Rob Hersov Warns South Africa Is Falling Behind in the Global Race for Critical Minerals
South African billionaire investor Rob Hersov has warned that the country could miss out on the rapidly expanding global critical minerals market, arguing that regulatory delays and slow policy reforms are undermining one of Africa’s most resource-rich mining sectors.
In an open letter addressed to Mineral and Petroleum Resources Minister Gwede Mantashe, Hersov said South Africa stands at a pivotal moment as global demand for strategic minerals accelerates amid the transition to cleaner energy technologies.
“We are at a critical juncture. The world is presenting us with an unprecedented opportunity to be a leader in the green energy transition, to supply the minerals that will build a sustainable future, and to create wealth and jobs for our people in the process,” Hersov wrote.
“Yet we are choosing to sit on the sidelines, crippled by an ideological hostility to an industry that is our only viable path to prosperity.”
His comments come as governments, manufacturers and investors worldwide race to secure supplies of minerals essential for electric vehicles, renewable energy infrastructure, battery production and advanced manufacturing.
The growing demand for critical minerals has transformed the sector into one of the most strategically important areas of the global economy.
Hersov argued that South Africa should be well-positioned to capitalize on this opportunity due to its vast mineral wealth, including significant reserves of platinum group metals, manganese, chrome and vanadium, as well as its long-established mining expertise.
The remarks have reignited debate over whether South Africa is moving quickly enough to attract new mining investment at a time when competition for capital is intensifying across the continent.
Concerns about the country’s investment climate are not limited to a single investor. Mining companies and industry associations have repeatedly highlighted challenges including licensing delays, regulatory uncertainty, and infrastructure constraints affecting rail and port operations.
These issues have become increasingly significant as African countries compete to attract investment into strategic minerals that are expected to play a central role in the global energy transition.
Countries such as Zambia, Namibia and the Democratic Republic of the Congo have intensified efforts to attract investment into copper, cobalt and other critical mineral projects, positioning themselves as key destinations for global mining capital.
Meanwhile, South Africa is pursuing reforms aimed at improving the business environment for investors.
Authorities are working to modernize the country’s mining licensing framework through the implementation of a digital cadastre system designed to increase transparency, improve efficiency and reduce administrative bottlenecks.
Industry stakeholders have long argued that a modern, transparent and efficient licensing system is essential for restoring investor confidence and encouraging exploration activity.
The debate comes at a crucial time for Africa’s most industrialized economy. While South Africa remains a leading global producer of platinum group metals and a major supplier of manganese and chrome, investors are increasingly prioritizing jurisdictions that offer policy certainty, streamlined permitting processes and reliable infrastructure.
The stakes are high. The ability to attract new mining projects will have significant implications for employment, export earnings, government revenues and long-term economic growth.
As global demand for critical minerals continues to rise, the key question for South Africa is no longer whether it possesses the necessary resources.
Instead, the challenge is whether it can move quickly enough to convert those resources into new mines, fresh investment and sustainable economic development.
Hersov’s warning reflects a broader concern shared across the mining industry: resource-rich nations must continually improve their investment environments or risk losing opportunities to more competitive rivals in an increasingly contested global market.
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