Cascade Iron Ore Mining Project Scoping Report

Prepared for
project applicant:
Mkhombi Mining (Pty) Ltd
Project:
The Cascade Iron Ore Mining Project

Gert Sibande District Municipality, Mpumalanga
Report type:
ENVIRONMENTAL SCOPING REPORT
Report name:
The Cascade Iron Ore Mining Project: Environmental Scoping Report
Report status:
For review by DMR and Interested and Affected Parties
Revision no:
Version 00
Report date:
April 2014
Report number:
Report X0079/001/SR-DMR
For submission to:
Department of Mineral Resources (DMR), as part of the EIA and EMP in terms of the
Mineral and Petroleum Resources Act (MPRDA)
Reference no:
DMR: MP 30/5/1/1/2/10082 MR
Prepared by:
T: +27(0) 41 823 9010 I F: +27(0) 86 562 0165 I www.ethicX.co.za

Suite 71, Private Bag X13130, Humewood, 6013, South Africa
Ethical Exchange Sustainability Services (Pty) Ltd.
Company Reg. No. 2011/129759/07. Directors: Mari Wolmarans
Authored by:
Claire De Jongh, Mari Wolmarans

Ethical Exchange Sustainability Services (Pty) Ltd
Reviewed and issued by:
Mari Wolmarans
Report X0079/001/SR-DMR | April 2014 (Revision 00)
Project Information Sheet

PROJECT:
REPORT DETAILS:
Report Name:
Report Number:
Report Status:
Revision No:
Date:
The Cascade Iron Ore Mining Project: Environmental Scoping Report

X0079/001/SR-DMR
For review by DMR and Interested and Affected Parties
Version 00
April 2014
PROJECT APPLICANT:
(in report referred to as: Mkhombi Mining)
Contact Persons: Kofi Morna, Director
Ayanda Mchunu, Executive Manager
24 Crescent Drive, Melrose Arch, Melrose, 2196
P O Box 786838, Sandton, 2146
Tel: 011 684 1267
Fax: 011 684 1201
INDEPENDENT ENVIRONMENTAL CONSULTANT:
(in report referred to as: Ethical Exchange)
Contact Person: Mari Wolmarans, Environmental Assessment Practitioner (EAP)
Tel: 041 823 9010
Fax: 086 562 0165
Email: mkhombi@ethicx.co.za or mari@ethicx.co.za
The Cascades Iron Ore Mining project


Version 00, April 2014, Report X0079/001/SR-DMR
(for review by DMR and Interested and Affected Parties)
Executive Summary
Introduction to the Project
The proposed Cascade Iron Ore Project is situated ~350 km south-east of Johannesburg, between the towns of
Amsterdam and Piet Retief along the R33 provincial road. The area is located in the Mkhondo Local Municipality,
Gert Sibande District Municipality, and Mpumalanga Province, and is just west of the Swaziland border.
Mkhombi Mining (Pty) Ltd (Mkhombi Mining) submitted a mining right application in terms of the Mineral and
Petroleum Resources Act (MPRDA, 2002), for the mining of iron ore, manganese, limestone, marble and nickel on
the following farms, located between Piet Retief and Amsterdam in Mpumalanga Province:
Remaining Extent (R/E) of Farm Cascade 442 IT
Portion 1 9 and R/E of Farm Ishelo 441 IT
Portion 4 and R/E of Farm Haarlem 443 IT
The Department of Mineral Resources (DMR) accepted the mining right application on the 10 th of March 2014.
The proposed project requires an environmental impact assessment (EIA) and approval of an environmental
management programme (EMP) by the DMR, in terms of the Mineral and Petroleum Resources Development Act
(No 28 of 2002) (MPRDA). Ethical Exchange Sustainability Services (Pty) Ltd (Ethical Exchange) was appointed by
Mkhombi Mining to undertake the environmental scoping study in terms of the MPRDA requirements.
The following are other key environmental authorisations and approvals that will, or is likely to be required before
the project can be implemented:
Environmental authorisation in terms of the National Environmental Management Act (NEMA).
Approval of an integrated water use license, in terms of the National Water Act (DWA).
Approval of a waste management license (WML), in terms of the National Environmental Management:
Waste Act (NEMWA).
The South African Heritage Resources Agency needs to approve a heritage assessment, to be conducted as
part of the overall EIA process.
Should protected species be affected, permits will have to be obtained for their removal, relocation or
destruction.

ii
These processes represent future legal processes that have not yet been initiated and do not form part of the
current EIA and scope of work. Mkhombi Mining is planning to start these processes when they proceed to the
more detailed feasibility planning phase of the project.
Description of the Proposed Project

The mining right application covers an area of approximately 8,000 ha in extent. The proposed iron ore mine is
planned as an opencast mining operation. Based on the results of a conceptual mine planning study that was
completed in 2012, Mkhombi Mining is proposing to develop an opencast mine with an iron ore concentrate
output of 2 Million tonnes per annum (Mtpa). The reason for the 2 Mtpa concentrate output is due to the fact
that it has become apparent that a potential 2 Mtpa rail capacity will be available on the coal line to Richards Bay
and furthermore, there is potential access to facilities at the port of Richards Bay to export iron ore pellets.
The envisaged overall process from pit to port involves the following:
Mining of iron ore resource on the farm The Cascade.
Processing of mine ore to produce a fine concentrate on the mining area.
Slurry transport, via pipeline, of the concentrate fines from the mining area to the existing Wildrand rail
siding.
Dewatering of the concentrate at the rail siding.
Pelletising of the concentrate at the rail siding.
Storage and loading of the pellets onto rail trucks and transport to Richards Bay Port.
Storage and handling of the pellets onto vessels for export.
On the farm The Cascade, the iron ore bearing magnetite has been identified in three distinct minable blocks that
outcrop on surface. The conceptual mine planning study stated that the mineral resource on the farm The
Cascade is sufficient to support a mining project with a 2 Mtpa concentrate output for more than 20 years. 6
Million tonnes of run-off-ore will be mined per annum in order to produce 2 Mtpa of pelletized iron ore
concentrate. Thus, for a 20 year life of mine, 120.5 million tonnes of ore will be mined from the open pits. With a
waste to ore strip ratio of 1.61:1, some 194 million tonnes of waste will have to be mined to access all the ore.
Processing of mine ore to a concentrate will consist of the following:
Primary milling and magnetic separation.
Ball milling and secondary magnetic separation.
Fine milling and third stage magnetic separation.
Cleaning of the concentrate through flotation.
The finely milled concentrate will be slurry pumped to the pelletising plant at the Wildrand rail siding where it will
be pelletised to make it suitable for the steel plant processes and it also makes the product easier for rail
transport. The pellets produced will be stockpiled adjacent to the Wildrand rail siding prior to loading on trains
destined for Richards Bay Port. The concentrate will be transported on the coal line via Piet Retief to Richards Bay
Port. Alternative sources for water and energy supply are being investigated.
Associated surface infrastructure will include: offices, stores, security, roads, potable water supply and
management, sewerage management, storm water management, dirty water management, electrical

iii
infrastructure, fire prevention, change houses, refuelling bays, service vehicles, bioremediation facility, waste
disposal, salvage yard, and plant workshop.
Study Approach and Methodology

The scoping study includes the following tasks:
Identification of and initial contact with landowners, IAPs, and relevant authorities.
Dissemination of information (background information document (BID) based on Mkhombi Minings 2012
conceptual mine planning) to landowners, IAPs and relevant authorities.
Record all comments received from all IAPs during the scoping phase and compilation of an initial
comment and response report (CRR) (Version 01) (see Annexure A to F).
Desktop studies and review of information pertaining to the project area and surrounding area in order to
determine the characteristics of the affected environment.
Identify potential impacts to be addressed in the EIA phase.
Development of a scope of work for the EIA phase (plan of study for EIA).
Compilation of an environmental scoping report as required by the DMR in terms of Section 22 of the
Mineral and Petroleum Resources Development Act, 2002 (MPRDA).
Submission of scoping report to the DMR, landowners, IAPs, and other authorities (this report).
Discussions and liaison with DMR, landowners, IAPs, and other relevant authorities.
Capture comments on scoping report, and update the CRR (Version 02) based on these comments.
Maintain a register of all IAPs that participated in the process (list of registered IAPs).
Disseminate CRR Version 02 to registered IAPs.
Public Participation Process

A process of identification of landowners started during Mkhombi Minings application for prospecting and
consultation between Mkhombi Mining and affected landowners took place during the prospecting phase. The list
of landowners was made available to Ethical Exchange at the start of the scoping study. Ethical Exchange
endeavoured to contact as many of these landowners as possible during the short scoping phase, to initiate
consultation with them, and to confirm landowner details, and also to verify the details of neighbours. People
contacted, were also requested to inform Ethical Exchange if they knew of other parties that should be included
in the public participation process.
Community members and potential IAPs were identified using satellite images, information about the area and
networking with people already identified. Landowners and potential IAPs were then contacted by phone calls
and/or emails (see Annexure C for the list of landowners; see Annexure D for the list of IAPs).
One traditional community has been identified on a neighbouring farm, and the traditional leaders of the area
have been identified and information about the project was sent to them. The process of identification and
consultation with community members, occupiers of the land, and other IAPs will be ongoing throughout the EIA
process.
A background information document regarding the proposed project was emailed to all landowners and other
IAPs identified to date.
iv
The background information document (See Annexure A) included detail of the proposed mining project, a
project locality map, project layout maps, as well as information about the scoping and EIA process. A comment
sheet was provided (See Annexure B) for the landowners and IAPs to complete and return to Ethical Exchange so
that these comments can be formally responded to and considered in the development of the plan of study for
EIA.
See Annexure E for comments submitted by landowners and IAPs up until and including 28 April 2014. Copies of
all submissions are provided in Annexure G.
During the contact consultation with IAPs it became apparent that a constructive public meeting with sufficient
notification periods could only be arranged for after the school holidays and various public holidays that coincided
with the initial scoping phase. A public meeting will thus be arranged once the scoping report has been made
available for review and after the national elections on 7 May 2014.
Further consultation, to complete the scoping phase will include:
All identified and registered IAPs will be notified about the availability of the scoping report and the
public meeting date and venue. In addition, posters will be placed at strategic positions and
advertisements will also be placed in local newspapers;
Continue with database searches, title deed searches, discussions with neighbouring landowners to
further identify IAPs;
Facilitation of public meeting and attendance of meetings with key parties;
Update the comments and response report based on the proceedings of the public meeting and
comments on the scoping report;
Make updated comments and response report available to IAPs.
The following evidence is submitted with the scoping report:
Annexure D provides a list of IAPs

o
List of IAPs identified to date, with details of the distribution of the BID
o
List of IAPs that have been registered
Annexure E for the comment and response report (summary of comments raised to date)
Annexure F for details of land claims
Annexure G for copies of IAP correspondence
Ethical Exchange endeavoured to identify, notify and obtain comments from as many IAPs as possible during the
short scoping phase allowed by the MPRDA timeframes for scoping (scoping report to be submitted by 2 May
2014). The process will continue throughout the EIA phase.
Identification of Potential Impacts

The report list potential environmental impacts associated with the proposed project (Section 7). The impacts
have been identified based on the comments received from IAPs, the baseline environmental data.
Plan and Study for EIA

The plan of study for EIA (Section 8) outlines the technical studies as well as the public participation process to be
followed during the EIA phase of the study. It was developed based on the potential impacts that were identified,
and Ethical Exchanges extensive experience working on mines in Mpumalanga as well as our experience working
on opencast iron ore and manganese mines in South Africa
Conclusions
This scoping report will be submitted to the DMR and will be made available to registered IAPs for review. A
public meeting will be arranged and comments received on the scoping report and at the public meeting will be
incorporated in the EIA.
The tentative date for the public meeting is 20 May 2014 - please contact 041 823 9010
or mkhombi@ethicx.co.za to confirm details.
During the EIA phase, more detailed investigations and further consultation with IAPs will be conducted and the
EMP will be developed for submission to the DMR by 24 October 2014.

vi

Table of Content
Project Information Sheet .................................................................................................................................i
Executive Summary .........................................................................................................................................ii
Table of Content ............................................................................................................................................ vii
List of Tables................................................................................................................................................... ix
List of Figures .................................................................................................................................................. x
List of Annexures ............................................................................................................................................ xi
List of Abbreviations ....................................................................................................................................... xi
Definitions...................................................................................................................................................... xi
1.
Introduction to the Project..................................................................................................................... 15

1.1
Mining Right Application........................................................................................................................15
1.2
Environmental Legal Requirements and Purpose of the Report ...........................................................17
1.2.1
Mineral and Petroleum Resources Development Act ............................................................17
1.2.2
Other Key Environmental Authorisations and Approvals Required.......................................18
1.3
Structure of the scoping report on terms of the MPRDA requirements ...............................................19
1.4
Scoping Study Process............................................................................................................................20
1.5
Location of the Project...........................................................................................................................20
1.5.1
Gert Sibande District Municipality..........................................................................................20
1.5.2
Mkhondo Local Municipality ..................................................................................................21
2.
Description of Proposed Project ............................................................................................................. 21

2.1
Project Size and Life of Mine..................................................................................................................21
2.2
Mining Method ......................................................................................................................................21
2.3
Overview of the Operations...................................................................................................................22
2.4
Concentrator Plant.................................................................................................................................23
2.5
Slurry Pipeline and Pelletising Plant.......................................................................................................24
2.6
Tailings Storage Facility..........................................................................................................................25
2.7
Water Supply..........................................................................................................................................26
2.8
Power Supply .........................................................................................................................................27
2.9
Surface Infrastructure ............................................................................................................................27
2.10 Rail Siding.............................................................................................................................................28
3.
Scoping Study Approach and Methodology ............................................................................................ 33

3.1
Study Team ............................................................................................................................................33
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3.2
3.3
3.4
3.5
3.6
3.7
3.8
Study Area..............................................................................................................................................34
Scope of Work........................................................................................................................................34
Consideration of Alternatives ................................................................................................................34
Baseline environmental data collection and description ......................................................................35
Public Participation Process ...................................................................................................................35
3.6.1
Consultation undertaken to date ...........................................................................................35
3.6.2
Further consultation to be undertaken during scoping phase...............................................36
3.6.3
Evidence that landowners and lawful occupiers and IAPs have been notified.....................36
Identification of Potential Impacts.........................................................................................................37
Development of Plan and Study for EIA.................................................................................................37
4.
Land Use and Alternative Developments ................................................................................................ 37
5.
Landowners, Communities and IAPs...................................................................................................... 38

5.1
Landowners............................................................................................................................................38
5.2
Local Communities.................................................................................................................................40
5.3
Occupiers of the Land ............................................................................................................................40
5.4
Land Claims ............................................................................................................................................40
5.5
Traditional Authority..............................................................................................................................40
5.6
Government Departments, Agencies and Institutions ..........................................................................41
5.6.1
Government Departments responsible for various aspects of the environment, land and
infrastructure..........................................................................................................................41
5.6.2
Government Departments identified as IAPs........................................................................41
6.
Baseline Environmental Description ....................................................................................................... 42

6.1
Existing Status of the Cultural and Socio-Economic Environment.........................................................42
6.1.1
Population and Urban Nodes .................................................................................................42
6.1.2
Local Economy ........................................................................................................................43
6.1.3
Education Facilities .................................................................................................................44
6.1.4
Emergency and Health Care Services .....................................................................................44
6.1.5
Electricity ................................................................................................................................44
6.1.6
Transport Network .................................................................................................................45
6.1.7
Sanitation Services..................................................................................................................45
6.1.8
Water Provision ......................................................................................................................45
6.1.9
Cultural Environment..............................................................................................................45
6.1.10 Heritage Resources.................................................................................................................46
6.1.11 Tourism ...................................................................................................................................47
6.1.12 Socio-economic and cultural activities that may be impacted on by the proposed project..47
6.2
Existing Status of the Biophysical Environment.....................................................................................47
6.2.1
Climate....................................................................................................................................48
6.2.2
Topography.............................................................................................................................48
6.2.3
Geology and Mineral Resources.............................................................................................49
6.2.4
Land Use .................................................................................................................................50
6.2.5
Surface Water and Aquatic Environment...............................................................................52
6.2.6
Groundwater ..........................................................................................................................56
6.2.7
Wetlands.................................................................................................................................56
6.3
Terrestrial Biodiversity ...........................................................................................................................57
6.3.2
Air Quality ...............................................................................................................................61
7.
Potential Environmental Impacts Identified............................................................................................ 61

7.1
Socio-Economic Environment ................................................................................................................61
7.1.1
Local, Regional and National Economics ................................................................................61

viii
7.2
7.3
7.1.2
Noise .......................................................................................................................................62
7.1.3
Social Environment .................................................................................................................62
7.1.4
Land use and land capability ..................................................................................................62
7.1.5
Existing services and infrastructure........................................................................................62
7.1.6
Visual environment and sense of place..................................................................................63
Biophysical Environment........................................................................................................................63
7.2.1
Geology...................................................................................................................................63
7.2.2
Topography.............................................................................................................................63
7.2.3
Climate....................................................................................................................................63
7.2.4
Air quality................................................................................................................................63
7.2.5
Soils.........................................................................................................................................63
7.2.6
Water use and supply .............................................................................................................64
7.2.7
Terrestrial Ecology and Biodiversity .......................................................................................64
7.2.8
Aquatic Ecology ......................................................................................................................65
7.2.9
Wetlands.................................................................................................................................65
Cultural Environment .............................................................................................................................65
7.3.1
Heritage resources..................................................................................................................65
7.3.2
Trans-boundary Environmental Effects ..................................................................................66
8.
Plan of study for EIA (further investigations required)............................................................................. 66

8.1
Public Participation Process and Key MPRDA Submission Dates...........................................................66
8.2
Specialist Environmental Assessments ..................................................................................................67
8.2.1
Biophysical Environmental Specialist Studies.........................................................................67
8.2.2
Socio-Economic Specialist Studies..........................................................................................71
8.2.3
Cultural Specialist Study (Heritage Impact Assessment) ........................................................78
8.3
Impact Assessment and Rating Methodology .......................................................................................78
8.3.1
Identification and Description of Impacts ..............................................................................79
8.3.2
Mitigation Measures...............................................................................................................80
8.3.3
Rating the Significance of Environmental Impacts and Mitigation Measures .......................81
8.4
Environmental Management Programme (EMP) ..................................................................................84
9.
Conclusion............................................................................................................................................. 84
10. Consultant Declaration .......................................................................................................................... 85

11. List of Annexures ................................................................................................................................... 86
12. References ............................................................................................................................................ 86
List of Tables
Table 1: Coordinates of the mining area ................................................................................................................. 16
Table 2: DMR timeframes for the scoping report, consultation process, and EIA and EMP................................... 17
Table 3: Structuring of the Scoping Report in terms of Section 49 of GNR 527 (MPRDA) ...................................... 19
Table 4: Tailings Storage Facility Parameters .......................................................................................................... 25
Table 5: Study Team ................................................................................................................................................ 33
Table 6: Major Dams in the Usutu River Catchment ............................................................................................... 52
Table 7: Registered water use upstream of Piet Retief Water Supply Scheme dependent on the surface
water resources of the Assegaai River Catchment (million m3/a)........................................................................... 53
Table 8: Water Availability (million m3/annum)...................................................................................................... 54

ix
Table 9: Inkomati-Usutu Water requirements ........................................................................................................ 55

Table 10: Timeframes for MPRDA Submissions and Public Participation ............................................................... 66
Table 11: Impact Rating Criteria and Assessment Process...................................................................................... 81
List of Figures
Figure 1: Locality Map (showing nearby towns and major roads) (not to scale) .................................................... 16
Figure 2: Conceptual Mining Plan (based on 2012 conceptual mine planning study) (not to scale) ...................... 22
Figure 3: Project Layout Map (based on 2012 conceptual mine plan) (not to scale).............................................. 23
Figure 4: Concentrator Plant Flow Diagram ............................................................................................................ 24
Figure 5: Pelletising Plant Process Flow Diagram .................................................................................................... 25
Figure 6: Pelletising Plant Option 1 ......................................................................................................................... 28
Figure 7: Pelletising Plant Option 2 ......................................................................................................................... 28
Figure 8: Pelletising Plant Option 3 and 4................................................................................................................ 29
Figure 9: Site for Pelletising Plant Option 2 (at sub-station and Pylon at east end with Power Lines Running
West) ....................................................................................................................................................................... 29
Figure 10: Access from Pelletising Site Option 3 Direct to N2 ................................................................................. 29
Figure 11: Site where Slurry Pipe turns west Pelletising Plant Site Options 2, 3 and 4........................................... 30
Figure 12: Point at which Slurry Pipeline Crosses R33 to West Edge of Road Reserve on farm Ishlelo .................. 30
Figure 13: Point at which Slurry Pipeline Turns Westwards into Forestry Area For Pelletising Plant Site
Option 1 ................................................................................................................................................................... 30
Figure 14: Site for Pipe Bridge At Tweeling Spruit................................................................................................... 31
Figure 15: Site of Pipe Bridge Crossing Un-Named Stream ..................................................................................... 31
Figure 16: Site of Pipe Bridge Crossing Tweeling / Hlelo River................................................................................ 31
Figure 17: Wildrand Siding....................................................................................................................................... 32
Figure 18: Wildrand Siding West End Wagon Loading Facility ............................................................................. 32
Figure 19: Wildrand Siding - West End .................................................................................................................... 32
Figure 20: Mkhondo Local Municipality Draft Integrated Development Plan, 2011 2012................................... 38
Figure 21: Surface Right Owners ............................................................................................................................. 39
Figure 22: Land Form (showing rivers) .................................................................................................................... 48
Figure 23: Contour Map........................................................................................................................................... 49
Figure 24: Southern Africa showing the location of Pongola Geological Supergroup Outcrops............................. 49
Figure 25: Regional geological structures................................................................................................................ 50
Figure 26: 3D View of Local Topography and Land Use .......................................................................................... 51
Figure 27: Land Cover Map...................................................................................................................................... 51
Figure 28: Location of Major Dams and Protected Areas in the Region ................................................................. 53
Figure 29: Rivers and wetlands................................................................................................................................ 57
Figure 30: Mpumalanga Biodiversity Assessment and Ecological Corridors........................................................... 58
Figure 31: Mpumalanga Biodiversity Assessment and Ecological Corridors (Detailed View of Project Area) ........ 58
Figure 32: Regional Vegetation Map ....................................................................................................................... 60
Figure 33: Mpumalanga Protected Areas Expansion Areas Strategy ...................................................................... 61

List of Annexures
Annexure A: Background information document (BID)
Annexure B: Copy of Reply and Comment Sheet
Annexure C: List of Landowners
Annexure D: List of Interested and Affected Parties (IAPs)
Annexure E: Comment and response report (CRR)
Annexure F: Details of land claims
Annexure G: Copies of IAP correspondence
Annexure H: DMR acceptance of the mining right application
Annexure I: Supplementary project information
Annexure J: Supplementary information regarding environmental legislation, guidelines, and standards
List of Abbreviations
DEA
EIA
EMP
CRR
DWA
DMR
GIS
IAP
IDP
MAR
MPRDA
mamsl
NEMA
NEMWA
NHRA
SANBI
WMA
Department of Environmental Affairs

Environmental Impact Assessment
Environmental Management Plan / Programme
Comment and Response Report
Department of Water Affairs
Department of Mineral Resources
Geographic Information Systems
Interested and Affected Party
Integrated Development Plan
Mean Annual Runoff
Mineral and Petroleum Resources Development Act
Metres above mean sea level
National Environmental Management Act (No 107 of 1998)
National Environmental Management: Waste Act (No 59 of 2008)
National Heritage Resources Act (No 25 of 1999)
South African National Biodiversity Institute
Water Management Area
Definitions
Allocation
A water allocation is an authority to take water in areas covered by a resource operations plan.
Baseline Environment
Pre-development environmental conditions. The prevailing environmental conditions (or status quo) prior to the
start of an activity or project, including current / existing environmental damage / degradation.

xi
Baseline Impacts (Existing Impacts)

The current level of environmental degradation associated with existing developments, including those currently
under construction. Determination of the current level of degradation associated with existing developments is
essential to understand and enable the assessment of cumulative impacts.
Catchment
The land area drained by a river and its tributaries.
Community
A group of historically disadvantaged persons with interest or rights in a particular area of land on which the
members have or exercise communal rights in terms of an agreement, custom or law: Provided that, where as a
consequence of the provisions of the Mineral and Petroleum Resources Development Act (MPRDA) negotiations
or consultations with the community are required, the community shall include the members or part of the
community, directly affected by prospecting or mining, on land occupied by such members or part of the
community.
Consultation
A communication process between the applicant (or their representatives) and the community or interested and
affected party (IAP) wherein the former is seeking, listening to, and considering the latters response, which
allows openness in the decision making process.
Cumulative Impacts
Combined impacts of two or more activities, or the combined impacts of an activity with that of current activities.
For this report, cumulative impacts are described as:
Existing Impacts + Incremental Impacts of the project = Cumulative Impacts
Environment
Surroundings in which organisms operate, including air, water, land, natural resources, flora, fauna, humans and
their inter- relations (includes bio-physical and socio-economic components).
Environmental Impact Assessment (EIA)
An EIA is an assessment of the positive and negative environmental consequences of the proposed project. The
primary objective of the EIA is to aid decision-making by providing factual information on the assessment of these
impacts, and determining their significance, as well as making valued judgements in choosing one alternative over
another. For this EIA a combination of checklists, overlays and mapping, scoping and professional experience will
be used to identify the possible negative and positive impacts on the environmental components.
Ephemeral
Ephemeral water bodies (wetlands, springs, streams, rivers, ponds or lakes), are found in semi-arid to arid upland
areas, that only flow (exists) for a brief period of time during and shortly after rain. The banks of these water
bodies have scattered riparian vegetation including trees, shrubs, and grasses, but often with incomplete or
discontinued tree canopy cover.
It is not the same as intermittent, seasonal or non-perennial water bodies, which exist for longer periods, but not
all year round.
Existing Impacts
See Baseline Impacts.
Fatal Flaw
A factor or situation, which prevents the development of an environmentally acceptable project, except at
prohibitive cost. These are critical issues with the ability to stop a projects implementation.

xii
Incremental Impact
This is the impact of an activity looked at in isolation (impact of an individual activity), thus not considering the
combined, cumulative or synergistic impacts of the activity, or the cumulative impacts of the activity with other
activities or the current level of degradation.
Interested and Affected Parties (IAPs)
These are individuals or groups concerned with or affected by the environmental impacts and performance of a
project. Interested groups include those exercising statutory environmental control over the project, local
residents/communities (people living and/or working close to the project), the projects employees, customers,
consumers, investors and insurers, environmental interest groups, the general public, etc.
It covers:
Host Communities
Landowners (Traditional and Title Deed owners)
Traditional Authority
Land Claimants
Lawful land occupier
The Department of Land Affairs,
Any other person (including on adjacent and non-adjacent properties) whose socio-economic conditions
may be directly affected by the proposed prospecting or mining operation
The Local Municipality
The relevant Government Departments, agencies and institutions responsible for the various aspects of the
environment and for infrastructure which may be affected by the proposed project.
Mineral
In terms of the Minerals and Petroleum Resources Development Act (MPRDA), any substance, whether in solid,
liquid or gaseous form, occurring naturally in or on the earth or in or under water and which was formed by or
subjected to a geological process, and includes sand, stone, rock, gravel, clay, soil and any material occurring in
residue stockpiles or in residue deposits, but excludes: Water, other than water taken from land or sea for the
extraction of any material from such water; Petroleum; or Peat.
Mining
In terms of the Minerals and Petroleum Resources Development Act (MPRDA), mining is the making of any
excavation for the purpose of winning a mineral, and it includes any other associated activities and processes.
Mining Area
In terms of the Minerals and Petroleum Resources Development Act (MPRDA), the area for which a mining
authorisation/permission to mine has been granted. It includes: Any adjacent surface of land; any non-adjacent
surface of land, if it is connected to such an area by means of any road, railway line, power line, pipeline,
cableway or conveyer belt; and any surface of land on which such road, railway line, power line, pipeline,
cableway or conveyer belt is located, under the control of the holder of such permit or authorisation and which
the holder is entitled to use in connection with the operations performed or to be performed under such permit
or authorization.
Receptor
A receptor is the target or object on which the impact, stressor or hazard is expected to have an effect.
Sensitive Area
A sensitive area or environment can be described as an area or environment where a unique ecosystem, habitat
for plant and animal life, wetlands or conservation activity exists. Sensitive areas are often associated with ecotourism activities or have a high potential for future eco-tourism.

xiii
Significant Impact
An impact can be deemed significant if scientific environmental studies, consultation with the relevant authorities
and other interested and affected parties, on the context and intensity of its effects, provide reasonable grounds
for mitigating measures to be included in the environmental management report and environmental
management programme. The onus will be on the proponent to include the relevant authorities and other
interested and affected parties in the consultation process. Present and potential future, cumulative and
synergistic effects should all be taken into account.

xiv

1.
Introduction to the Project
1.1
Mining Right Application
Mkhombi Mining (Pty) Ltd (Mkhombi Mining) completed a conceptual mine planning study for their Cascade Iron
Ore Project (proposed project) in 2012. In 2013, they submitted a mining right application in terms of the Mineral
and Petroleum Resources Act (MPRDA, 2002), for the mining of iron ore, manganese, limestone, marble and
nickel on the following farms, located between Piet Retief and Amsterdam in Mpumalanga Province, as indicated
on the locality and layout maps (see Figure 1 and Figure 3):
The Department of Mineral Resources (DMR) accepted the mining right application on the 10 th of March 2014
with reference number: DMR: MP 30/5/1/1/2/10082 MR.
The following prospecting rights, held by Mkhombi Mining, applied to the area: 1594 PR, 4429 PR, 4991PR,
1111 PR, 4430 PR, 4992PR, 1112 PR, 4990PR. In terms of the MPRDA, prospecting rights are only valid for a set
period of time, after which a mining right has to be submitted to secure and maintain the rights to a mineral
resource. Mkhombi Mining therefore submitted the mining right application for their Cascade Iron Ore Project in
order to secure and maintain their right to the mineral resources on the three properties in question.
The mining right application was based on the 2012 conceptual mine planning study Mkhombi Mining Cascades
Project [Mining and Technical] Scoping Study, prepared by RHDHV, 2012. This mine plan represents the most up
to date information available and is summarised in the project description section and project layout maps (Figure
3 and Figure 2) of this scoping report.

15
Figure 1: Locality Map (showing nearby towns and major roads) (not to scale)
The following coordinates of the area were supplied by Mkhombi Mining:

Table 1: Coordinates of the mining area
Y coordinate
X coordinate

33082.49
2966243.31
31001.62
2965218.36
26768.98
2962025.94
24917.49
2961451.33
23737.85
2961568.52
20207.77
2962078.21
19774.95
2966502.18
23938.64
2965718.10
24106.23
2969181.51
26389.51
2971168.22
30196.54
2971081.99
33082.49
2966243.31
16
1.2
Environmental Legal Requirements and Purpose of the

Report
1.2.1
Mineral and Petroleum Resources Development Act
The Cascade Iron Ore Project (proposed project) requires an environmental impact assessment (EIA) and approval
of an environmental management programme (EMP) by the DMR, in terms of the Mineral and Petroleum
Resources Development Act (No 28 of 2002) (MPRDA).
The DMR stipulated the following timeframes for the EIA, EMP and associated consultation process with
interested and affected parties (IAPs):
Table 2: DMR timeframes for the scoping report, consultation process, and EIA and EMP
Environmental Study Component
Timeframe for Submission to DMR
Submit an environmental scoping study (initial phase of the EIA). On or before 2 May 2014 (this report)
Notify in writing and consult with the landowners or lawful On or before 2 May 2014 (Annexure A to
occupiers, the surrounding community members, and affected F of this report)
parties and submit results.
Consult with IAPs and submit an EIA report and environmental On or before 24 October 2014
management programme (EMP), with input from the public.
The MPRDA does not allow for extensions to these timeframes.
1.2.1.1
Scoping Phase Environmental Assessment (this phase)
Ethical Exchange Sustainability Services (Pty) Ltd (Ethical Exchange) was appointed by Mkhombi Mining to
undertake the environmental scoping study in terms of the MPRDA requirements, the public participation
process, and to submit the scoping report and results of the consultation to the DMR on or before 2 May 2014.
The study is based on the available project design information contained in Mkhombi Minings 2012 conceptual
mine planning study.
The purpose of this report is to present the results of the environmental scoping study and initial consultation
process undertaken in terms of the MPRDA, for submission to the DMR.
The report will be submitted to the DMR and will be made available for review by all IAPs that have registered to
date. It will also be made available upon request to new IAPs as and when they register as IAPs.

17
1.2.1.2
EIA and EMP Phase
Once the scoping phase has been completed, the study would move to the EIA phase. During the EIA phase, more
detailed investigations and further consultation with IAPs will be conducted and the EMP will be developed for
submission to the DMR by 24 October 2014.
Due to the fact that the EIA and EMP must be submitted by 24 October 2014, the EIA and EMP Report will have to
be based on the 2012 conceptual mine planning study.
1.2.1.3
Feasibility Study Phase, Future Project Changes, and associated EIA and EMP
Amendment
Mkhombi Mining is planning to conduct a detailed feasibility planning study for the project. These studies
typically take 18 to 24 months to complete and as such there wont be time to complete the study in time for the
EIA and EMP report submission date of 24 October 2014.
Should there be any significant changes made to the proposed project during the feasibility study after the EIA
and EMP has been approved by the DMR i.e. Mkhombi adopts a new or amended mine plan in favour of the
2012 conceptual mine plan then an EIA and EMP amendment, supported by additional consultation with IAPs,
will be required.
1.2.2
Other Key Environmental Authorisations and Approvals Required
The following are other key environmental authorisations and approvals that will, or is likely to be required before
the project can be implemented:
Environmental authorisation from the Mpumalanga Department of Economic Development, Environment
and Tourism in terms of the National Environmental Management Act (No 107 of 1998) (NEMA) and
Government Notice Regulations 543 to 546 (18 June 2010) (DEFINITELY REQUIRED).
Approval of an integrated water use license, in terms of the National Water Act (No 36 of 1998) (DWA), by
the Department of Water Affairs (DEFINITELY REQUIRED).
Approval of a waste management license (WML), in terms of the National Environmental Management:
Waste Act (No. 59 of 2008) NEMWA, by the National Department of Environmental Affairs and/or MDEDET
(LIKELY TO BE REQUIRED).
The South African Heritage Resources Agency needs to approve a heritage assessment, to be conducted as
part of the overall EIA process, in terms of the National Heritage Resources Act (No 25 of 1999). Permits will
be required for the destruction or removal of any heritage resources affected by the development (MAY BE
REQUIRED).

18
Should protected species be affected, permits will have to be obtained for their removal, relocation or
destruction. This is in terms of the Mpumalanga Province: Mpumalanga Nature Conservation Act (No 10 of
1998) and National Environmental Management: Biodiversity Act (No 10 of 2004) (MAY BE REQUIRED).
These processes represent future legal processes that have not yet been initiated and do not form part of the
current EIA and scope of work. Mkhombi Mining is planning to start with these processes when they proceed to
the more detailed feasibility planning phase of the project.
As such, this reports only focus is compliance with the MPRDA requirements for scoping reports as stipulated in
Table 3 below.
1.3
Structure of the scoping report on terms of the

MPRDA requirements
Table 3: Structuring of the Scoping Report in terms of Section 49 of GNR 527 (MPRDA)
Legal and Regulatory Requirement
Cross Reference to Report Section
(a) describe the methodology applied to conduct

scoping;
See Section 3: Scoping Study Approach and

Methodology.
(b) describe the existing status of the environment

prior to the mining operation;
See Section 6: Baseline Environmental Description

Existing Status of the Cultural and Socio-Economic
Environment, and Section 6.2: Existing Status of the
Biophysical Environment
(c) identify and describe the anticipated

environmental, social and cultural impacts, including
the cumulative effects, where applicable;
(d) identify and describe reasonable land use or
development alternatives to the proposed operation,
alternative means of carrying out the proposed
operation and the consequences of not proceeding
with the proposed operation;
(e) describe the most appropriate procedure to plan
and develop the proposed mining operations;
(f) describe the process of engagement of identified

interested and affected persons, including their views
and concerns; and

See Section 7: Potential Environmental Impacts

Identified
See Section 4: Land Use and Alternative Developments
See description of the proposed mining activities and the

conceptual mine plan in Section 2.
See Section 3.6: Public Participation Process, as well as
the following annexures:
Annexure D: List of Interested and Affected Parties
(IAPs)
19
Legal and Regulatory Requirement

(g) Describe the nature and extent of further
investigations required in the environmental impact
assessment report.
1.4
Cross Reference to Report Section

See Section 8: Plan of study for EIA
Scoping Study Process
These are the main activities during the scoping phase:

Identification of and initial contact with landowners, IAPs, and relevant authorities.
Dissemination of information (background information document (BID) based on Mkhombi Minings 2012
conceptual mine planning) to landowners, IAPs and relevant authorities.
comment and response report (CRR) (Version 01) (see Annexure A to F).
Desktop studies and review of information pertaining to the project area and surrounding area in order to
determine the characteristics of the affected environment.
Identify potential impacts to be addressed in the EIA phase.
Development of a scope of work for the EIA phase (plan of study for EIA).
Mineral and Petroleum Resources Development Act, 2002 (MPRDA).
Submission of scoping report to the DMR, landowners, IAPs, and other authorities (this report).
Discussions and liaison with DMR, landowners, IAPs, and other relevant authorities.
Capture comments on scoping report, and update the CRR (Version 02) based on these comments.
Maintain a register of all IAPs that participated in the process (list of registered IAPs).
Once the scoping study has been completed, the EIA will be undertaken and an Environmental Management
Programme (EMP) will be developed for submission to the DMR on or before 24 October 2014.
1.5
Location of the Project
The proposed The Cascade Iron Ore Project is situated ~350 km south-east of Johannesburg, between the towns
of Amsterdam and Piet Retief along the R33 provincial road. The area is located in the Mkhondo Local
Municipality, Gert Sibande District Municipality, and Mpumalanga Province, and is just west of the Swaziland
border (see Figure 1 and Figure 3).
1.5.1
Gert Sibande District Municipality
Gert Sibande District Municipality is the largest of the three districts located in the Mpumalanga Province and
comprises seven local municipalities, namely Govan Mbeki, Chief Albert Lithuli, Msukaligwa, Dipaleseng,
Mkhondo, Lekwa and Isaka Seme. Gert Sibande District Municipality is bordered by Ekurhuleni Metro to the west;
Sedibeng District Municipality to the south-west (Gauteng), the northern Free State and Thabo Mofutsanyane
20
District Municipality to the south east (Free State Province), Ehlanzeni District Municipality to the north east and
Nkangala District Municipality to the north (Mpumalanga Province), Amajuba and Zululand District Municipalities
to the south east (KwaZulu Natal) and by Swaziland to the east. The main economic sectors of Gert Sibande
District Municipality include mining, manufacturing, agriculture, tourism and services.
1.5.2
Mkhondo Local Municipality
Mkhondo Local Municipality (see

Figure 20) is described as the gateway to the province of Mpumalanga from KwaZulu Natal and Swaziland. The
local municipality is situated halfway between the Gauteng metropolis and the Natal coast and is the main link for
both industrial and commercial transport from Gauteng to the import / export harbour at Richards Bay. The
Mkhondo Local Municipality borders with Swaziland to the northeast, Pixley ka Seme Local Municipality to the
west, Msukwaligwa Local Municipality to the north-west and eDumbe and uPongola Local Municipalities to the
south. With the exception of eDumbe and uPongola Local Municipalities, which are in the Zululand District
Municipality, the other local municipalities are part of the Gert Sibande District Municipality.
2.
Description of Proposed Project
2.1
Project Size and Life of Mine
The mining right application covers an area of approximately 8,000 ha in extent. The proposed iron ore mine is
planned as an opencast mining operation. Based on the results of a conceptual mine planning study that was
completed in 2012, Mkhombi Mining is proposing to develop an opencast mine with an iron ore concentrate
output of 2 Million tonnes per annum (Mtpa). The reason for the 2 Mtpa concentrate output is due to the fact
that it has become apparent that there is potential for 2 Mtpa rail capacity to be available on the coal line to
Richards Bay and furthermore, there is potential access to facilities at the port of Richards Bay to export iron ore
pellets.
The conceptual mine planning study stated that the mineral resource on the farm The Cascade is sufficient to
support a mining project with a 2 Mtpa concentrate output for more than 20 years. 6 Million tonnes of run off ore
will be mined per annum in order to produce 2 Mtpa of pelletized iron ore concentrate. Thus, for a 20 year life of
mine, 120.5 million tonnes of ore will be mined from the open pits. With a waste to ore strip ratio of 1.61:1, some
194 million tonnes of waste will have to be mined to access all the ore.
2.2
Mining Method
On the farm The Cascade, the iron ore bearing magnetite has been identified in three distinct minable blocks that
outcrop on surface. The mineable blocks are separated from each other by a series of horst and or graben
structures. The deposits are generally tabular in nature with gentle dips that vary between 7-15 degrees.
Anomalous deposit dips of up to 25 degrees are present sporadically across the property. For this type of ore body

21
outcropping to surface, the conventional drill, blast, load and haul open cast mining would be adopted. There is
no free dig material so all material will be drilled and blasted from the start of mining.
Figure 2: Conceptual Mining Plan (based on 2012 conceptual mine planning study) (not to scale)
2.3
Overview of the Operations
The envisaged overall process from pit to port involves the following:
Mining of iron ore resource on the farm The Cascade.
Processing of mine ore to produce a fine concentrate on the mining area.
Slurry transport, via pipeline, of the concentrate fines from the mining area to the existing Wildrand rail
siding.
Dewatering of the concentrate at the rail siding.
Pelletising of the concentrate at the rail siding.
Storage and loading of the pellets onto rail trucks and transport to Richards Bay Port.
Storage and handling of the pellets onto vessels for export.

22
Figure 3: Project Layout Map (based on 2012 conceptual mine plan) (not to scale)
2.4
Concentrator Plant
Processing of mine ore to a concentrate will consist of the following:
Primary milling and magnetic separation.
Ball milling and secondary magnetic separation.
Fine milling and third stage magnetic separation.
Cleaning of the concentrate through flotation.

23
Figure 4: Concentrator Plant Flow Diagram
2.5
Slurry Pipeline and Pelletising Plant
The finely milled concentrate will be slurry pumped to the pelletising plant at the Wildrand rail siding where it will
be pelletised to make it suitable for the steel plant processes and it also makes the product easier for rail
transport. The direct distance from plant to rail siding is approximately 11 km.
Customers are prepared to pay a premium price for good pellets as compared to fines concentrate as it removes
the necessity for them to agglomerate fines.
The pelletising process consists of a balling section, a sintering section and a product screening and dispatch
section. The concentrate is mixed with a binder and formed into balls in a rotating drum or disc. The balls are
normally sized between 10 mm and 16 mm with a nominal size of 12 mm. They are transported via conveyors to
the sintering furnace. Once fed through the furnace, the cooled pellets are screened. The pellets produced will be
stockpiled adjacent to the Wildrand rail siding prior to loading on trains destined for Richards Bay Port. The pellets
will be transported on the coal line via Piet Retief to Richards Bay Port.

24
Figure 5: Pelletising Plant Process Flow Diagram
2.6
Tailings Storage Facility
The conceptual design for the tailings storage facility has been generated using the parameters as tabled below:
Table 4: Tailings Storage Facility Parameters
Parameter
Iron ore concentrate produced per annum
Mass recovery to concentrate
Run-of-Mine tonnage to plant per annum
Tailings produced per annum
Mine life
Total tailings to be deposited
Bulk density of deposited tailings
Total volume required over mine life
Units
tons
%
tons
tons
years
tons
t/m3
m3
Value
2,000,000
32
6,250,000
4,250,000
20
85,000,000
1.6
53,125,000
Maximum rate of rise per annum

Maximum height of TSF
Overall slope of side of TSF - maximum
m
m
2
40
1:3

25
Parameter
Overall slope of side of TSF
Top area of dam (at 40m height)
Area of base
Length / width of top

Base of TSF length / width
Area of base
Volume on base (including sides, to 40m)
Actual final height
Paddocks - width
Solution trench - width
Road - width
Total - width
Volume of 100mm storm on TSF area
Water pumped with tailings (2 days)
Total capacity return water dam
Depth return water dam
Area return water dam
Dimensions RWD length x width
Overall dimensions TSF (incl. RWD)
Area required
Units
degrees
m2
m
m
m2
Value
19
1,328,125
hectares
m3
161.8
64,184,200
m
m
m
m
m
m3
m3
m3
35
20
2
4
26
161,798
52,927
214,725
m
m2
3
71,575
m
m
hectares
800 x 90
1298 x 1388
180.2
1152
1272
1,617,984
The dam will be constructed with a clay underliner, to prevent seepage of water associated with the tailings into
the groundwater. Return water from the tailings dam will be decanted via a penstock system to the return water
dams prior to being returned to the plant for reuse. It is likely that a cyclone deposition system will be employed,
to allow the coarse size fraction in the tailings to be used for wall construction. The construction method will be
confirmed during the pre-feasibility study.
Based on the design parameters, the tailings storage facility will have a final height of 35 m. The area required for
the TSF will be 180 hectares, or an area of 1298 x 1388 metres, which includes the tailings dam, the external
paddocks, solution trench, road around the TSF and the return water dam.
The capital cost of the construction of this TSF is USD 13.64 Million. This includes the cost of earthworks,
penstocks, under drains, storm water and solutions trenches, a perimeter road and the tailings distribution and
return water collection piping inside the TSF fence. The cost of a clay underliner has been included; it has been
assumed that suitable clay will be sourced in the vicinity of the mining lease area.
otal power requirements for this phase of the project (to produce 2 Mtpa of pellets) is estimated at 35 MVA.
2.7
Water Supply
No hydrogeological study work has been done on this project to date. Based on observations during geological
drilling work, no major groundwater inflow is expected into the mine working areas.

26
The mine and plant will be designed to reclaim as much water as possible from each process stage. If, as is
intended, the concentrate is pumped to a pelletizing plant as a slurry, then the filtrate will be returned back to the
mine.
The expected make-up water requirement for the plant to produce 2 Mtpa of concentrate, is about 2,000,000
m3/annum, and mining operations will require a further 300,000 m3/annum, bringing the total to 2,300,000
m/annum.
For the water supply to the project, exploratory discussions with the DWA indicated that there are no significant
supplies of water available from the existing storage sources in the area such as the Jerico and Morgenstond
dams, or the weir in the Hlelo River. Therefore, different options for building new storage dams in one of the local
catchment areas are being considered.
2.8
Power Supply
Total power requirements for the mine and associated plant to produce 2 Mtpa of pelletised concentrate is
estimated at 35 MVA. Initial discussions with Eskom representatives have indicated that the local area distribution
network would not be able to supply this requirement. Different power supply options are being investigated,
such as supply from the nearby the 400 kV transmission line to Mozambique, supply from the Camden Power
Station some 80 km away, or locally generated power.
2.9
Surface Infrastructure
Associated surface infrastructure for the project will include:
Offices
Stores
Security
Road construction
Potable Water Supply and Management
Sewerage Management
Storm Water Management
Dirty Water Management
Electrical Infrastructure
Fire Prevention
Change houses
Refuelling Bays
Service Vehicles
Bioremediation Facility
Waste Disposal
Salvage Yard
Plant workshop

27
2.10
Rail Siding
A number of options were considered for the position of the pelletising plant and the associated stockpile
requirements. These four options are depicted below.
a
Figure 6: Pelletising Plant Option 1
Figure 7: Pelletising Plant Option 2

28
Figure 8: Pelletising Plant Option 3 and 4
Figure 9: Site for Pelletising Plant Option 2 (at sub-station and Pylon at east end with Power Lines Running West)
Figure 10: Access from Pelletising Site Option 3 Direct to N2

29
Figure 11: Site where Slurry Pipe turns west Pelletising Plant Site Options 2, 3 and 4
Figure 12: Point at which Slurry Pipeline Crosses R33 to West Edge of Road Reserve on farm Ishlelo
Figure 13: Point at which Slurry Pipeline Turns Westwards into Forestry Area For Pelletising Plant Site Option 1

30
Figure 14: Site for Pipe Bridge At Tweeling Spruit
Figure 15: Site of Pipe Bridge Crossing Un-Named Stream
Figure 16: Site of Pipe Bridge Crossing Tweeling / Hlelo River

31
Figure 17: Wildrand Siding
Figure 18: Wildrand Siding West End Wagon Loading Facility
Figure 19: Wildrand Siding - West End

32
3.
Scoping Study Approach and

Methodology
3.1
Study Team
Ethical Exchange Sustainability Services (Pty) Ltd (Ethical Exchange) has been appointed by Mkhombi Mining (Pty)
Ltd as the independent environmental consultant to undertake the scoping phase of the EIA for the Cascade Iron
Ore Project.
Mari Wolmarans, director of Ethical Exchange, is an Environmental Assessment Practitioner (EAP) certified by the
interim certification board of South Africa. Her qualifications and experience include:
BL Arch, UP, 1991
Environmental Assessment Practitioner (EAP) Certified by the Interim Certification Board (EAPSA) since
2004
Professional member South African Institute of Ecologists & Environmental Scientists (SAIE&ES) since 2001
Environmental Impact Assessment: Project Management Training
20+ years environmental management and assessment experience, specifically in the mining, processing
and infrastructure development sectors
Extensive experience with opencast mining in the specific region (Mpumalanga)
Extensive experience with similar projects (iron ore and manganese mining projects) in South Africa.
The environmental study team members involved in the scoping study of the environmental impact assessment
are listed in Table 5. Their roles and responsibilities on the project and their qualifications are provided.
Table 5: Study Team
Name and Affiliation
Qualification
Role
Mari Wolmarans
Ethical Exchange Sustainability
Services (Pty) Ltd
BL Arch, MSAIEE
EAPSA
Environmental Assessment
Practitioner
Project Leader
Internal Review
Claire De Jongh
Services (Pty) Ltd
B.Sc Environmental Management:

Zoology
B.Sc (Hons) Environmental Modelling
and Monitoring
Project Coordinator
Scoping Report
Plan of Study for EIA
Shaun Watson
Services (Pty) Ltd
Wim Schroeder
Services (Pty) Ltd
B.Sc Microbiology and Biochemistry

B.Sc (Hons) Biotechnology

B Com, Stellenbosch, 1983.

Business Management Diploma,
Oxford Brooks, 1994.
SAAM Registered Mediator, since
2010.
Public Consultation
Public Consultation
33
3.2
Study Area
The core of the study area is the farm The Cascade 442 IT on which the proposed open cast mining blocks are
located. The overall study area includes the mining right application area as illustrated on Figure 3 and areas
potentially affected by associated activities and infrastructure, i.e. the pipeline route and infrastructure at the
Wildrand rail siding. It also includes the downstream rivers and river catchment, and neighboring properties.
During the EIA phase, the various specialist studies will be used to define a project zone of influence.
3.3
Scope of Work
The main activities during the scoping phase include:
Identification of, and initial contact with landowners, IAPs, and relevant authorities;
Dissemination of information (background information document (BID)) to landowners, IAPs and
relevant authorities;
comment and response report (CRR) (Version 01) (see Annexure A to F);
Desktop studies and review of information pertaining to the project area and surrounding area in
order to determine the characteristics of the affected environment;
Identify potential impacts to be addressed in the EIA phase;
Development of a scope of work for the EIA phase (plan of study for EIA);
Mineral and Petroleum Resources Development Act, 2002 (MPRDA);
Submission of scoping report to the DMR, landowners, IAPs, and other authorities (this report);
Discussions and liaison with DMR, landowners, IAPs, and other relevant authorities;
Capture comments on scoping report, and update the CRR (Version 02) based on these comments;
Maintain a register of all IAPs that participated in the process (list of registered IAPs);
Once the scoping study has been completed, the EIA will be undertaken and an EMP will be developed for
submission to the DMR on or before 24 October 2014.
3.4
Consideration of Alternatives
The following alternatives have been identified to date:
In terms of water supply for the project, exploratory discussions with the DWA indicated that there
are no significant supplies of water available from the existing storage sources in the area such as the
Jerico and Morgenstond dams, or the weir in the Hlelo River. Baseline studies have confirmed that

34
there are no significant water supplies available. Therefore, different options for building new
storage dams in one of the local catchment areas are being considered.
The total power requirements for the mine and associated plant to produce 2 Mtpa of pelletised
concentrate is estimated at 35 MVA. Initial discussions with Eskom representatives have indicated
that the local area distribution network would not be able to supply this requirement. Different
power supply options are being investigated, such as supply from the nearby the 400 kV transmission
line to Mozambique, supply from the Camden Power Station some 80 km away, or locally generated
power.
Alternative slurry pipeline routes (see Figure 1).
Alternative locations for pelletizing plant (see Figure 1).
Further alternatives may be identified and assessed during the EIA phase.
3.5
Baseline environmental data collection and

description
Baseline information of the project area for this scoping report was gathered through desktop studies of the
project area and surroundings, satellite images, literature review of information pertaining to the project area
and surroundings, comments received from identified landowners and IAPs to date as well as a review of existing
reports pertaining to the area. The existing status of the cultural and socio-economic environment is described in
Section 6 and the existing status of the Biophysical Environment is described in Section 6.2.
Detailed baseline studies and site surveys will be conducted during the EIA phase.
3.6
Public Participation Process
3.6.1
Consultation undertaken to date
A process of identification of landowners started during Mkhombi Minings application for prospecting and
consultation between Mkhombi Mining and affected landowners took place during the prospecting phase. The list
of landowners was made available to Ethical Exchange at the start of the scoping study (see Figure 21). Ethical
Exchange endeavoured to contact as many of these landowners as possible during the short scoping phase, to
initiate consultation with them, and to confirm landowner details, and also to verify the details of neighbours.
People contacted, were also requested to inform Ethical Exchange if they knew of other parties that should be
included in the public participation process.
Community members and potential IAPs were identified using satellite images, information about the area and
networking with people already identified. Landowners and potential IAPs were then contacted by phone calls
and/or emails (see Annexure C for the list of landowners; see Annexure D for the list of IAPs).
35
One traditional community has been identified on a neighbouring farm, and the traditional leaders of the area
have been identified and information about the project was sent to them. The process of identification and
consultation with community members, occupiers of the land, and other IAPs will be ongoing throughout the EIA
process.
A background information document regarding the proposed project was emailed to all landowners and other
IAPs identified to date.
The background information document (See Annexure A) included detail of the proposed mining project, a
project locality map, project layout maps, as well as information about the scoping and EIA process. A comment
sheet was provided (See Annexure B) for the landowners and IAPs to complete and return to Ethical Exchange so
that these comments can be formally responded to and considered in the development of the plan of study for
EIA.
See Annexure E for comments submitted by landowners and IAPs up until and including 28 April 2014. Copies of
all submissions are provided in Annexure G.
3.6.2
Further consultation to be undertaken during scoping phase
During the contact consultation with IAPs it became apparent that a constructive public meeting with sufficient
notification periods could only be arranged for after the school holidays and various public holidays that coincided
with the initial scoping phase. A public meeting will thus be arranged once the scoping report has been made
available for review and after the national elections on 7 May 2014.
The tentative date is 20 May 2014 please contact 041 582 9010 or mkhombi@ethicx.co.za for more details.
Further consultation, to complete the scoping phase will include:
All identified and registered IAPs will be notified about the availability of the scoping report and the
public meeting date and venue. In addition, posters will be placed at strategic positions and
advertisements will also be placed in local newspapers;
Continue with database searches, title deed searches, discussions with neighbouring landowners to
further identify IAPs;
Facilitation of public meeting and attendance of meetings with key parties;
Update the comments and response report based on the proceedings of the public meeting and
comments on the scoping report;
Make updated comments and response report available to IAPs.
3.6.3
Evidence that landowners and lawful occupiers and IAPs have been
notified
The following evidence is submitted with the scoping report:
Annexure D provides a list of IAPs

36
o
o
List of IAPs identified to date, with details of the distribution of the BID
List of IAPs that have been registered
Annexure E for the comment and response report (summary of comments raised to date)
Annexure F for details of land claims
Annexure G for copies of IAP correspondence
Ethical Exchange endeavoured to identify, notify and obtain comments from as many IAPs as possible during the
short scoping phase allowed by the MPRDA timeframes for scoping (scoping report to be submitted by 2 May
2014). The process will continue throughout the EIA phase.
3.7
Identification of Potential Impacts
Potential impacts associated with the project have been identified based on the comments received from IAPs,
the baseline environmental data, and Ethical Exchanges extensive experience working on mines in Mpumalanga
as well as our experience working on opencast iron ore and manganese mines in South Africa.
3.8
Development of Plan and Study for EIA
The plan of study for EIA was developed based on the potential impacts that were identified, and Ethical
Exchanges extensive experience working on mines in Mpumalanga as well as our experience working on
opencast iron ore and manganese mines in South Africa.
4.
Land Use and Alternative

Developments
The most wide-spread land use in the Mkhondo Local Municipality is forestry, with other agriculture focused in
the south-western area. These land uses as well as the major mobility corridors and ecological hot spots and
conceptual conservation corridors are depicted on Figure 20.
The following land uses exist on the proposed mining right area or on adjacent / nearby properties:
Forestry activities
Small scale farming activities (chicken farming)
Human residences
Adventure estate developed on farm Cascade
Cattle grazing
The following land developments have been identified by IAPs. The developments are reportedly in progress and
they may be affected by the proposed project:
Eco-development on the farm The Cascade (information provided by Johann Ernst, landowner of the
farm The Cascade)

37
Township registered on the farm The Cascade
Any additional land developments identified during the EIA phase of the mining project will be included in the EIA
Report which will be submitted to the DMR in October 2014.
Should the proposed project not go ahead, developments proposed for the area can go ahead as planned in
which instance there will be no biophysical, socio-economic or cultural impacts as a result of the proposed mining
project. However, the existing biophysical, socio-economic or cultural impacts as a result of forestry operations
and other industries in the area will remain.
Figure 20: Mkhondo Local Municipality Draft Integrated Development Plan, 2011 2012
5.
Landowners, Communities and IAPs
5.1
Landowners
Available details of the landowners that have been identified to date are presented in Annexure C. A process of
identification of landowners started during Mkhombi Minings application for prospecting, and consultation with
affected landowners took place during the prospecting phase. The list of landowners as depicted on Figure 21, on
page 39, was made available to Ethical Exchange at the start of the scoping study. Ethical Exchange endeavoured
to contact as many of these landowners as possible, to initiate consultation with them, and to confirm landowner
details. The process will continue throughout the EIA phase.
It is possible that landowners and/or their contact details may have changed people who know of changes or
details that are incorrect, are urged to notify Ethical Exchange as such.
38
No local community or traditional persons have been identified as landowners of the farms which make up the
mining right application area.
Figure 21: Surface Right Owners

39
5.2
Local Communities
A community, as defined in the DMR guideline for the compilation of a scoping report, is a group of historically
disadvantaged persons with interest or rights in a particular area of land on which the members have exercised or
currently exercise communal rights in terms of an agreement, custom or law. The following local community has
been identified during the scoping phase:
Nzimande Farming Families (situated on Sterkfontein 419 IT situated north-west of the proposed mining
right area), tenants of the land.
5.3
Occupiers of the Land
Identification of lawful occupiers residing in the proposed mining right area and surroundings will take place as
part of the ongoing public participation process during the EIA phase of the project.
A social impact assessment and an economic impact assessment will be carried out to determine to what extent
the socio-economic conditions of relevant persons will be directly affected by the proposed iron ore mine.
Furthermore, upon determining the impacts to the socio-economic conditions of person/s by the project, suitable
measures will be developed to prevent / mitigate these impacts.
5.4
Land Claims
Thabile Mkhabela of the Department of Rural Development and Land Reform was contacted to determine
whether there are land claims on the following properties:
Feedback regarding this matter was received and details are as follows:
There is no land claim lodged against the Remaining Extent (R/E) of Farm Cascade 442 IT
There is a land claim lodged against Portion 1 9 and R/E of Farm Ishelo 441 IT. The claim status is
currently Research.
There is no land claim lodged against the Portion 4 and R/E of Farm Haarlem 443 IT.
Please see Annexure F for the feedback as received.
5.5
Traditional Authority
The Mpumalanga Provincial House of Traditional Leaders (MPHTL) was identified as the traditional authority. The
MPHTL has three districts, namely, the Gert Sibande House, the Nkangala Hose and the Ehlanzi House.
40
The local House Traditional Leaders of the Gert Sibande area include:
Inkhosi KJ Malaza (Chairperson)
Inkhosi LF Nkosi (Deputy Chairperson)
Inkhosi TP Nkosi (Member)
Inkhosi SM Hlatshwayo (Member)
Inkhosi AJ Tshabalala (Member)
Inkhosi SM Mnisi (Member)
Inkhosi ME Nkosi (Member)
Inkhosi TM Nkosi (Member)
Sipho Nkosi (Manager of Gert Sibande Office of MPHTL)
A background information document (BID) was sent to Sipho Nkosi (manager of the Gert Sibande Office of
MPHTL) for distribution to the Gert Sibande MPHTL members for comment. See Annexure D for a full list of IAPs.
5.6
Government Departments, Agencies and Institutions
5.6.1
Government Departments responsible for various aspects of the

environment, land and infrastructure
The following Government Departments and agencies have been identified as being responsible for various
aspects of the environment, land and infrastructure which may be affected by the proposed project:
Department of Mineral Resources
Department of Water Affairs
Department of Rural Development
Department of Agriculture
Department of Forestry
Department of Public Works, Roads and Transport (Mpumalanga)
The following institutions have been identified as being responsible for various aspects of the environment, land
and infrastructure which may be affected by the proposed project:
SAPPI
Mondi
Mpumalanga Parks Board
5.6.2
Government Departments identified as IAPs
The following Government Departments have been identified as IAPs:
Department of Rural Development and Land Reform
Department of Land Affairs
Mkhondo Local Municipality

41
Gert Sibande District Municipality
Department of Water Affairs (Mpumalanga)
Department Of Water Affairs (Swaziland Government)
Department of Agriculture, Rural Development and Land Administration
Mpumalanga Department of Economic Development, Environment and Tourism
Department of Forestry
6.
Baseline Environmental Description
6.1
Existing Status of the Cultural and Socio-Economic

Environment
The existing status of the environment represents the current prevailing conditions prior to the development of
the proposed project and associated infrastructure. It is indicative of the current level of environmental
degradation due to naturally occurring phenomena and existing human activities such as residential
development, agriculture, forestry, traffic on existing roads, and existing infrastructure such as railway lines,
power lines and pipelines. Baseline information for this scoping report was gathered through remote inspections
of the project area and surroundings, desktop studies and review of existing reports. Additional and more
detailed data will be collected as part of the EIA phase specialist studies (see Section 8).
6.1.1
Population and Urban Nodes
The proposed project area is located between in the Mkhondo Local Municipality, which extends over an area of
approximately 5 000 km with just over 100 000 people residing in 19 wards. The area includes the following
urban nodes of: Piet Retief, eThandakukhanya, Amsterdam and kwaThandeka, and the following rural
nodes/settlements: Driefontein, kwaNgema, Mahamba, Dirkiesdorp, Iswepe, Stafford, eNtombe and
Commondale.
The proposed project area is located in Ward 6 of the Mkhondo Local Municipality. It borders Ward 19 of the
Mkhondo Local Municipality as well as the neighbouring country of Swaziland. The proposed project area and is
situated in the forestry zone of the Mkhondo Local Municipality. See Figure 20 for an overview of socio-economic
activities within Mkhondo Local Municipality.
6.1.1.1
Piet Retief / eThandakukhanya
The largest urban area in Mkhondo Local Municipality is Piet Retief/eThandakukhanya. Piet Retief is located on
the N2 where the R543 (Volksrust-Swaziland) and R33 (Vryheid-Amsterdam) intersect. Piet Retief boasts a welldiversified economy. It is also strategically situated in respect of rail and road freight transport as well as tourism
hence it taps from several sources of revenue. The town is generally well serviced in terms of social services.
There are several industries as well as commercial and business concerns in Piet Retief, estimated at
approximately 500 in total; this includes the Mondi operations which is the largest industry in the area.
42
eThandakukhanya is situated on the outskirts of Piet Retief and is largely a dormitory town, though in general it
has access to engineering and social infrastructure. However, economically it depends on Piet Retief and the
surrounding forestry and rural areas.
Economic activities include:
Forestry plantations (much of its economy originated from this source).
Three major sawmills located just outside Piet Retief, including Mondi, Tafibra and Bison Board which are
national businesses.
Piet Retief Abattoir
Manufacturing services
Personal services
Real estate
Tourism
6.1.1.2
Amsterdam / KwaThandeka and Rural Nodes
The second largest urban area is Amsterdam / KwaThandeka, which is situated at the intersection of road R65
from Ermelo to Swaziland and road R33 from Carolina to Piet Retief. The town is situated amidst the forestry zone
of the area and its origins are in agricultural / forestry support. The urban area is serviced with engineering and
primary social infrastructure, though local roads are in a poor condition. There are also several rural nodes in the
Mkhondo municipal area which fundamentally have an agricultural / forestry support function. Many of these
rural settlements are located close to a main arterial and abutting railway station where some manufacturing or
processing activity is taking place. There are minimal social, engineering and commercial services and,
consequently, only basic needs are met. Rural nodes include, amongst others, Driefontein, KwaNgema,
Dirkiesdorp, Iswepe, Rustplaas and eNtombe.
Economic activities include:
Forestry and agricultural support. The major companies in the forestry industry include, Mondi, Sappi,
TWK and Komati Land Forests
Manufacturing activities
Processing activities
Mining activities
Nature conservation
Tourism
6.1.2
Local Economy
The local economy essentially comprises five divergent sub-economies:
Government and public service: public spending (infrastructure spending, salaries) is an important source
of capital for the area;
Services and retail: numerous shopping centres exist in the towns;

43
Commercial Forestry: there is extensive commercial forestry near the town of Piet Retief. The major
industry is Mondi Business Paper situated on the outskirts of Piet Retief. It is the main source of income
for the communities in the Piet Retief scheme area. It supplies pulp wood to the Piet Retief mills and
Mondi Richards Bay Mill. It accounts for the direct employment of ~4 000 people, indirectly supporting
about 18 000 people in the surrounding areas;
Mining: There is some coal mining in the area, and coal is exported through the Richards Bay Coal
Terminal;
Informal: some arts and crafts traders are found on access roads to the game farms and reserves in the
Local Municipality. These attractions are also important employers for the region
In terms of Gross Geographical Product the two most important employment sectors are agriculture (forestry)
(36%) and community services (18%). These are followed by trade at 13% and manufacturing at 12%. The
economy is not very diversified and is highly reliant on the agricultural sector. This reinforces the fact that forestry
remains an important component f of the local economy. However, much of the raw timber is exported from the
region, resulting in value-adding opportunities and increased income for the region being lost. Reliance on the
community services sector is high, and thus indicative of the social needs provision in the region. The urban / rural
occupational split seemingly coincides with the general income profile of the municipal area, where as many as
83% of households earn less than R 3 500.00 per month. Although the area has a large economically active
population (56%), a total of 43% of the economically active population is unemployed.
6.1.3
Education Facilities
There are several primary schools distributed throughout the area. These are not only centred in the urban areas,
but generally also cover the rural areas which is appropriate given the high percentage of rural based people
residing in the Mkhondo Local Municipality area. There are 15 secondary schools in the local municipal area.
There is a Mondi Science and Career Guidance centre which assists in career guidance and youth development for
the community of Mkhondo Local Municipality at large.
6.1.4
Emergency and Health Care Services
There is only one hospital in the municipal area which is located in Piet Retief. In addition, there are 10 other
health facilities which are mainly clinics. Of these, three of the facilities are located in Piet Retief and the other
seven are distributed throughout the area. There are two Alcohol and Drugs Rehabilitation centres, two old age
homes, two disabled centres and two orphanages. There are also four police stations and three post offices in the
municipal area.
6.1.5
Electricity
Slightly over 50% of households in urban areas obtain electricity from the MLM; the remainder of the urban areas
rely on candles for lighting and paraffin, gas and other sources for energy. ESKOM supplies electricity to the rural
areas. The municipal areas with the largest concentrations of service backlogs are recorded around Piet
Retief/eThandakukhanya, Amsterdam / kwaThandeka, and Driefontein / kwaNgema.

44
6.1.6
Transport Network
The N2 is the only national road which traverses the area. It is an important tourist and freight transport route
connecting Gauteng with the KwaZulu Natal (KZN) north coast and Richards Bay. Though a national road, the road
needs to be upgraded and maintained, given its important connecting role.
Three provincial roads traverse the area:
R33 from the N17 in the north, through Amsterdam and Piet Retief to Vryheid in the south;
R65 between Ermelo and Swaziland via Amsterdam.
R543 between Swaziland and Volksrust via Piet Retief.
All these roads are tarred but in fairly poor condition. The local roads in the area are tarred, gravelled or graded.
A freight railway service exists leading from Ermelo, in the north, to the north coast of KZN, in the south, via
Vryheid. The system does not cater for passenger or parcel transport. There is a minor airfield in Piet Retief, which
would accommodate small aircraft and day flights.
6.1.7
Sanitation Services
Sanitation services differ substantially throughout the area. Most of the newer urban areas have access to full
sanitation reticulation e.g. Piet Retief, eThandakukhanya and Amsterdam extension 2 and 3, while the older urban
areas still rely on septic tanks. A large percentage of the population (49%) (urban and rural) in the municipal area
still rely on pit latrines, or chemical toilets, while 21% have no access to sanitation in their households. This is an
indication of possible environmental pollution problems and increased health risks particularly in terms of
groundwater and surface water resources.
6.1.8
Water Provision
Sixty nine percent of households within the Mkhondo Local Municipality have direct access to clean reticulated
water either in-house or on site. The remaining 31% of the population obtains water from streams, rivers or
boreholes.
6.1.9
Cultural Environment
In the National Heritage Resources Act (NHRA), Section 2 (vi), it is stated that cultural significance means
aesthetic, architectural, historical, scientific, social, spiritual, linguistic or technological value or significance. This is
determined in relation to a site or features uniqueness, condition of preservation and research potential.
According to Section 3(3) of the NHRA, a place or object is to be considered part of the national estate if it has
cultural significance or other special value because of:
its importance in the community, or pattern of South Africa's history;
its possession of uncommon, rare or endangered aspects of South Africa's natural or cultural heritage;

45
its potential to yield information that will contribute to an understanding of South Africa's natural or
cultural heritage;
its importance in demonstrating the principal characteristics of a particular class of South Africa's natural
or cultural places or objects;
its importance in exhibiting particular aesthetic characteristics valued by a community or cultural group;
its importance in demonstrating a high degree of creative or technical achievement at a particular period;
its strong or special association with a particular community or cultural group for social, cultural or
spiritual reasons;
its strong or special association with the life or work of a person, group or organisation of importance in
the history of South Africa; and
sites of significance relating to the history of slavery in South Africa.
The cultural landscape qualities of the region essentially consist of a two components. The first is a rural area in
which the human occupation is made up of a pre-colonial (Stone Age and Iron Age) occupation and a much later
colonial (farmer) component. The second component is an urban one consisting of a number of smaller towns
(Piet Retief and Amsterdam), most of which developed during the last 150 years or less. The town of Piet Retief
was founded by the Voortrekker in 1883 and named after the Voortrekker leader, Piet Retief. Piet Retief was
killed by the Zulus under King Dingane.
On 2 February 2010, South African Arts and Culture minister Lulu Xingwana approved a state decision for Piet
Retief to be renamed to eMkhondo.
6.1.10
Heritage Resources
The following Heritage Sites were identified within the Mkhondo Local Municipality during the scoping phase of
the project:
Entombe battlefield
Rooikraal
Confidence
Kalkoenvlakte
Heyshope Dam
Morgestond
Athole Nature Reserves
Amsterdam Conservation.
Assegaai cultural village
Mkhondo cultural village
A heritage impact assessment will be done in the EIA phase to identify any cultural and / or heritage resources
that may be located within the proposed project area.

46
6.1.11
Tourism
Tourism is dominated by guesthouse facilities around the town of Piet Retief which cater for weekend and transit
travel, while conservancies and private reserve developments are increasing in the Ngwempisi and Assegai River
valley and catchments. The N2 linkage through Mkhondo Local Municipality is the major tourism link connecting
northern KZN and the Mpumalanga / Limpopo Lowveld areas to one another.
The mountains south of Dirkiesdorp and high grassland escarpment to the west in the region hold high bio and
scenic diversity. The potential could be realized via appropriate sustainable private sector or corporate
investment. Facilities associated with Heyshope dam (compared to the Jerico Dam) appear limited. Significant
potential exists for community investor partnerships on (traditional) land adjacent to the dam.
The following tourism land uses exist on the proposed mining right area or on adjacent / nearby properties:
Eco-development on the farm The Cascade
Adventure estate developed on farm The Cascade (information provided by Johann Ernst, landowner
of the farm The Cascade)
6.1.12
Socio-economic and cultural activities that may be impacted on by the

proposed project
The following land uses and socio-economic activities were identified on the proposed project area and / or
surrounding areas which may be directly affected by the proposed project:
Farming activities
Forestry activities
Proposed eco-development
Grazing pastures (cattle farmers in the area)
The following infrastructures were identified on the proposed project area and /or surrounding areas which may
be directly affected by the proposed project:
Roads
Heritage / cultural resources
6.2
Existing Status of the Biophysical Environment
The existing status of the environment represents the current prevailing conditions prior to the development of
the proposed project and associated infrastructure. It is indicative of the current level of environmental
degradation due to naturally occurring phenomena and existing human activities such as residential
development, agriculture, forestry, traffic on existing roads, and existing infrastructure such as railway lines,
power lines and pipelines. Baseline information for this scoping report was gathered through remote inspections
of the project area and surroundings, desktop studies and review of existing reports. Additional and more
detailed data will be collected as part of the EIA phase specialist studies (see Section 8).

47
6.2.1
Climate
The proposed project area is located in the north eastern portion of South Africa, situated very close to the
eastern border of Swaziland. The average temperature of the area ranges from 3.2 oC in June to 28 oC at midday in
January. This area receives summer rainfall between October and March and receives between 600 1000 mm of
rainfall per annum.
6.2.2
Topography
The proposed project area is undulating to steep, and is situated at an altitude of between 1200 1400 meters
above sea level. Overall land form is depicted on Figure 22 and contours on Figure 23. A 3D view of the area is
provided in Figure 26.
Figure 22: Land Form (showing rivers)

48
Figure 23: Contour Map
6.2.3
Geology and Mineral Resources
The proposed project area is situated on iron ore bearing magnetites which forms part of the Pongola Supergroup
which outcrops in a semi-continuous linear belt in South Africa and Swaziland (See Figure 24 and Figure 25). Three
distinct mineable blocks have been identified on the property: Remaining Extent (R/E) of Farm Cascade 442 IT
(Figure 2). The ore bearing area outcrop on surface. The deposits are generally tabular in nature with gentle dips
that vary between 7-15 degrees.
Figure 24: Southern Africa showing the location of Pongola Geological Supergroup Outcrops

49
Figure 25: Regional geological structures
6.2.4
Land Use
The proposed project area consists mainly of unimproved grassland and forestry (see Figure 26 and Figure 27).
In the broader study area, forestry is the dominant land use in the Mkhondo Local Municipality. It stretches across
the entire eastern and central regions and peters out to the west of Piet Retief. Mondi, Sappi, TWK and SAFCOL
are the major companies which lead the forestry industry in the area.
Over the years they have turned a lot of their attention to preserving sensitive areas within their forestry
plantations. Mondi is very involved in a wetlands project which aims to protect and rehabilitate important
wetlands in South Africa. SAFCOL has a small protected area near Amsterdam in the south east. There are timber
plantations which are owned by the municipality. Therefore, the municipality is planning to establish a municipal
entity that will maintain the forestry enterprise on its behalf, as the municipality has minimal or no expertise
regarding forestry.
Unimproved grassland used for stock grazing comprises most of the rest of the land within the municipality.
Cultivation of commercial crops is scattered in small areas across the area, while a very small concentration of

50
semi-commercial / subsistence agriculture is situated in the vicinity of Heyshope Dam. The predominance of
forestry land use and the low cultivation of agricultural land can be partly explained by much lower soil fertility in
this municipality when compared to soil fertility in areas to the west.
There are several scattered pockets of mining in the Mkhondo Local Municipality. The main concentration of
mining in the municipality is situated in the west of the municipality (south of Heyshope Dam).
Figure 26: 3D View of Local Topography and Land Use
Figure 27: Land Cover Map

51
6.2.5
Surface Water and Aquatic Environment
The project area is located in the W52C quaternary catchment area which has a number of stream systems in the
vicinity of the proposed project area, including the perennial Hlelo River and a number of smaller non-perennial
tributaries. The location of the Hlelo River and Ngwempisi River in relation to the proposed mining area is
depicted on Figure 22 and Figure 29.
The Hlelo River (sometimes referred to as the Tweeling River) is a tributary of the Ngwempisi River in Swaziland, a
major tributary of the Usutu River, which is an international shared watercourse with Mozambique and
Swaziland. This places constraints on the water use by South Africa from all sources (including groundwater) and
the development of additional utilisable water sources (DWA, 2002).
The Usutu River rises near Amsterdam, Mpumalanga, South Africa, and flows through Swaziland in an easterly
direction, where it enters the Lubumbo Mountains. The 13-kilometre gorge forms the boundary between
Swaziland and South Africa. For about twenty kilometres, it forms the border between South Africa (province of
KZN) and Mozambique. There, in the Ndumo Game Reserve, it absorbs its largest tributary, the Pongola River. It
then meanders through the Mozambican coastal plain and empties into southern Maputo Bay, some 85
kilometres downstream. In Swaziland, the river, there called the Great Usutu or Lusutfu, is known for white-water
rafting. It is also home to some golf courses, hotels, and nature reserves. The mean annual runoff for the Usutu
river is relatively high by South African standards producing approximately 2 360 million m3/annum with 901
million m3/annum estimated to originate in the upper Usutu River catchment (including its tributaries) before it
flows into Swaziland.
The Usutu River is of strategic importance because water for the cooling of coal fired power generation plants,
situated in the Vaal and Olifants systems, is sourced from this catchment, with the Heyshope, Morgenstond,
Westoe and Jericho dams providing the transferable yield for these power stations. These dams are all situated
upstream of Swaziland and the catchment forms part of the Maputo River Basin which is an international river
basin. This has a major influence on how the catchment is managed. The following dams are located in the Usutu
River Catchment:
Table 6: Major Dams in the Usutu River Catchment
Dam
Maximum capacity
(million m3)
Heyshope
453
Jericho
60
Morgenstond
Westoe
101
61
General
Transfers water into the upper Vaal River where it contributes
about 60 million m3/annum to the yield of the Grootdraai
Dam. Via the Balmoral canal and a short gravity pipeline,
there is a link from the Heyshope Dam to the Morgenstond
Dam.
Water is pumped from Jericho Dam to the Olifants water
management area to supply power stations.
Transfers water to the Jericho Dam.
Transfers water to the Jericho Dam.
Note: adapted from http://www.ewisa.co.za/misc/riverkznusutu/defaultdam.htm

52
Westoe Dam
Figure 28: Location of Major Dams and Protected Areas in the Region
The town of Piet Retief (including the township of Ethandakukhanya) is situated within the Assegaai River
catchment. The Assegaai River is a major tributary of the Usutu River. The Piet Retief Water Supply Scheme is the
main source of domestic water supplies to Piet Retief and the township of Ethandakukhanya. The raw water is
abstracted from the Assegaai River for treatment in the Piet Retief Water Treatment Works on the banks of the
river.
Besides the environmental flow requirements and water transferred from the Heyshope Dam, the other water
uses dependent on the same water resource as the Piet Retief Water Supply Scheme area are mainly irrigation
agriculture and commercial forestry (see Table 7 below). Besides these users, water is transferred from the
Heyshope Dam which is upstream of Piet Retief for power generation. The dam has a storage capacity of 451.3
million m3 and supplies water to Eskoms Highveld Power Stations. The registered water use excludes water
requirements for the Mondi Business Paper which is abstracted downstream of the abstraction works of the Piet
Retief Water Supply Scheme. It therefore has no direct impact on the available water for the town. The natural
Mean Annual Runoff (MAR) of the Assegaai River up to the outlet of quaternary catchment W51C is 233.5 million
m3, of which 89.1 million m3 is contributed by quaternary catchment W51C downstream of the Heyshope Dam.
Table 7: Registered water use upstream of Piet Retief Water Supply Scheme dependent on the surface water resources of
3
the Assegaai River Catchment (million m /a)
Sub-catchment
Irrigation
Industry
Forestry
Other Domestic
Total
3
3
3
3
3
(million m )
(million m )
(million m )
(million m )
(million m )
Assegaai
(W51A,B,C)

8.84
22.23
31.07
53
At present, there is no water use licence or permit to abstract raw water from Assegaai River for the Piet Retief
Water Treatment Works. The only abstraction linked to Mkhondo Local Municipality is a registered water use for
an average annual daily abstraction of 5.8 Ml/d or 2.11 million m3/a out of the Hlelo River in the W52C quaternary
catchment.
6.2.5.1
Water Management Areas
There are three water management areas in Mkhondo Local Municipality covering an estimated 488215.9
hectares. The Usutu to Mhlathuze Water Management area is the largest and covers 487990.8 (99.95%) hectares
of the area.
The Inkomati-Usuthu Water Management Area (WMA) occupies the south-eastern corner of the Mpumalanga
province, west of Swaziland. Its main rivers include the Sabie-Sand, the Crocodile (East), Komati and Usuthu
Rivers. The Komati River first flows into Swaziland and re-enters South Africa before flowing into Mozambique.
Three of the four rivers draining the WMA to form the Incomati River in Mozambique, which flows to the Indian
Ocean, while the Usuthu joins the Pongola River just before the Mozambican border. The Inkomati sub-catchment
is divided into the following sub-areas, Upper and Lower Inkomati, Sabie-Sand and the Crocodile, while the
Usuthu is treated as one area. The Inkomati-Usuthu WMA is divided by the Drakensberg Mountains into a
western plateau and the sub-tropical Lowveld in the east, with altitudes ranging from over 2 000 m in the west to
as low as 140 m in the east.
6.2.5.2
Water Availability and Requirements
The water availability estimate for the Inkomati-Usuthu WMA, at a 98% assurance (1:50 Year Yield) of supply, is
shown in Table 8. Surface water makes up the bulk of the water available in the WMA, with ground water only
minimally available in part of the WMA. A substantial amount of the available water is set aside for the ecological
reserve (363 million m3/annum), while a significant amount is also taken out of the system by invasive alien plants
(92 million m3/annum), mainly in the Inkomati Catchment of the new WMA. With the exception of the Sabie River
sub-area where higher confidence estimates of the reserve have been obtained through various studies,
estimates of the ecological reserve are desktop estimates and do not yet incorporate a complete understanding
of the functioning of the relevant ecosystems.
3
Table 8: Water Availability (million m /annum)
Resource Category
Gross Surface Water Resource
- Ecological Reserve
- Invasive Alien Plant
Ground Water
Return Flows
Transfers In
Total Local Yield
Water Availability
Availability (million m3/annum)
Inkomati
Usutu
Total Inkomati-Usutu
1099
249
1348
311
52
363
91
1
92
21
2
23
70
4
74
39
0
39
827
202
1029
54
The water requirements of Swaziland and Mozambique are an important factor in the Inkomati-Usuthu
Catchment; international agreements with Swaziland and Mozambique do not allow much, if any, scope for
further development in this catchment.
The Inkomati-Usutu Catchment Management Agency business case (June, 2012), identified that the
industrial effluent from the tannery in Piet Retief has resulted in pollution of the Assegaai River. The effluent
from the tannery is currently irrigated onto fields as a disposal measure.
Irrigation takes up the greatest amount of the local water requirements, making up 48.5% of the
requirement total. Transfers out, represent 19.1% of the water requirements, and afforestation represents
13.2%. Another element of water requirement that is a prominent feature in the Inkomati-Usutu WMA is the
international requirements, which represent the amount of water that must be allowed to flow across the
borders into the neighbouring states of Mozambique and Swaziland.
Table 9: Inkomati-Usutu Water requirements
User Sector
Irrigation
Urban
Rural
Industrial and Mining
Afforestation
Total Local requirements
Transfer Out
International Requirements
Grand Total
Water Requirements
3
Requirements (million m /annum)
Inkomati
Usutu
Total Inkomati-Usutu
565
13
578
62
5
67
21
8
29
24
0
24
114
43
157
786
69
855
97
131
228
109
0
109
992
200
1192
3
The Usutu catchment is of strategic importance because the 131 million m /annum that is transferred from
there is water for the cooling of coal-fired power generation plants, situated in the Vaal and Olifants
systems.
6.2.5.3
International Considerations
Southern Mozambique is largely dependent on water from the upstream catchments of the Inkomati-Usuthu
WMA. The Interim IncoMaputo Water Use Agreement sets out the water protection and sustainable utilisation
(sharing arrangements) of the water resources of the three basin states, that is, South Africa, Swaziland and
Mozambique. According to the operating rules proposed by the Incomati System Operation Task Group (ISOTG)
the Komati River must contribute 55% of the requirements of Mozambique at the border at Komatipoort
(Ressano Garcia) while the Crocodile River must contribute 45%. Accordingly, 60 million m 3 / annum at a 1:50 year
equivalent assurance must be contributed from the Komati River and 49 million m 3 / annum at a 1:50 year
equivalent assurance from the Crocodile River. The contribution from the Komati River needs to be apportioned
between South Africa and Swaziland. In terms of the proposals of the ISOTG, the South African contribution
55
would therefore be 42 million m3 / annum at a 1:50 year equivalent assurance and 18 million m3/annum from
Swaziland.
6.2.6
Groundwater
The geology and the topography of the area are such that there is limited potential for significant groundwater
development. Currently, there is an allocation of 0.07 million m3/annum upstream of the Piet Retief Water Supply
Scheme. This is providing water to some of the Driefontein areas.
Primary porosity groundwater aquifers are only present in the Inkomati-Usuthu WMA to a very limited extent, as
sand of up to 5 and 6 metres deep in major river beds in places do not represent very significant exploitable
groundwater resources, except very locally.
6.2.7
Wetlands
The Mkhondo Local Municipality has a total of 1536 wetlands which extends over an estimated 24806.2 hectares.
Wetlands account for approximately 5.1 % of the Mkhondo Local Municipality area (SANBI, BGIS). According to
SANBI, BGIS, no RAMSAR (The Convention on Wetlands (Ramsar, Iran, 1971)) sites are situated within Mkhondo
Local Municipality.
Figure 29 provides an overview of wetland and riverine ecosystems based on provincial databases. It is possible
that additional wetlands and channelled watercourses may be encountered and identified during the EIA phase
baseline specialist studies and site visits.

56
Figure 29: Rivers and wetlands
6.3
Terrestrial Biodiversity
The Mkhondo Local Municipality covers an area of approximately 488216.5 ha in extent. Of this area,
approximately 49% of the area remains natural (239041.4 ha) whilst 51% of the area has no natural habitat
remaining (249161.8 ha).
In terms of the Mpumalanga Biodiversity Assessment (see Figure 30 and Figure 31), there are no irreplaceable
biodiversity areas in the area. Most of Farm Haarlem 443 IT is classified as highly significant.
The core mining area on the Farm The Cascade 442 IT is partly classified as important and necessary with small
patches of highly significant, while the remainder is classified as least concern and no natural habitat
remaining.
The north-eastern portion of the Farm Ishlelo 441 IT is partly important and necessary and the south-western
portion as no natural habitat remaining.
There is an identified ecological corridor that stretches from north-west to south-east across the study area,
incorporating the north-eastern portion of Farm The Cascade 442 IT and the entire Farm Haarlem 443 IT.

57
Figure 30: Mpumalanga Biodiversity Assessment and Ecological Corridors
Figure 31: Mpumalanga Biodiversity Assessment and Ecological Corridors (Detailed View of Project Area)

58
6.3.1.1
Regional Vegetation
The Grassland Biome and the Savanna Biome are located within the Mkhondo Local Municipality covering 48821
hectares. The Grassland biome covers an estimated 476666.8 hectares (97.63%) and the Savanna Biome covers
an estimated 11549.2 hectares (2.37%) of the Mkhondo Local Municipality.
Eight vegetation types are found within Mkhondo Local Municipality and include:
Eastern Highveld Grassland - 102925.6ha (21.08% of municipality)
Eastern Temperate Freshwater Wetlands - 101.8ha (0.02% of municipality)
Ithala Quartzite Sourveld - 23680.3ha (4.85% of municipality)
KaNgwane Montane Grassland - 219556.3ha (44.97% of municipality)
Northern Afrotemperate Forest - 915.3ha (0.19% of municipality)
Paulpietersburg Moist Grassland - 114402.3ha (23.43% of municipality)
Swaziland Sour Bushveld - 11549.2ha (2.37% of municipality)
Wakkerstroom Montane Grassland - 15085.3ha (3.09% of municipality)
It should also be noted that the Enkangala Grassland Biosphere Reserve starts in the south western corner of the
municipality and spreads in a westerly direction. This initiative is vital towards the conservation of the valuable
grassland biome in the area.
6.3.1.2
Critically Endangered / Endangered Terrestrial Ecosystems
According to SANBI, BGIS, no critically endangered ecosystems are situated within the Mkhondo Local
Municipality. According to SANBI, BGIS, the Wakkerstroom / Luneberg Grasslands is an endangered ecosystem
situated within the Mkhondo Local Municipality and covers an extent of 35643.9 hectares (7.3% of the
municipality). The ecosystem includes important sub-catchments, pans and wetlands. In addition it is an
escarpment corridor and important for grassland and forest processes. No endangered ecosystems have been
identified in the proposed mining project area.
6.3.1.3
Vulnerable Ecosystems
According to SANBI, BGIS, vulnerable terrestrial ecosystems include:
Eastern Highveld Grassland 39582 ha (8.11 % of municipality)
Eastern Temperate Freshwater Wetlands - 53.2 ha (0.01% of municipality)
KaNgwane Montane Grassland 86541.8 ha (17.73% of municipality)
Low Escarpment Mistbelt Forest 63.9 ha (0.01%)
Paulpietersburg Moist Grassland 48193.2 ha (9.87%)
Vulnerable ecosystems have been identified in the area where the proposed mining project will be located.

59
Figure 32: Regional Vegetation Map
6.3.1.4
Formal Protected Areas
According to SANBI, BGIS, formal protected areas located within Mkhondo Local Municipality include the
following provincial nature reserves:
Paardeplaats Nature Reserve 18.4 ha (0%)
Phongola Bush Nature Reserve 0 ha (0%)
Witbad Nature Reserve 1078.4 ha (0.22%)
There are also a number of Private Nature Reserves and Conservancies which include:
Morgenstond Nature Reserve
Amsterdam Conservancy (which incorporates the Athole Nature Reserve).
As can be seen on Figure 33, none of the formal protected areas of the Mpumalanga Protected Areas Expansion
Strategy (MPAES) priority areas are located on or near the project area.
The Mkhondo Local Municipality Map Draft Integrated Development Plan has identified ecological hot spots and
conceptual conservation corridors but, as can be seen on Figure 33, none of these fall on or near the project area.

60
Figure 33: Mpumalanga Protected Areas Expansion Areas Strategy
6.3.2
Air Quality
Air quality is a regional phenomenon. Existing air quality impact sources include:
Road users (trucks and light motor vehicles) on the R33 and N2 as well as other tar and gravel roads;
Forestry operations (includes sawmill operations, transport and materials handling);
Agricultural activities (fugitive dust, combustion, pesticide and insecticide use);
Regional mining activities (blasting, materials handling, transportation of materials, spontaneous

combustion);
Other smaller industries (combustion, materials handling, transportation of materials);
Households (energy use, combustion, biomass burning);
Regional power generation (combustion, materials handling)
7.
Potential Environmental Impacts

Identified
7.1
Socio-Economic Environment
7.1.1
Local, Regional and National Economics
Economic benefits and risks (local, regional and national);
Increased export base from SA;
Skills development;
Impact on property values (could be negative and/or positive);

61
Creation of employment opportunities;
Stimulation of alternative land uses due to economic activity;
Measures to mitigate economic impacts will be linked to the Social and Labour Plan of Mkhombi Mining
where relevant;
Increased expenditure in area, and increased tax base for improvement of social services;
Influx of people (could be negative and/or positive).
7.1.2
Noise
Increase in ambient noise levels;
Disturbances to sensitive receptors;
Impact on bird varieties.
7.1.3
Social Environment
Increased theft risk and potential for damage to private property and communities in close proximity of
the development during the construction phase;
Increased fire risk and potential for damage to open farmland and residential areas and communities in
close proximity to the project area;
Impacts on neighbours and landowners and communities in close proximity to the project area;
Potential health impacts;
Measures to mitigate social impacts will be linked to the Social and Labour Plan of Mkhombi Mining
where relevant;
Mine to contribute and participate in local initiatives such as Mkhondo Fire Protection Association.
7.1.4
Land use and land capability
Loss of net food production in affected area (grazing);
Loss of net forestry production in affected area;
Impact on tree growth;
Disruption of existing land uses;
Introduction of new land uses;
Creation of opportunities for and stimulation of alternative land uses.
7.1.5
Existing services and infrastructure
Increased spending in local area and an increase in tax base for local and district municipality and thus the
availability of funding for service and infrastructure delivery;
Damage to and disruption of existing services and infrastructure;
A section of R33 between Piet Retief and Amsterdam could be affected during construction of pipeline;
Damage due to blasting.

62
7.1.6
Visual environment and sense of place
Changes to landscape character, visual appeal and sense of place of the area;
Light pollution.
7.2
Biophysical Environment
7.2.1
Geology
Subsidence and development of surface cracks;
Use and loss of non-renewable resources;
Loss of part of historically important geological structure.
7.2.2
Topography
Change in the natural topography due to the mining of iron-ore;
Disturbance to the geophysical and landscape features;
Impacts of lowering of land elevation after mining in the open mine pit (impact on rivers, streams,
wetlands and drainage).
7.2.3
Climate
Greenhouse gas emissions;
Creation of microclimates.
7.2.4
Air quality
Increase in dust levels;
Fallout dust nuisances;
Air quality impacts on fauna and flora;
Increase in odours;
Health risks.
7.2.5
Soils
Loss of soil as vegetation growth medium;
Loss of soil productivity;
Erosion;
Contamination of soils;

63
Potential deficit of available soil to act as growth medium after rehabilitation (due losses of soil
associated with past and current sand mining activities within the proposed opencast mining footprint
area.
Water use and supply
7.2.6
Potential reduction in the availability of water for other land uses and developments in the region;
Potential building of a dam, with potential changes to the accessibility of water;
Impacts on Swaziland and Mozambique;
Lack of availability of water for the project;
Project needs a water use license;
Impact on parties entitled to water use in the area.
7.2.6.1
Surface water quality
Impact on Usutu sub catchment area;
Contamination of surface water;
Changes to water quality;
Sedimentation of downstream areas;
Decant / release of contaminated water to the environment.
7.2.6.2
Surface water resources
Changes in natural surface water flow parameters;
Disruption to stream banks and wetlands;
Impacts on Swaziland and Mozambique;
Reduced catchment yield and water available to downstream users and environments;
Flooding;
Changes to water regime of pans, wetlands and affected streams;
Contamination of surface water resources.
7.2.6.3
Groundwater
Lowering of groundwater levels due to drawdown effect in open pit;
Impact on boreholes in area;
Restricted access to boreholes and livestock watering points;
Contamination of groundwater resources.
7.2.7
Terrestrial Ecology and Biodiversity

Disturbance of sites of conservation importance;

64
Loss of species of conservation importance;
Fragmentation and loss of habitats;
Restriction on animal movement patterns;
Loss of migration corridors, and access to nesting and refuge areas, watering points, food supplies;
Displacement of animal species, increased competition in areas where carrying capacity is already
compromised;
Biodiversity impacts;
Spreading of invasive species;
Reduces bird varieties;
Impacts due to waste disposal;
Impact on threatened species;
Project located in sensitive area.
7.2.8
Aquatic Ecology
Restriction on aquatic animal movement patterns;
Loss of migration corridors, access to breeding areas, food supplies;
Displacement of animal species;
Spreading of invasive species.
7.2.9
Wetlands
Disturbance of wetlands in the area;
Loss of species of conservation importance;
Displacement of animal species;
Increased competition in areas where carrying capacity is already compromised;
Spreading of invasive species;
Changes to water regime of pans, wetlands and affected streams.
7.3
Cultural Environment
7.3.1
Heritage resources
Disturbance of graves, Stone Age sites, and other heritage sites and artefacts, where they exist;
Research into heritage resources and increased knowledge base.

65
7.3.2
Trans-boundary Environmental Effects
Mine situated very close to Swaziland Border;
Surface water bodies such as rivers, may be impacted on. These rivers flow into the greater Assegai River
of Swaziland;
Potential impact on socio-economic environment of Swaziland though influx of workers to the area.
International water agreements in affected catchments.
8.
Plan of study for EIA (further

investigations required)
8.1
Public Participation Process and Key MPRDA

Submission Dates
The EIA process and associated public participation process had to be developed in line with the requirements of
the MPRDA and the stipulated DMR times frames as presented in Table 2, on page 17.
EIA
Phase
Scoping Phase
Opportunities for IAPs, stakeholders, authorities, and relevant state departments and organs of state to
participate in the process are described in Table 10.
Table 10: Timeframes for MPRDA Submissions and Public Participation
MPRDA Timeframes for
Public Participation Opportunities and
EIA Phase and Study Component
Submission to DMR
Timeframes
Project announcement and initial consultation
April 2014
(notify in writing and consult with the landowners
Identify IAPs.
or lawful occupiers, the surrounding community
Review background information document (BID).
members).
Submit BID comment sheet.
Register as IAP.
Submit environmental scoping study (initial phase
On or before 2 May 2014
of the EIA) to DMR, with comment and response
(this report)
report (CRR) Version 01.
Submit results project announcement and initial
On or before 2 May 2014
consultation of the process.
(Annexure A to F of this
report)
Make scoping report available for review by IAPs,
4 May to 4 June 2014.
stakeholders, authorities, and relevant state
Review scoping report and CRR Version 01.
departments and organs of state.
Submit comments on scoping report and CRR
Version 1.
Public meeting during scoping report review phase
20 May 2014 (tentative date).
Attend scoping phase public meeting.
Incorporate comments on scoping report and
issues raised at scoping phase public meeting in
the CRR Version 02.
Make CRR Version 02 available to authorities and
Submit further comment, if required
IAPs.
30 days from distribution date.
Continue with consultation process (notify in
On or before 24 October
Identify IAPs.
writing and consult with the landowners or lawful
2014
Register as IAP.
occupiers, the surrounding community members).
Conduct specialist baseline studies.
May to July 2014.

66
EIA Phase and Study Component
MPRDA Timeframes for

Submission to DMR
Public Participation Opportunities and

Timeframes
Landowners to assist with providing access to
land.
IAPs are encouraged to interact with the social
specialist during the participatory approach
followed for the social impact assessment (see
Section 8.2.2.2).
Specialist impact assessments.

Draft EIA Report and make available to IAPs.
40 days, August to September 2014.

Review draft EIA Report.
Submit comments on draft EIA report.
September 2014.
Attend EIA phase public meeting.
EIA phase public meeting

Incorporate comments on draft EIA report and
issues raised at EIA phase public meeting in the
CRR Version 03.
Make CRR Version 03 available to authorities and
IAPs.
Consult with IAPs and submit an EIA and EMP
report and environmental management
programme, with input from the public.
Include CRR Version 4.
Make EIA and EMP Report available for review by
IAPs, stakeholders, authorities, and relevant state
departments and organs of state.
Submit IAP comments on EIA and EMP Report

and CRR Version 04 to DMR.
DMR review of EIA and EMP Report.
Update EIA and EMP Report based on DMR
comments.
DMR Decision
Submit further comment, if required.

On or before 24 October
2014
IAPs will be notified about the submission.

Review EIA and EMP Report and CRR Version
04
40 days, from 25 October 2014.
Submit comments on EIA Report and CRR
Version 04.
When applicable.
Undetermined.
Submit updated EIA Report to IAPs.

Comment on updated EIA Report and EMP.
IAPs will be notified about the DMR decision,
and the subsequent appeal process.
Appeal Period
8.2
Specialist Environmental Assessments
Details of the proposed project were discussed with various mining environmental specialists, and the following
scopes of work were developed based on their input and experience.
8.2.1
Biophysical Environmental Specialist Studies
8.2.1.1
Surface Water Assessment
Baseline Study
o
Identify monitoring points and conduct field survey to each of these study monitoring points
were water samples will be collected. The sample will be analysed for a range of variables
including:

67
Total alkalinity, total hardness, nitrates (NO3), nitrites (NO2) Ammonium (NH4), chloride
(Cl), sodium (Na), Calcium (Ca), Potassium (K), Sulphate (SO4) and Phosphates (PO4)
Ag, As, Al, B, Ba, Cd, Co, Cr, Cu, Fe, Mn, Mo, Ni, Pb, Se, Si, Sr, Ti, U, V, Zn
Bacteriological contamination including E.coli, Total Faecal Coliforms and a Total Plate
Count
8.2.1.2
EXTECH DO600 and ExStickII handheld meters will be used to measure in situ variables.
This will include pH, Electrical Conductivity (EC), Total Dissolved Solids (TDS),
Temperature, Dissolved Oxygen and Oxygen Saturation.
The results will be compared to historical water quality data to determine any trends. The
results will also be compared to the Target Water Quality Guidelines for Aquatic Ecosystems as
well as to any available Resource Water Quality Objectives (RWQO) set for the area. The
results and historical data will form a baseline that can be used as part of a monitoring plan.
Impact Assessment and Recommendations

o
Based on the information collected during the field survey, the potential impact of the
proposed project on the surface water quality during the construction and operational phases
will be assessed;
o
Potential mitigation measures for each of the identified impacts will also be determined and
the alternative options for the development will also be assessed;
o
Produce specialist assessment report with baseline description, assessment of impacts and
recommendations.
Groundwater Impact Assessment
Baseline Study
o
Identify the location and use of all ground water abstraction systems i.e. boreholes, springs;
o
Aquifer characteristics and conceptual model of the groundwater regime;
o
Present depth to water table and historical water level fluctuations;
o
Define ground water resource evaluation which would include estimates of recharge and
storage capacity;
o
Define ground water availability;
o
Define ground water quality;
o
Define aquifer vulnerability;
o
Define ground water/surface water interaction with specific reference to the interaction of
ground water and the rivers.

o
Evaluation of potential inflows into the proposed mining area;
o
Evaluation of the impact of mining on the ground water system;
o
Recommendation and implementation of a monitoring system;
o
recommendations.

68
8.2.1.3
Soil and Agricultural Impact Assessment

Baseline Study
o
Basic soil association will be indicated from a site visit, also indicating soil and land use
potential. The study will be based on geology, geomorphology (land shape) and maps available
from the Department of Agriculture; as well as site verification. Output will include:
8.2.1.4
Soil map
Land use suitability
Soil potential
Impact assessment: sensitivity, constraints, possible impacts on development potential

in terms of present land use legislation in Act 70 of 1970, NEMA and others
Impact assessment of mining on the soil and landforms
Mining and rehabilitation proposals

Based on the soil study, an analysis will be made on the following:
Present land uses
Land use suitability (potential)
Income potential from farming

o
Assess impacts and identify sensitivity, constraints, possible impacts on development potential
in terms of present land use legislation in Act 70 of 1970, NEMA and others;
o
recommendations.
Wetland Impact Assessment
Baseline Study
o
An in-depth desktop analysis of the project area through the use of aerial imagery and GIS
data;
o
A desktop review of legislation to ascertain licensing requirements;
o
A reconnaissance site visit to gain a better understanding of the project area and to assess any
potential red flags identified during the desktop assessment process;
o
Desktop delineation of wetlands;
o
Wetlands will be buffered at 30 m and 500 m respectively;
o
The wetland and buffer zone will be mapped at an appropriate scale.

o
Potential impacts on the wetlands that may arise from any development or associated
infrastructure will be identified and assessed;
o
Recommendations for mitigation of negative impacts will be provided;
o
recommendations.

69
8.2.1.5
Terrestrial Ecological Impact Assessment
Baseline Study
o
An in-depth desktop assessment of the receiving environment, including the identification of
any potential sensitivitys and any potential red flags within the study area. This assessment
will include the listing of Red Data, TOPS and other vulnerable animal and plant species that
may occur on the site;
o
A desktop review of legislation to ascertain licensing and permitting requirements, including
the Mpumalanga Nature Conservation Act, 1998 (Act 10 of 1998);
o
Reconnaissance site visit to gain a better understanding of the project area. Please note that
this does not constitute ground truthing of desktop information;
o
Description of vegetation types within the study area (Mucina & Rutherford, 2006);
o
Desktop faunal study supported by on-site observations during the reconnaissance site visit;
o
Description of the anticipated potential impacts on the faunal assemblages identified through
the desktop study.

o
Identification and assessment of potential impacts arising from the proposed development on
the ecological integrity of the site;
o
Recommendations, management guidelines and ecological mitigation measures for the
proposed development, where appropriate;
o
recommendations.
8.2.1.6
Aquatic Ecological Impact Assessment

Baseline Study
o
Review relevant ecological data for the area;
o
Undertake field survey focussing on in-stream habitats, diatoms, aquatic invertebrates and fish
in the Hlelo River, Tweelingspruit and Swartwaterspruit. The following ecosystem components
are included:
Habitat Quality will be assessed using the method developed by the US Environmental
Protection Agency (Barbour et al., 1998), and Habitat Integrity will be assessed using a
rapid visual assessment protocol developed by DWAF (1999). Assessments will be
supported by detailed photographs of habitats and field water quality data (pH,
conductivity & turbidity);
Benthic diatoms typically reflect water quality in the short-term (days) and are useful
biological indicators of overall water quality. Diatoms are particularly suited to
monitoring ecological conditions. We suggest applying the Specific Pollution Index (SPI),
based on the database programme OMNIDIA for epilithon data (Lecointe et al., 1993);
Aquatic macro invertebrates typically reflect water quality and in-stream habitat
conditions in the medium-term (weeks), and can be useful biological indicators in

70
perennial streams and rivers. We will apply the SASS5 bio-monitoring method, where
appropriate;
Fish typically reflect water quality and in-stream habitat conditions over the past six
months, and can be useful biological indicators in the medium-term. We will collect
quantitative data on fish using an electro-fisher. Results will be presented as a % species
composition and Catch per Unit Effort.

o
Assessment impacts;
o
recommendations.
8.2.2
Socio-Economic Specialist Studies
8.2.2.1
Economic Impact Assessment
Baseline Study
o
Obtain relevant, existing sources of information, including:
Existing policy and framework documents (LSDF / RSDF, IDP, LED, etc.)
New development proposals in the sub-region (public and private sector)
Existing demographic data (base data)
Proposed & ongoing economic initiatives and interventions
Mooted projects tourism, commercial, mining, agricultural, etc.
Proposed new power stations, roads, railway lines, inter-modal facilities and related
developments, etc.
Existing projects and proposals pertaining to community and social facilities in the study
area.
Define base profile and trend analysis: Prior to the economic impact modelling process, it will
be necessary to consolidate all available data sources, including aerial photography, GIS
mapping and land use data to provide a concise status quo description of the study area. This
assessment will serve as basis for the value comparison analysis and economic impact
assessment;
Indicators will be identified and analysed in conjunction with the client. Typical indicators that
will be utilised to reflect the state of the market may include, in time series format, inter alia:
economic base
economic growth and drivers
cyclical trends and volatility
turnkey economic initiatives
employment and unemployment trends
disposable income per capita and growth trends
location quotient, tress indices, etc.

Existing consumer market data sets will be utilised to develop community profiles. To facilitate
detail recommendations and development guidelines, consumer data will be analysed on a

71
fine-grained level. The following data fields, which are important consumer demand
determinants, will be assessed:
population size
population growth
household size distribution and weighted average
age profile (age pyramid)
level of education
levels of employment and unemployment
mode of transport
housing profile
household income profile and weighted average
Living Standard Measurement (LSM Profile), etc.

Develop detailed demographic / consumer market profiles. These profiles will, inter alia, serve
to inform demand thresholds and related market impact analyses. An analysis of the socioeconomic profile of the current and future resident population will provide critical base
information required for impact assessment, as it provides an indication of the size and other
dynamic characteristics of the potential support base in the market. Information such as
population size, growth prospects, income and expenditure patterns form an important basis
for determining the current and future potential for various economic activities, support
services and social amenities;
Translation of demographic data into a LSM (Living Standard Measure) and Life Stage Profile.
LSM is a universal system utilised to profile consumer markets and to match appropriate
economic activities with the demands and needs of such markets. This index was designed to
profile the market into relatively homogeneous life style groups. By its very nature, it forms a
powerful marketing and branding instrument. As such, it is based on a set of marketing
differentiators which group consumers according to their living standards and asset base, using
criteria such as ownership of cars and major appliances (assets). In applying the LSM system,
economic opportunities can be profiled and matched against the characteristics of the target
user market. Application of this system serves a dual purpose in that it will first and foremost
informs planning and decision making processes. Secondly, LSM translates economic
opportunities into marketing and branding guidelines. Application of this technique therefore
streamlines project marketability. This is a powerful mechanism with a broad spectrum of
equally powerful investment and impact profiling applications.

o
Model development and impact assessment: The purpose of this step is to develop and
calibrate an econometric impact model and simulate the economic effect of the proposed
project (particularly the economic benefits of mining versus the economic benefits of the
current / alternative land uses) as described in the preceding step and quantify the multiple
economic impacts of the project by means of a computerised economic simulation model
based on the input-output technique;
o
All economic impacts will be identified, analysed and described, based on baseline conditions,
and will refer to project phases;

72
The introduction of changes to the economy will lead to specific economic impacts. Utilising
economic multipliers and parameters the impacts of various options can be quantified. From
an economic point of view the development concept will imply a structural change in the local
economy. This structural change will induce the following reactions to t the local, provincial
and national economy:
Direct impact: The direct impact is calculated from macro-economic aggregates

occurring as a direct result of the project. The initial impact on GDP, for example, is
taken from the financial information and equals the value added generated by a specific
scenario
Indirect impact: Indirect impacts are calculated from the activities of suppliers through
application of the model. For purposes of this study, indirect suppliers include those
industries who deliver goods and services to the activity under discussion (first round
suppliers) including suppliers who on their part deliver goods and services to the first
mentioned indirect suppliers
Induced impacts: The induced impacts are the impacts on goods and services demanded
due to increased expenditure by households from income earned due at the project.
Examples include the income of employees and shareholders of the project, as well as
the income arising through the backward linkages of this spending in the economy. The
impact is sometimes confused with the forward linkage of a project
Construction and maintenance spending impact: Short-term economic impacts

associated with the construction of facilities and services/infrastructure can also be
recognised, as well as other long-term economic impacts associated with maintenance
and operation of facilities and services. The economic impacts of construction and
maintenance spending also include direct, indirect and induced components, as defined
above
Implications, recommendations and mitigation: Interpreted results to ensure sustainable
development of the proposed project and to provide input to the various land development
processes. Market based implementation guidelines will be formulated to guide project
implementation towards maximising potential economic and socio-economic impacts and
project sustainability. The various measures of economic and socio-economic impacts have
very different interpretations:
Total employment reflects the number of additional jobs created by economic growth.
This is the most popular measure of economic impact because it is easier to
comprehend than large, abstract Rand figures. The total employment can be interpreted
in terms of generally accepted definitions of job creation. Specific reference will be
made to skills matchmaking
Aggregate personal income rises as pay levels rise and/or additional workers are hired.
Either or both of these conditions can occur as a result of business revenue growth. As
long as nearly all of the affected workers live in the study area, this is a reasonable
measure of the personal income benefit of a project or program
Value Added (which is normally equivalent to Gross Domestic Product or Gross Regional
Product) is a broader measure of the full income effect. This measure essentially reflects
the sum of wage income and corporate profit generated in the study area. However, in

73
todays increasingly global economy, value added can be an overestimate of the true
income impact on a local area, insofar as it includes all business profit generated there
o
o
o
o
8.2.2.2
Business Output (also referred to as revenue or sales volume) is the broadest measure
of economic activity, as it generates the largest numbers. It includes the full (gross) level
of business revenue, which pays for costs of materials and costs of labour, as well as
generating net business income (profits)
Envisaged impacts will furthermore be rated in terms of inter alia its nature, extent, duration
and probability;
Analysis of economic linkages and multipliers will furthermore assist in identifying most
suitable economic / optimisation interventions within target market segments;
Recommendation and implementation guidelines for the EMP;
recommendations.
Social Impact Assessment
It is believed that a participatory approach is the best way to approach social impact assessment in the South
African context. Apart from obtaining environmental permits as required by law, any proposed project would also
require a social license to operate from the community where it will be situated. This is seen to be a crucial
element to ensure the successful implementation of any EIA and EMP. Without the buy-in of the affected public,
the chance of successfully implementing the proposed plan will be slim. The methodology proposed will therefore
focus on involving the affected public in the research and planning where it is realistically possible and
executable. The aim of the study will be to identify possible social impacts associated with the project and to
recommend the most suitable mitigation measures.
Baseline Study
o
The Social Impact Assesment will commence with a baseline description of the study area that
will include a review of all available literature. This will include relevant legislation and existing
provincial and municipal documents and studies, as well as any additional literature that is
deemed to be applicable to the study. This study will focus on the local and regional level;
o
Necessary demographic data will be obtained from Statistics South Africa and Municipal
Integrated Development Plans;
o
An desktop information search will be conducted;
o
This will be followed up with a period of fieldwork to obtain additional information and
communicate with key stakeholders. Stakeholders typically include town councils, tribal
councils, landowners, the relevant farmers associations, community representatives, forums
and political leaders amongst others;
o
Information will be obtained via focus groups, formal and informal interviews, participatory
rural appraisal, observation, the internet and literature reviews;
o
Notes will be kept of all interviews and focus groups. More detailed planning regarding this can
only be done once more detailed information is given and key stakeholders have been
identified;

74
8.2.2.3

o
The Social Impact Assesment Report will focus on current conditions, providing baseline data.
Each category will discuss the current state of affairs, but also investigate the possible impacts
that might occur in future. Recommendations for mitigation will be made at the end of the
report;
o
The Social Impact Assesment will have a participatory focus. This implies that the Social Impact
Assesment will focus strongly on including the local community and key stakeholders;
o
The public consultation process needs to feed into the Social Impact Assesment ;
o
Impacts will be rated according to the prescribed impact tables. Information obtained through
the public processes will inform the writing of the Social Impact Assesment and associated
documents.
Traffic Impact Assessment

Baseline Study
o
Site Inspection and Liaison: A comprehensive site inspection will be required of the public road
network in the vicinity of the proposed mine site. The key road elements at which traffic
surveys will be required will be confirmed during the site visit and the visual inspection of the
road pavement conditions on the road network will be conducted at the same time. Liaison
with local authorities, if required, will occur during the initial site visit;
o
Data collection: The following traffic surveys and information will be required and collected in
order to conduct the traffic impact study:
An interview schedule might be utilised instead of formal questionnaires. An interview

schedule consists of a list of topics to be covered but it is not as structured as an interview. It
provides respondents with more freedom to elaborate on their views.
Classified traffic counts (light, heavy) at selected intersections;
24-hour / 7 day electronic count(s);
Geometric details of selected intersections;
Visual assessment of existing road pavement conditions;
Trip making characteristics in the study area

Assessment of Existing Traffic Conditions: The traffic data will be used to assess the existing
operating conditions on critical elements of the surrounding road network. This will be done by
means of SIDRA computer software. This analysis will identify any existing traffic management
and control problems that need to be addressed.

o
Trip Generation: It is expected that the road-based traffic will be limited to construction
vehicles and employee traffic. Since the run-of-mine product will be slurry pumped to the
pelletising plant at the Wildrand rail siding from where it will be transported by rail, it is not
anticipated that the proposed mine will generate a significant amount of heavy vehicle trips
after construction;

75
o
o
o
o
8.2.2.4
Future Traffic Operating Conditions: Based on the construction times, the base year (opening
year) and horizon year traffic will be forecasted and analysed;
Assessment of Heavy Vehicle Loading: The data from visual inspections will be used for the
preliminary assessment of the existing road pavement and its ability to handle the estimated
heavy loads during the construction phase;
Mitigation Measures: Recommendations will be made to mitigate the impact of the
construction of the proposed mine on the road pavement, as well as on the capacity of the
roads and intersections in the vicinity of the mine;
Access: The requirements for the access to the mine will be assessed in terms of capacity and
geometric layout;
Road Safety: Several schools have been identified along the R33 in the vicinity of the mine site
and the impact of the proposed mine on the road safety, especially during the construction
phase, will be address, Measures to improve the safety of scholars and / or pedestrians along
the R33 will be recommended;
recommendations.
Visual Impact Assessment

Baseline Study
o
The study area will be visited and data collected and photographs taken;
o
Data collected during the site visit will allow for a comprehensive description and
characterization of the receiving environment and would identify sensitive areas as well as
constraints for the project;
o
Issues that need to be taken into consideration in the impact assessment phase for the project
will be identified;
o
Define:
The physical presence (visual intrusion) of the project components
Aesthetic value of the receiving environment (value of visual resource)
Visual intrusion of project components contrast with the viewed landscape
Effect on the visual environment and sense of place of the study area
Potential loss of scenic value of the landscape and impact on key views

o
Mitigation / management measures;
o
Determination of impacts;
o
Modelling techniques that establish visual intrusion, visibility and visual exposure of the
project components (these criteria are required to rate the magnitude of the impact);
o
The significance of the impact will be determined;
o
Cumulative impacts as well as the impacts of all phases of the project will be assessed;
o
recommendations.

76
8.2.2.5
Noise Impact Assessment
Baseline Study
o
Conduct a field survey to evaluate the landscape, the layout of the project and the location of
noise-generating components;
o
Identify noise-sensitive locations or areas which may fall within the noise footprint of the
project. Select locations representative of larger areas, where the ambient noise will be
sampled;
o
Conduct measurements of existing day and night-time ambient sound levels at these locations
to assess the existing noise climate and to establish appropriate baseline ratings in terms of
SANS 10103 criteria. Use this information to set noise limits (planning targets) for the project;
o
Identify and note sources of noise, such as road traffic, mining, industrial or agricultural
activities contributing to the existing ambient level.

o
Using project data, model the generation and atmospheric propagation of noise from future
operations;
o
Use the model to determine the expected noise footprint of the project;
o
Assess the noise impact on noise-sensitive receptors in the external surroundings in terms of
criteria outlined in the relevant Noise Regulations and SANS 10103;
o
Consider options for mitigation and management of excessive noise impact;
o
Compile and submit a report presenting the results of the baseline study, the findings of the
predictive noise impact study and recommendations for mitigation and noise impact
management.
8.2.2.6
Air Quality Impact Assessment
Baseline Study
o
Analysis of regional climate and site-specific atmospheric dispersion potential;
o
The identification of potential sensitive receptors within the project area;
o
The identification of other existing sources of atmospheric emissions in the project area;
o
The characterisation of existing ambient air quality in the project area based on available
ambient monitoring/modelling data;
o
A review of the legislative and regulatory context, including atmospheric emission limits and
ambient air quality guidelines.

o
The compilation of an emissions inventory for the project, comprising the identification and
quantification of all potential routine sources of emission;
o
Atmospheric dispersion modelling;
o
The evaluation of the potential for human health and environmental air quality impacts;
o
recommendations.

77
8.2.3
8.3
Cultural Specialist Study (Heritage Impact Assessment)
Baseline Study
o
Archive and deeds search in order to contextualise the study area and add value to the existing
archival information and expand to include detailed history;
o
Review assessment of existing studies about the site and its surrounding areas;
o
Review and assessment of scholarly publication (books and journals) about the site: sociocultural and heritage fabric;
o
Access, review and assess SAHRA database about proposed study area;
o
On site investigation to ascertain if there are any archaeological or heritage resources (e.g.
burial grounds & graves, built environment & landscape features) within the project area.

o
Impact assessments and impact evaluations of the identified heritage resources against
proposed development activities;
o
recommendations;
o
Submission of report to relevant institutions.
Impact Assessment and Rating Methodology
The identification and assessment of environmental impacts is a multi-faceted process, using a combination of
quantitative and qualitative descriptions and evaluations. It involves applying scientific measurements and
professional judgement to determine the significance of environmental impacts associated with the proposed
project. The process involves consideration of, inter alia: the purpose and need for the project; views and
concerns of IAPs; social and political norms, and general public interest.
The methodology used for assessing impacts associated with the proposed project follows the philosophy of
environmental impact assessments, as described in the booklet Impact Significance, Integrated Environmental
Management Information Series 5 (DEAT, 2002b). The philosophy is summarised by the following extracts:
The impact magnitude [or intensity] and significance should as far as possible be determined by
reference to legal requirements, accepted scientific standards or social acceptability. If no legislation or
scientific standards are available, the EIA practitioner can evaluate impact magnitude based on clearly
described criteria. Except for the exceeding of standards set by law or scientific knowledge, the
description of significance is largely judgemental, subjective and variable. However, generic criteria can
be used systematically to identify, predict, evaluate and determine the significance of impacts. (DEAT,
2002b).
Determining significance [of impacts] is ultimately a judgement call. Judgemental factors can be applied
rigorously and consistently by displaying information related to an issue in a standard worksheet format.
(Haug et al., 1984 taken from DEAT, 2002b).

78
Identification and Description of Impacts
8.3.1
The purpose of undertaking an impact assessment is to ensure that the project proactively considers
environmental issues as part of the project planning and decision-making processes throughout the project life
cycle.
For each environmental component (i.e. visual, air quality, health), impacts will be identified and described in
terms of: detectability / visibility of the impact, exposure of receptors to the impact, compliance with legislation
and standards, other applicable targets, limits or thresholds of concern, the level of change / intrusion imposed,
and receptor sensitivity.
The impact assessment will consider:
Physical, biological, social and economic components of the environment and their interrelationships;
The ability of receptors and affected parties to adapt to changes and thus maintain livelihoods after the
operation has closed;
The effects of all stages of the project life cycle, including planning construction, operation, and
decommissioning and post closure must be considered;
Positive and negative environmental and social impacts;
Direct, indirect, induced and cumulative impacts;
Short- and long-duration impacts within the zone(s) of influence, and extreme events;
Potential trans-boundary effects and global impacts (e.g. air pollution, withdrawal of water from an interprovincial and international waterway and emission of greenhouse gasses);
Potential impacts on local communities and/or other vulnerable individuals or groups;
Socio-political risks (e.g. political instability);
Impacts associated with supply chains where the resource(s) utilised by the project are sensitive.
The perceived sensitivity of receptors (people and/or receiving environment) will be professionally judged based
on available scientific data (fact) and feedback from public participation processes (views, opinions, attitudes, and
concerns).
The following impacts will be described:
8.3.1.1
Existing Impacts (Impacts of Existing Developments)
The proposed project is located in an area affected by the following existing activities such as forestry and
forestry related processing and industries, other agriculture, residential developments, roads and other linear
infrastructure.
The assessment of existing impacts will consider the current level of environmental degradation associated with
existing activities, as well as developments under construction and new developments for which the impacts have
been defined.

79
Defining the current level of degradation associated with existing developments is essential to understand and
enable the assessment of cumulative impacts (see Section 8.3.1.4 below).
8.3.1.2
Incremental Impacts (Project Impacts)
Incremental impacts refers to the impacts of an activity looked at in isolation (impacts of an individual project),
thus not considering the combined, cumulative or synergistic impacts of the activity, or the cumulative impacts of
the activity with other activities or the existing impacts.
8.3.1.3
No-Go Development Impacts
The no-go development is considered as an alternative in the environmental impact assessment and impacts of
not developing the proposed opencast coal mine will be discussed in the environmental impact report.
8.3.1.4
Cumulative Impacts
In terms of regulatory requirements and the principles of integrated environmental management, the EIA process
for the proposed project must consider cumulative impacts. For this project, cumulative impacts will be
determined as:
Existing Impacts
Existing impacts
(current level of degradation) associated
with existing developments,
developments under construction and
new developments for which the impacts
have been defined.
8.3.2
Incremental Impacts
Impacts of the proposed
project and associated
activities and
infrastructure
Cumulative Impacts
Existing impacts
(current level of degradation) associated
with existing developments,
developments under construction and
new developments for which the impacts
have been defined combined with
the impacts of the proposed project and
associated activities and infrastructure
Mitigation Measures
Mitigation measures will be identified based on the recommendation of the team of specialists, comments from
IAPs, discussions with Mkhombi Mining, and Ethical Exchanges extensive experience working on mining projects
in the region, and various iron ore and manganese mines throughout South Africa.
The significance of environmental impacts will be rated before and after the implementation of mitigation
measures. The impact rating system considers the confidence level that can be placed on the successful
implementation of the mitigation.

80
8.3.3
Rating the Significance of Environmental Impacts and Mitigation

Measures
During the EIA phase, the following system will be used for evaluating impact significance and mitigation failure
risks. Ethical Exchange has been using this system successfully on various mining impact assessments over a
number of years, e.g. the EIA for the New Largo Colliery which was completed in 2013. The system has been
developed to be rigorous, transparent and consistent, and thus it can be reviewed and audited.
Table 11: Impact Rating Criteria and Assessment Process
Impact Rating Criteria
Explanation of Impact Rating Criteria and Assessment Process
(Abbreviation / Symbol / Short Description)
Brief description of the effect of human actions and activities on the environment, and
Nature of the Environmental Impact
impacts of the environment on development.
Measures designed to avoid, reduce or remedy potential adverse impacts, and
compensate for residual adverse impacts (mitigation measures), and measures designed
Mitigation Measures
to expand and augment the effect of potential positive impacts (enhancement measures)
for consideration during development of the final environmental management
programme.
Activities, impacts and mitigation measures during the planning (or pre-implementation)
P
Planning
phase.
Activities, impacts and mitigation measures applicable to the construction phase,
C
Construction
Project
including decommissioning of existing infrastructure.
Phase
O
Operational
Activities, impacts and mitigation measures applicable to the operational phase.
Activities, impacts and mitigation measures applicable to decommissioning of the project
D
Decommissioning & Closure
(closure, removal, rehabilitation).
Negative
Impacts with a potential negative / adverse effect.
Impact
Neutral
Neutral, no impact.
Status
Positive
Impacts with a potential positive / beneficial effect.
Widespread concern and/or specific concerns of very high importance.
Concerns difficult to be addressed to satisfaction of authorities or concerned parties.
Neg Very High
Various substantiated appeals against project anticipated / highly likely if issues are not
resolved and addressed to the satisfaction of the concerned parties.
Several concerns and/or specific concerns of high importance.
Neg High
Real and substantial appeals against project possible if not addressed.
Limited concerns. All concerns addressed.
Neg Moderate
Unsubstantiated appeals possible.
IAP Interest
Neg Low
Minor concerns.
Neutral
No interest.
Not defined
Level of interest has not been tested.
Pos Low
Very little support for project.
Pos Moderate
Limited support for project.
Pos High
General support. May be associated with high community expectations.
Pos Very High
Widespread support. May be associated with extremely high community expectations.
Complete
No information gaps exist. Decision-making can go ahead.
Minor information deficiencies exist but this does not affect decision-making. DecisionAssessment
Adequate
making can go ahead.
Confidence
Not enough information for decision-making. Current data to be supplemented with
Incomplete
further monitoring or research.

81

Significance (S)
(Consequence + Probability)
Probability
(P)
Extent / Scale (E)
Intensity (I)
(Positive
Impacts)
Duration (D)
Frequency (F)
Severity (S)
(Intensity + Duration + Frequency)
Consequence (C)
(Severity + Extent)
Intensity
(Negative Impacts)
Slight change, disturbance or nuisance. Targets, limits and thresholds of concern never
exceeded. Impacts are rapidly and easily reversible. Require no or only minor
1
low
interventions or clean-up actions if these impacts occur. No complaints expected when
the impact takes place.
Moderate change, disturbance or discomfort. Real but not substantial. Targets, limits and
thresholds of concern may occasionally be exceeded. Impacts are reversible but may
2
moderate
require some effort, cost and time. Sporadic complaints can be expected when the
impact takes place.
Prominent change, disturbance or degradation. Real and substantial. May result in illness
3
high
or injury. Targets, limits and thresholds of concern regularly exceeded. Regular
complaints can be expected when the impact takes place.
Severe change, disturbance or degradation. May result in illness, injury or death.
Targets, limits and thresholds of concern continually exceeded. Interest group /
4
very high
community mobilisation against project can be expected when the impact takes place.
May result in legal action if impact occurs.
1
low
Slight change or improvement. Minor benefits.
2
moderate
Moderate change or improvement. Real but not substantial benefits.
Prominent change or improvement. Real and substantial benefits. General community
3
high
support.
Considerable and large-scale change or improvement. Real and considerable benefit.
4
very high
Widespread support.
Refers to the total length of time (i.e. number of months or years) that the impact would or the impact source or risk
will be present.
1
low
Short-term. May occur for weeks or a few months and are rapidly reversible.
Medium-term. May occur for the first few years of the project, during construction, up to
2
moderate
three years. Impacts reversible within a three year period.
Long-term. May occur throughout the life of the mine, but will cease after operations
3
high
ceases either because of natural processes or human intervention.
Permanent and irreversible. Residual impacts will remain after decommissioning and
4
very high
closure
Refers to the time intervals and how often (i.e. number of days per year) the impact would manifest over the entire
duration of the impact.
Seldom. Impact would be intermitted, limited to a few days a year (occurs 0-10 % of the
1
low
time).
Occasional. Impact would occur now and again, not more than ten days a month (occurs
2
moderate
10 to 35% of the time).
3
high
Often. Impact would be present more than ten days a month (occurs >35% of the time).
4
very high
Continuous. Impact would occur all the time (occurs 100% of the time).
0
none
None. Impact will not occur anywhere.
1
low
Site impact. Small area. No sensitive receptors outside servitude / project area affected.
Local. May affect immediate neighbours, never nearby townships. Small area or small
2
moderate
number of sensitive receptors affected.
Widespread impact. Large area or large numbers of sensitive receptors affected. May
3
high
affect nearby townships.
National or international impact. Impacts over a vast area or over vast numbers of
4
very high
receptors.
0
none
Never (0 % likelihood).
1
low
Conceivable. Will only happen in exceptional circumstances (<10 % likelihood).
2
moderate
Plausible. Could happen and has occurred here or elsewhere (11 to 40 %likelihood).
3
high
Probable (>40-80 % likelihood).
4
very high
Expected. Highly likely to happen (>80 % likelihood).
Impact significance represents the degree to which the impact may cause irreplaceable loss of a resource
Widespread negative effect. Negative impact that is of the highest order.
Neg Very High
Potential fatal flaw. Unacceptable impact / loss of a resource will occur.
Neg High
Substantial negative impact.
Neg Moderate
Negative impact that is real but not substantial.
Neg Low
Low to negligible negative impact with little real effect.
Pos Low
Low to insignificant positive impact.
Pos Moderate
Positive impact that is real but not substantial.
Pos High
Substantial positive impact.
Widespread/substantial beneficial effect. Alternative ways to achieve same benefits not
Pos Very High
possible.

82
(Negative Impacts)
Impact Rating Methodology

(used to determine both Unmitigated
Impacts and Mitigated Impacts)
Precautionary Weighting
(Value Judgement)

Used when there is a potential understatement of the significance of a negative impact to increase the significance rating.
No weighting required. Significance rating is a true reflection of the potential affect of the
0
none
impact.
There may be a slight understatement of the significance of the impact. Impact
1
low
significance adapted to be slightly higher.
There may be a moderate understatement of the significance of the impact. Impact
2
moderate
significance adapted to be higher.
The impact significance rating is highly understated. Impact significance adapted to be
3
high
higher.
The impact significance rating is severely understated. Impact significance adapted to be
4
very high
higher.
Used to determine the degree to which impacts can be reversed and to calculate residual impacts.
The likelihood of mitigation failure rated based on:
research and technology limitations,
long implementation timeframes with associated potential of internal (i.e. personnel changes, project ownership changes,
changing financial situation) and outside (i.e. climate change, economic and political instability) influences occurring over
time,
financial considerations,
skills and labour availability and potential for human error.
Less than 10% likelihood that mitigation measures could fail. Mitigation implemented
Mitigation
Very Low Risk
quickly, mitigation easy to implement, proven technology used, no special labour skills
Failure Risk 0
required.
(FR)
0.2
Low Risk
10-30% likelihood that mitigation measures could fail.
0.4
Moderate Risk
>30 to 60% likelihood that mitigation measures could fail.
0.8
High Risk
>60 to 80% likelihood that mitigation measures could fail.
>80% likelihood that mitigation measures could fail. May need research and new
technologies to be developed, and/or may have to take place over many years after
1.0
Very High Risk
closure, and/or may involve exorbitant/prohibitive expenses to implement successfully,
and/or may require highly skilled personnel with special training, and/or have a high risk
of human error during the execution of the mitigation.
Formula
Example
Rating Criteria
I
1.0
Intensity (I)
D
1.0
Duration (D)
F
1.0
Frequency (F)
S=(I+D+F)/3
1.0
Severity (S) = (Intensity + Duration + Frequency) / 3
E
4.0
Scale (Extent) (E)
C=(S+E)/2
2.5
Consequence (C) = (Severity + Extent) / 2
Probability (P). A weighting of 0.5 used for probability to increase the conservancy of the
P
3.0
assessment of negative impacts, in line with the precautionary principle.
S1=(C+P)/2
2.7
Significance (S1) = (Consequence + Probability) / 2
W
0.5
Precautionary Weighting (W)
S2=(S+W)
2.9
Significance with Precautionary Weighting (S2) = (S1 + W)
FR
1
Mitigation failure risk (FR)
Residual Risk (RR). Represents an adapted mitigated impact adapted based on
S2 x FR = RR 2.9
mitigation failure risk.
Mitigated Impact x Mitigation Failure Risk = Residual Risk
Formula
Level
Level
Unmitigated
4
Impact rated assuming the proposed mitigation measures are not in place (UI)
Impact(UI)
Using formula
above
Mitigated
2
Impact rated assuming the proposed mitigation measures are fully in place (MI)
Impact(MI)
Mitigation
Mitigation potential (MP) represents the degree to which impacts can be reversed are
Potential
UI-MI=MP
2
calculated as follows:
(MP)
Unmitigated Impact (UI) Mitigated Impacts (MI) = Mitigation Potential (MP)
Formula
Level
Level
<=
-3.6
Neg Very High
<=
-3.0
Neg High
<=
-2.0
Neg Moderate
<
0.0
Neg Low
Impact
Rating
>
0.0
Pos Low
>=
2.0
Pos Moderate
>=
3.0
Pos High
>=
3.6
Pos Very High

83
8.4
Environmental Management Programme (EMP)
An EMP is a management tool that is developed to ensure that undue or reasonably avoidable adverse
impacts of the construction, operation and decommissioning of a project are prevented and that the
positive benefits of the projects are enhanced.
An Environmental Management Programme (EMP) will be compiled to contain all commitments in
terms of environmental management, monitoring, research, consultation and reporting over the life of
the proposed project, and this includes:
Construction Phase (including planning, design and pre-construction)
Operational Phase
Decommissioning and Closure Phase
Post Closure.
Relevant mitigation measures from specialists and best industry practices will be incorporated into the
EMP. Timeframes and scheduling will be provided.
The format of the EMP will be such that it can be used as a standalone document. The EMP will be a live
document that can be updated based on the findings of future environmental audits and inspections of
the mining operation. During construction, EMP updates will be conducted as dictated by the
environmental issues and conditions of the construction site and surroundings. The EMP will be
designed in such a way that it will enable the environmental aspects associated with the proposed
project and associated infrastructure, facilities and to be managed efficiently during the construction,
operation, decommissioning and closure phases of the proposed mining operation.
Once approved by the relevant authorities, the provisions of the EMP are legally binding on Mkhombi
Mining and all its contractors and suppliers.
9.
Conclusion
This scoping report will be submitted to the DMR and will be made available to registered IAPs for review. A
public meeting will be arranged and comments received on the scoping report and at the public meeting will be
incorporated in the EIA.
The tentative date for the public meeting is 20 May 2014 - please contact 041 823 9010 or
mkhombi@ethicx.co.za to confirm details.
During the EIA phase, more detailed investigations and further consultation with IAPs will be conducted and the
EMP will be developed for submission to the DMR by 24 October 2014.
84
10. Consultant Declaration

Mari Wolmarans, the undersigned, has been active in the environmental consultancy field since 1992, and has
been a registered professional environmental scientist since 2001, and certified as an environmental assessment
practitioner since 2004.
The undersigned herewith declares that this scoping report represents an objective and complete scoping-level
assessment of the environmental impacts associated with the proposed Cascade Iron Ore Project. Potential
impacts were defined through professional judgement and consultation with interested and affected parties and
authorities, and the plan of study for the EIA phase that has been designed for the project is deemed to comply
with relevant legislation, best practices and principles of integrated environmental management.
Mari Wolmarans
BL Arch, MSAIE&ES, EAPSA Certified

85
11. List of Annexures

Annexure D: List of Interested and Affected Parties (IAPs)
Annexure H: DMR acceptance of the mining right application
Annexure I: Supplementary information regarding environmental legislation, guidelines, and standards
12. References
Business Case for the Inkomati-Usuthu Catchment Management Agency, Department of Water Affairs. 2012.
Development of Water Reconciliation Strategy for All towns in the Eastern Region. Gert Sibande District
Municipality: First Order Reconciliation strategy for Piet Retief Water Supply Scheme area Mkhondo Local
Municipality. Department of Water Affairs. June 2011.
DMR Guideline for the compilation of a Scoping report.
Pongola Structure of southeaster Africa: The Worlds oldest preserved rift? Burke, k. Kidd, W.S.F. and Kusky, T.M.,
Department of Geological Sciences, Albany, 1984.
SEAT Report: Socio-Economic Assessment Report, Mondi, 2005.
South African National Biodiversity Institute (SANBI), BGIS.
Water Services Development Plan (WSDP), 2009 2013.
Mkhombi Mining Cascades Project [Mining and Technical] Scoping Study, prepared by RHDHV, 2012 this this
document presents the conceptual mine plan on which the project description section of the scoping report was
based.

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Cascade Iron Ore Mining Project Scoping Report

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Cascade Iron Ore Mining Project Scoping Report

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Prepared for

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The Cascade Iron Ore Mining Project

ENVIRONMENTAL SCOPING REPORT

The Cascade Iron Ore Mining Project: Environmental Scoping Report

For review by DMR and Interested and Affected Parties

For submission to:

T: +27(0) 41 823 9010 I F: +27(0) 86 562 0165 I www.ethicX.co.za

Claire De Jongh, Mari Wolmarans

Reviewed and issued by:

Report X0079/001/SR-DMR | April 2014 (Revision 00)

Project Information Sheet

The Cascade Iron Ore Mining Project: Environmental Scoping Report

The Cascades Iron Ore Mining project

Report X0079/001/SR-DMR | April 2014 (Revision 00)

Mkhombi Mining (Pty) Ltd

The Cascade Iron Ore Mining Project

Gert Sibande District Municipality, Mpumalanga

ENVIRONMENTAL SCOPING REPORT

The Cascades Iron Ore Mining project

Report X0079/001/SR-DMR | April 2014 (Revision 00)

Description of the Proposed Project

Mining of iron ore resource on the farm The Cascade.

Processing of mine ore to produce a fine concentrate on the mining area.

Dewatering of the concentrate at the rail siding.

Pelletising of the concentrate at the rail siding.

Storage and handling of the pellets onto vessels for export.

Primary milling and magnetic separation.

Ball milling and secondary magnetic separation.

Fine milling and third stage magnetic separation.

Cleaning of the concentrate through flotation.

The Cascades Iron Ore Mining project

Report X0079/001/SR-DMR | April 2014 (Revision 00)

Study Approach and Methodology

Public Participation Process

Report X0079/001/SR-DMR | April 2014 (Revision 00)

Facilitation of public meeting and attendance of meetings with key parties;

Make updated comments and response report available to IAPs.

The following evidence is submitted with the scoping report:

Annexure D provides a list of IAPs

Annexure F for details of land claims

Annexure G for copies of IAP correspondence

Identification of Potential Impacts

Plan and Study for EIA

Report X0079/001/SR-DMR | April 2014 (Revision 00)

The Cascades Iron Ore Mining project

Report X0079/001/SR-DMR | April 2014 (Revision 00)

Mkhombi Mining (Pty) Ltd

The Cascade Iron Ore Mining Project

Gert Sibande District Municipality, Mpumalanga

ENVIRONMENTAL SCOPING REPORT

Introduction to the Project..................................................................................................................... 15

Description of Proposed Project ............................................................................................................. 21

Scoping Study Approach and Methodology ............................................................................................ 33

The Cascades Iron Ore Mining project

Report X0079/001/SR-DMR | April 2014 (Revision 00)

Land Use and Alternative Developments ................................................................................................ 37

Landowners, Communities and IAPs...................................................................................................... 38

Baseline Environmental Description ....................................................................................................... 42

Potential Environmental Impacts Identified............................................................................................ 61

The Cascades Iron Ore Mining project

Report X0079/001/SR-DMR | April 2014 (Revision 00)