and safety issues and require companies to improve housing and living conditions of mine employees.

Anglo Thermal Coal Fatal Free in 2010

8 Million Fatality Free Shifts

Modikwa Platinum Mine

4 Million Fatality Free Shifts

Impala Platinum 1 ShaftImpala Platinum 7A Shaft

2 Million Fatality Free Shifts

Impala Platinum 12 # Mine Grootegeluk Colliery

Mine Safety Achievements

THANK YOU.