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Kruger Park's Annual Review

SKUKUZA (Kruger Park Times)- A total of 1.25 million tourists visited the Kruger National Park during the 2005/6 financial year.

According to SANParks' 2005/6 Annual Report, this included a 16% increase in the number of black visitors. The Marula (southern) region showed a 1.2 percent increase in beds sold, whilst the Nkayene (Central) region had the same bed occupancy as last year (61% percent) and the Nxanatseni (Northern) region showed a minor (0.2%) decline compared to last year.

Lower Sabie had most available slots used (80%), followed by Skukuza (66%) and Satara (64%).

Tourism income for SANParks in general grew from the previous year’s result of R248 million to R307 million, growth of 19%.

SANParks said that they continue to grow the National Parks estate through new acquisitions of land, and in the period under review the organisation managed to acquire a total of 27,320 hectares at a cost of R48 million. As the budget was R58 million, the balance will be carried into the new financial year.

According to the Conservation Services Department, there has been considerable progress in including neighbouring communities in the Greater Kruger National Park.

Some reserves which are part of the Associated Private Nature Reserves (APNR) group have applied to become contractual parks, and their applications are under review.

The removal of 30km of fence on the eastern border of the Kruger with the Limpopo National Park has facilitated the on-going implementation of the Greater Limpopo Transfrontier Park.

During the year under review, the Scientific Services Department facilitated 160 active research projects in Kruger. Of these, 70 percent were conducted by South African scientists.

A total of 20 local and 30 international research and academic institutions were active in the Park and their activities saw 26 scientific publications and six internal reports being published. The people and conservation department, in partnership with the Development Bank of South Africa (DBSA) and the Hlanganani Forum, facilitated the construction of the community arts outlet at the Punda Maria entrance gate.

In partnership with the Smart Foundation, 800 boxes of books, were distributed to 150 schools within the seven local community forums on the western boundary of Kruger. The third group pf trainee contractors in the Contractor Development Programme completed their NQF level two labour intensive training modules and completed the first two practical training projects that were funded by the DBSA. A total of 58km of tar road was resurfaced.

The Commercialisation Strategy and Private Concessions


“In September 1998, DEAT articulated the need for SANParks to prepare for lesser dependance on state funding, which would increasingly be aimed at funding the essential conservation requiremenst. This formed the basis of the Commercialisation strategy as adopted in 2000.

SANParks is developing a strategic plan to commercialisation for the period until 2011 in line with National Treasury requirements. The focus will be on a more responsible approach to tourism and commercialisation where the strategy will be used to enhance rather than replace state funding for conservation,” says Dr David Mabunda.

According the Annual Report, of the twelve concession sites in SANParks, 10 are fully operational whilst the two concessions in the Table Mountain National Park are busy with their Environmental Impact Assessments (EIAs), before they can develop.

“The monthly average concession occupancies have improved from 33 percent in April 2004 to well over 52 percent in March 2006.

Annual average occupancies have increased by 10 percent over this period. Notable increases are from Jock Safari Lodge and Singita Lebombo where occupancies rose from 45 percent and 35 percent for the financial year ending 2005 to 60% and 48% respectively.”

SANParks established a business unit, the Employee Assistance Programme (EAP) to assist ‘troubled employees’ and their families with personal and work related problems like HIV/Aids, disablity, stress, trauma and addiction.

On World Aids Day, December 1, 2005, the SANParks management team became the first group in the organisation to undergo the voluntary counselling and testing programme.

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Copper Mine Output Falls

JOHANNESBURG- Palabora Mining (Palamin) [JSE:PAM] which operates South Africa's largest copper mine in Limpopo said yesterday it had produced less refined new copper in the first half of this year than in the previous first half last year because of a planned 35-day smelter shutdown in February and March.

This occurred as the copper price reached fresh peaks. The copper price more than doubled to R58,035 ($8,084) a metric tonne at the end of last month from R23,535 ($3,278) a year ago on a combination of rand weakness and strong global commodities prices.

The company said yesterday daily production from under ground operations averaged 29,392 metric tonnes in the June quarter despite two four-day stoppages in the production hoists.

Palamin MD Keith Marshall said in the group's latest annual report, released last month, that the target was 30,000 metric tonnes a day. Palamin hoisted a total of 2.64 million metric tonnes of ore in the June quarter at a grade of 0.70%, slightly lower than the grade in the March quarter. Total mill throughput was similar to the March quarter's.

Palabora mine produced 28,500 (29,700) metric tonnes of copper in concentrates in the first half of the year, while the Palabora smelter produced 34,000 (39,300) of new copper anodes and 36,200 (37,700) metric tonnes of new refined copper. Vermiculite production also fell, in line with plan, because of a decline in the plant feed grade, while magnetite production rose.

Palamin took steps in its past financial year to become a more sustainable operation.

Marshall said in the annual report this year, that management would address one of the major constraints to under ground production - which was the age of the underground loader fleet.

Last year Palamin had to reduce its underground reserves by about 60-million metric tonnes, or five years' production, to 142 million metric tonnes because of subsidence on the northwest wall of the open pit, which made it impossible to reach some of the ore.

Palamin also said today it expects first-half headline earnings to rise to between R312 million ($43 million) and R260 million ($36 million) from the previous period’s R209 million loss ($29 million), it said today.

The company said it expects basic earnings to rise to between R300 million ($42 million) and R250 million ($35 million) and that the difference between basic and headline earnings is due to an impairment charge of one of its plants and profit on sale of fixed assets.

Headline earnings exclude capital, non-trading and some extraordinary items and is a key measure of profit in South Africa.

Palamin is 49% owned by Rio Tinto Group [NYSE:RTP] and 28.5% by Anglo American [LSE:AAL].

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More Black South Africans Visit SANParks

HOEDSPRUIT (Kruger Park Times)- According to a report released by South African National Parks (SANParks) traditional barriers that kept previously disadvantaged South Africans away from experiencing South Africa’s natural heritage are falling by the wayside.

Latest tourism figures have shown that the number of black South Africans visiting national parks operated by SANParks has increased across the board to 19.7 percent from an estimated four percent in 2003.

“As this falls comfortably with our organisational vision and goals, we are happy with the results but encourage all South Africans to consider our Parks as possible holiday destinations,” said SANParks Chief Executive Dr David Mabunda.

Of the fourteen major national parks featured in the report, which excludes Table Mountain National Park, Mapungubwe National Park leads the pack with an impressive 62.2 percent of its guest profile made up of black people. Golden Gate National Park (22.8%) and the Kruger National Park (21.4%) follow in second and third positions respectively.

Other parks including Addo Elephant National Park and Augrabies Falls National Park have also significantly improved their statistics. “There are two factors that might have influenced this phenomenal growth,” commented Dr Mabunda, “firstly, the efforts of our outreach programmes run by our People and Conservation Department and secondly the fact that this market segment is being targeted by intensive marketing and public relations campaigns.”

The statistics also confirm that the majority of guests visiting South Africa’s national parks are predominantly South Africans.

Latest figures show that 74.6 percent of visitors are South African with the rest being either SADC (0.6%) or international (24.8%). Tsitsikamma National Park receives the highest percentage of foreign guests (55.7%) followed by Addo Elephant National Park (48.2%) and Bontebok National Park (44.5%) second and third respectively.

The nine month report, ending 31 December 2005, shows that the Kruger National Park received most guests at 1,005,012 followed closely by Table Mountain National Park with 1,001,123 guests and Tsitsikamma National Park in third place with 113,368 guests.

by Lynette Strauss, Kruger Times

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Kruger Concession Income Halves

JOHANNESBURG– South African National Parks’ commercialisation strategy, which has seen the establishment of about a dozen private concessions, mainly lodges, at parks around the country, is not proving the conservation money-spinner it was hoped it might be.

In its annual report for the 2004/05 financial year, tabled at Parliament, SANParks notes there has been “a considerable drop in (lodge) concession fees”.

According to its financial statements, the fees collected have dropped by almost half- from R15.9m in 2003/04, to R8.6m last year.

The report attributes this to “financial constraints experienced by the concessionaires”, which led to a change to their contracts and the cancellation of certain fixed concession fee commitments.

“A relief mechanism was implemented during the year. The fixed concession fees were dropped to provide flexibility to the concessionaires, enabling them to adapt to fluctuating market conditions.

“While this has led to a considerable drop in the income for 2005, it is anticipated that the benefits for SANParks in the long term will surpass the initial decline in concession fees,” the report states.

When concessions were first granted to private operators, allowing them to build and operate tourism facilities within national parks, SANParks’ stated intention was to generate additional revenue for conservation.

According to the report, it appears the private lodges now brought in less last year than did SANParks’ trails and game drives, which contributed R12.6m and R14.8m respectively towards turnover.

“Many challenges are still being faced with regards to the implementation of the commercialisation strategy,” the report states.

Most of the private lodges are located in the Kruger National Park.
Income from the rental of facilities in national parks to private business- including shop and restaurant operators- was R18.2m last year, slightly down on the previous year.

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Limpopo Park Fence Removals And Annual Update

MAPUTO- Fence removal between the Kruger National Park and Mozambique’s Limpopo National Park has resumed.

The removal, which will allow for the free movement of wildlife between the two countries as part of the Great Limpopo Transfrontier Park (GLTP), stopped as a result of financial problems. Jorge Ferrão, project coordinator for the GLTP, said that the fence is being removed in phases to allow assessment to be done on the possible impact on the wildlife.

Ferrão said the goal is to remove 50km of fence by the end of the year.

Last year's highlights in the evolution of the nascent transfrontier park have been released:

Transfrontier access

Giriyondo Border Post Development

The Giriyondo Border post will be the first border crossing inside the GLTP. The South African component was completed in mid-2004. Work on the Mozambican component began in December and it is scheduled for completion by May 2005. Some utilities will be shared between the two countries. The number of tourists from South Africa who entered Mozambique in December was up 126% on the previous year. All indications are that a vast number of these tourists will travel via Kruger to Mozambique once Giriyondo is fully operational.

Crossing point over Limpopo River

Consultants undertook an investigative analysis to identify the options for the optimal crossing point over the Limpopo River to link Kruger National Park in South Africa to Gonarezhou National Park in Zimbabwe. The report investigated crossing points, bridge options, road networks, transportation options, social, economic, geotechnical and hydrological issues. The environmental issues will be investigated in the second phase. Five options were identified and discussions are ongoing. The final decision will be made at the Joint Management Board (JMB) meeting early in 2005 and forwarded to the Ministerial Meeting, also early in 2005 for approval.

Sengwe Biodiversity Corridor

Legal Proceedings

The legal process to formally proclaim the Sengwe Corridor as a wilderness area has started. This corridor is vital to link Gonarezhou to the rest of the GLTP. In June, the key stakeholders all agreed to set up the Sengwe-Tshipise Wilderness Areas Combination Authority in order to advance the process.

Upgrading of facilities

An important part of developing the GLTP is to upgrade amenities in all three national parks to an equal standard. Upgrades and development have been ongoing in all three parks.

In Gonarezhou, tourism facilities in the camps and the associated staff quarters were upgraded, including the provision of electricity. Additional accommodation units for junior staff housing were constructed. Some camps in the northern region of the park were refurbished with the conversion of chalets into lodges. Additional tourist accommodation units were constructed in the southern region of the park. Roads are being repaired, and some gravel roads have been reopened.

In Mozambique’s Limpopo National Park (LNP), tourism operators are currently being appointed to operate the 4x4 safari trails and hiking trail. It is envisaged these will become fully operational in 2005.

In Kruger the Pafuri Gate in the far northern region was officially opened following an upgrade which included the moving of the entire complex in order to facilitate further tourism development of the Makuleke Contractual Park. Also in the far north, Punda Maria Camp received seven luxury tents and a swimming pool, and Punda Maria Gate received a new building, reception area and ablution blocks.

Conservation

Animal translocations

A total of 501 animals were translocated from Kruger to the LNP, notably 10 white rhino in August. One of the objectives of introducing elephant into LNP was to enhance the movement of elephant into Mozambique and also stimulate their dynamic movement across the border. During a recent joint venture between Mozambique, South Africa's Department of Agriculture, SANParks and Peace Parks Foundation to monitor buffalo in LNP, it became clear that this objective had been met as elephant are now migrating both ways across the border between Mozambique and South Africa.

Elephant management indaba

An Indaba on the management of elephants in GLTP was held in Kruger in October, where various options were discussed. The outcome will form part of a management plan to be prepared in 2005.

International exposure

The GLTP received a great deal of international exposure in 2004. In November the International Coordinator, Dr Jorge Ferrão represented the GLTP at the 3rd IUCN World Conservation Congress held in Bangkok, Thailand where he delivered a paper and the GLTP also had a display stand. Dr Ferrão also represented the GLTP at an international symposium held in São Paulo, Brazil in October and at the same time presented the GLTP to post graduate students at the Federal University in Rio de Janeiro, Brazil. Following extensive interaction between the JMB and the editor, an article on the GLTP was published in the World Book Encyclopaedia, which is widely distributed all over the world.

Management

Strategic review workshop

In May, members of the JMB participated in a strategic workshop in South Africa. The aim of the workshop was to allow them to undertake a fresh analysis around the key issues and challenges facing the GLTP, with a view to establishing a solid base for future strategic planning. The workshop recommendations were discussed at a JMB meeting in September. These included the establishment of a secretariat that would be permanently in place, the drafting of an integrated master plan, the establishment of a road network and the terms of office of the country coordinator.

Revenue sharing decision

A revenue sharing study was undertaken, with a number of options identified and discussed around this rather complex issue. After much deliberation between the three countries, it was decided that, for the present, each park would charge its own fees for entry into the park. Reason being that there is still too much difference between the amenities and wildlife viewing opportunities available in the various parks.

GLTP Treaty ratified

While the international treaty to establish the GLTP had been signed in December 2002, Mozambican law decreed that same treaty could only be ratified once a Portuguese version had been signed. An amendment to the treaty was therefore drafted and the three ministers of the environment signed the final version, including the amendments at the GLTP Ministerial Meeting held on 20 August.

Changeover of management

In accordance with the GLTP Treaty, Zimbabwe is set to take over the coordination of the GLTP from Mozambique. To ensure a smooth transition, study visits to both Mozambique and South Africa were undertaken by the Zimbabwean staff.

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