FINANCE
Gold has breached the US$5 300 /oz level but has retracted marginally lower.
Nedbank unpacks dynamics influencing the mining sector
2026 is being defined by intense geopolitical tensions, while the mining industry is simultaneously navigating a “polycrisis” of operational complexity and surging demand for critical minerals. To unpack these dynamics, Modern Mining spoke with Nivaash Singh, Head of Mining & Critical Minerals, in a Q&A exploring investment appetite, project bankability and how lenders are assessing South African mining risk. What are the key global factors influencing mining and metals globally and on the African continent? What does Nedbank see as key themes in 2026? How can industry prepare and take advantage of the positive aspects while mitigating the challenges? Nedbank sees the following key themes in 2026:
• The energy transition and demand for critical minerals has ratcheted up a few gears. We are comfortably at a point of no return. • Geopolitics and resource nationalism – western countries are trying to displace China’s hold over African critical minerals. • ESG & sustainability – developiong a social license to operate will determine which operators will be successful. • Infrastructure, energy and operating cost structures – will impact the successful exploitation of bulk commodities. • Availability of capital and the commodity cycle – timing is everything as the investment cycle should ideally precede the commodity super cycle.
• Rising geopolitical risk. • Social license to operate. • Higher commodity prices likely to drive up operating costs. • Understanding the capital stack when raising finance for mine development. • The dangers of M&A activity during a commodity bull market. Miners should always plan, engage early with host governments, and build trust with local communities to develop a healthy social license to operate and to achieve long term success. Maintaining adequate cost control especially in a commodity bull market will ensure long term sustainability and
Nivaash Singh, Head of Mining & Critical Minerals at Nedbank.
16 MODERN MINING www.modernminingmagazine.co.za | JUNE 2026
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