The Spectre of Perpetuity Liability for Treating Acid Water on South Africa’s Goldfields: Decision in Harmony II

Abstract

In June 2012, the North Gauteng High Court handed down judgment in a matter that has sent a quiver down the collective spine of the South African mining industry. In the case of Harmony Gold Mining Co Ltd v Regional Director, Free State Department of Water Affairs and Others,¹ Judge TM Makgoka held Harmony Gold to their obligation to pump and treat acidic mine water, notwithstanding that they had severed all legal connections to the land on which the mining activities that generated the pollution had taken place. Commentators described the decision as ‘opening a can of worms’, adding that it would have ‘profound’ implications for the mining fraternity in a context in which companies regularly negotiate sales agreements that ‘save’ them from post-sale liability.²

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Tracy-Lynn Humby

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Tracy-Lynn Humby is an associate professor at the School of Law, University of the Witwatersrand, Johannesburg, South Africa. The author can be contacted by email at [email protected].