Feb. 5 (Bloomberg) -- South Africa, the world's biggest producer of precious metals, said a change is ``imminent'' in mining laws aimed at redistributing assets to black people.

``Significant progress is being made,'' Mines Minister Buyelwa Sonjica said in a speech in Cape Town today at the Mining Indaba conference. ``An announcement of proposed changes is imminent.''

The minister said last year South Africa will change a 2004 law, making it clearer and smoothing its implementation. Under the legislation, mining companies must reapply by 2009 for the right to exploit resources and prospects. The law increases scrutiny of applications to try to ensure wealth is being spread to the black majority to help make up for discrimination during apartheid.

South African is also drafting a law aimed at encouraging the processing of gold, platinum, diamonds and other commodities domestically.

``In December of last year, the draft bill was released by our minister of finance,'' Sonjica said. ``We envisage that this bill will be finalized before 2009. It is on the agenda for parliament this year.''

Power cuts are curbing mine production, Sonjica also said. Safety at mines in South Africa, the world's biggest producer of platinum, chrome, manganese and vanadium, is ``far from impressive,'' she added.

To contact the reporter on this story: Carli Lourens in Johannesburg at clourens@bloomberg.net

Last Updated: February 5, 2008 02:50 EST