Stilfontein illicit gold trade: Police probing how the mineral changes hands from mine to market
With growing concerns about the rise of illegal mining in the area, Stilfontein is now believed to be the epicentre of the country’s black market for illicit gold.
Mineral Resources Minister Gwede Mantashe and Police Minister Senzo Mchunu attend a briefing session on progress made since the start of Operation Vala Umgodi in Stilfontein on 14 January 2025. Picture: X.com/Gwede Mantashe
STILFONTEIN - Police Minister Senzo Mchunu says there are still gaps in the value chain as investigations into the illicit gold trade in Stilfontein continue.
With growing concerns about the rise of illegal mining in the area, Stilfontein is now believed to be the epicentre of the country’s black market for illicit gold.
Mchunu visited Stilfontein on Tuesday where an operation is ongoing to clamp down on the crime.
While some kingpins have been arrested, Mchunu said a probe is underway to understand how illicit gold changes hands from the mine to the markets.
READ: More than 1,500 illegal miners arrested since Operation Vala Umgodi began
"Where these products go is a product of our investigation. We are as interested as everybody is, not only where it goes but also what are the volumes and who are the people involved."
Petroleum and Mineral Resources Minister Gwede Mantashe joined Mchunu in Stilfontein for the first time since the crisis.
"In 2024, illicit precious metal trade was estimated at R60 billion. That R60 billion is not adding value to the economy, it’s a leakage to the economy. it’s a war on the economy."
Mchunu has also admitted it will be difficult to decide when to wrap up the operation to retrieve illegal miners occupying an abandoned gold mine in Stilfontein.
He appointed a task team exactly two months ago to shut down an illegal gold mining operation underground.
The third and final phase of the operation kicked off this week, with more than 100 illegal miners retrieved and almost 60 dead bodies recovered so far.
However, police don’t have an exact figure of how many zama zamas are in the shaft, making it difficult to track how far the operation is.
"We have agreed that this operation is underway for 10 days then after 10 days we will assess. If there’s any indication that it’s still has to go on or there’s still people are underground, we will take it on board until we are reasonably satisfied that we have done everything reasonable to get everybody out," said Mchunu