The new Beneficiation Bill will allow companies to offset the extent and depth of beneficiation against black ownership commitments, over and above the minimum equity target, reports the Johannesburg Business Day.

The bill will provide the government with what it needs to advance the cause of South African mineral processing, according to Minerals and Energy minister Phumzile Mlambo-Ngcuka.

Speaking at the 22nd International Mining Processing Congress, she said that increased beneficiation incentives would be tied to the broad-based socio-economic empowerment charter.

'Government realises fully that one cannot beneficiate just for the sake of beneficiation', she said.

'It goes without saying that developing nations need to process their mineral resources to the fullest possible extent if they are genuinely seeking to maximise the value to be gained through trading the products of these resources on world markets.'

The 'added-value process' she identified represents, she said, a means of optimising the country's resources, both in terms of the value to be derived from marketing them internationally, but also in terms of employment and training.

Ms Mlambo-Ngcuka went on to allude to the strength of the South African platinum trade, but noted that trades to accompany the supply of raw minerals needed to be properly established.