As we navigate the complexities of the 21st-century mining landscape, welcoming an entrepreneurial mindset will be instrumental in shaping a more resilient, inclusive and future-ready industry for Africa, writes Reon Barnard, director Jabali Mining Services and co-founder of BCR Holdings – Mining.
PwC’s 27th Annual Global CEO Survey, 2023 tells us that 45% of mining CEOs predict that their companies will not be economically viable within the next ten years if they do not reinvent themselves.1 Although this statistic is shocking, what is more surprising is that many mining companies are finally admitting their current paths will eventually lead to extinction. This implies previously viable options are now off the table and only a new formula for success will ensure survival. Where will African mining companies find the inspiration to reinvent a 100-year-old industry?
Many point to emerging technologies as the mining industry’s saviour, such as artificial intelligence, new analytic capabilities, digital workers and remote and autonomous operations. However, as advantageous as these dynamic technologies can be, the argument can be made that the challenges facing the mining industry are too severe and deeply ingrained for a technology-only approach.
Unpacking positive disruption
Inspired by this year’s Cape Town Investing in African Mining Indaba theme, “Embracing the power of positive disruption: A bold new future for African mining”, the concept of positive disruption has been extensively discussed as a solution to realise a more sustainable and prosperous mining industry. Based on the post-event report, the consensus was unified – the mining sector in Africa needs to consider what disruption is required to alter traditional thought processes and logic when determining how to deliver positive change for the sector. This sentiment solidifies that simply throwing new technology at an industry-wide problem will not have the desired effect. Mindsets in the mining industry need to be reinvented, which is a much bigger and more complicated challenge.
As a seasoned entrepreneur in the mining industry, I define the term ‘positive disruption’ as the essence of innovation-driven change that challenges existing norms and practices. It is about questioning conventional wisdom, embracing risk and fostering a culture of continuous improvement. In the context of mining, positive disruption entails reimagining traditional processes, adopting sustainable practices to drive safety, efficiency, productivity and social responsibility, over and above leveraging emerging technologies. It is not merely about incremental improvements but rather about catalysing transformative shifts that redefine the industry’s trajectory.
Thinking like an entrepreneur, whether an individual or a sector leader, will bring fresh perspectives, new problem-solving solutions, holistic decision-making and practical innovation to the table. This is exactly what Africa needs to forge a new era for the continent’s mining industry. If we can transcend siloed approaches and advance the interconnectedness of economic, social and environmental factors, reinventing current business and building future businesses that create positive and lasting change will be a natural consequence.
Africa’s entrepreneurial spirit
By assessing Africa’s myriad challenges, it becomes evident the solution lies in adopting an entrepreneurial mindset. This is because entrepreneurs are adept at identifying opportunities amid adversity, leveraging limited resources creatively and navigating complex landscapes with agility. Some of the most notable successes in the mining industry can be attributed to holistic thinking and an entrepreneurial ethos.
According to an article about the DRC Mining Week in June 2024, “the Democratic Republic of Congo’s mining sector is now the cornerstone of its economy, contributing significantly to gross domestic product, export revenues and employment. In 2021, mining accounted for about 95% of the DRC’s export revenues and a substantial portion of government revenues. This economic contribution has been vital for national development, funding public services and infrastructure projects. The sector also provides numerous jobs, both directly in mining operations and indirectly through related industries”.2 This took (and is taking) holistic thinking and entrepreneurial ethos from the entire mining sector to find ways and solutions for this complex sector and country. It is still making strides in improving the regulatory framework and issues, such as child labour and certification, by participating in various partnerships, initiatives and technological innovations to pursue creative ways to address these and similar challenges.
On a more individual level as an example of entrepreneurial thinking, Barries Barnard from Advanced Fire Suppression Technologies exemplifies entrepreneurial prowess in transforming mining safety protocols. The company, established on March 1, 2000, with just two LDVs and four employees, initially supported mining clients with mobile fire suppression systems. Barnard’s vision led to the creation of service centres in all mining hubs to minimise downtime. Over time, the company expanded its offerings and acquired various businesses to provide an all-inclusive offering, forming the Advanced Group in 2010. His approach combines cutting-edge technology with deep industry insight, significantly enhancing safety and operational efficiency in mining operations. Barnard’s journey underscores the importance of resilience, risk-taking and holistic thinking in achieving business success, even when growth is not organic. With a presence in 26 countries across Africa, Barnard has received numerous investment opportunities, including Tabono, who acquired a stake in the company to broaden the range of specialised services available in the mining and broader industrial sectors. Furthermore, the founder of a private equity investment management firm, Lelo Rantloane, embodies entrepreneurial talent in every way. With a background in engineering and investment banking, he was inspired by working at companies that empowered division heads to run their ‘businesses within a business’. The result is that the company was built on a foundation of progressive entrepreneurial thinking that led to realising deep value opportunities in the private equity industry. Consequently, this secured capital investments that were essential for the development and expansion of sub-Saharan mining and industrial operations.
Having seen the business results of innovative, holistic thinking inspired by an entrepreneurial mindset, this approach is the foundation of what we do to advise and collaborate with our peers in the mining industry at Jabali Mining and BCR Holdings. By transforming the way mining companies approach challenges and opportunities, we have used multi-layered mining expertise to handhold businesses in the mining industry to get them off the ground and help established companies pivot and operate efficiently.
Embracing entrepreneurship
As we navigate the complexities of the 21st-century mining landscape, welcoming an entrepreneurial mindset will be instrumental in shaping a more resilient, inclusive, and future-ready industry for Africa. By embracing entrepreneurial principles such as agility, resilience, and creativity, mining companies can seize first-mover advantages, mitigate risks and maximise returns on investment.
Moreover, thinking like an entrepreneur fosters a culture of innovation and experimentation, driving continuous improvement and competitive advantage in an increasingly dynamic marketplace. This is because entrepreneurship essentially serves as a catalyst for sustainable growth and long-term prosperity in Africa’s mining sector. n
References:
 Reon Barnard, director, Jabali Mining Services, and co-founder of BCR Holdings – Mining.
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Introducing Reon Barnard:
Barnard is a mining entrepreneur and builder of businesses. He is the director and shareholder of Jabali Mining Services, co-founder of BCR Holdings, CEO of Tabono, director of Barrock, and chairman of the Sekta Group. A seasoned strategist and operational mastermind with extensive experience in the mining industry holding and a B. Com in Finance and an Executive MBA from Tsinghua INSEAD, Barnard’s journey is a testament to his ability to harness his experience to build for the better, in his professional enterprises and in passion projects where he can add value. With an understanding of the intricacies of finance and an entrepreneurial spirit, Barnard has embarked on a multi-faceted career. Today, he is director of Barrock, the holding company which houses his collective business ventures. His journey began by founding BCR, where he honed his operational expertise in mining and his skills in commodities trading. In close collaboration with his partners, he led BCR into a prominent force within the mining sector, emerging as a key exporter of chrome ore from South Africa. Barnard continues to push boundaries in the mining industry through Jabali, an entity that reflects his commitment to excellence and innovation in this field. In addition to his mining ventures, Barnard has ventured into the realm of investment through his enterprise, Tabono, where he serves as CEO. This entrepreneurial endeavour underscores his strategic capability and visionary approach to business.Barnard’s commitment to education and global exploration ensures he remains attuned to the dynamic pulse of society. He is a trustee in the Gary and Vivienne Player Foundation, and is a director of the Blair Atholl Pre-Primary School, the principle beneficiary of the foundation. |
| About BCR Holdings:
BCR Holdings is an established exploration and mining company that has been operating since 2010. With Walter Murray and Reon Barnard leading the organisation, BCR is now one of the major exporters of chrome ore out of South Africa and have proven life of mine for the flagship Spitsvale mine, in excess of 10 years. BCR Holdings deliver reliable raw materials for the manufacturing of high-quality stainless steel. Chrome ore delivered by BCR is used in manufacturing intended for the medical industry, food industry, batteries, transport and many other industries. |
| About Jabali Mining
Jabali Mining Services provides a full range of mining services and mineral processing in a way that ensures it makes a positive impact – adding more than they take away – wherever they operate. (http://www.jabalimining.com) |