South African tycoon Neal Froneman faces exit from business forum over sanctions call

South Africa's Presidency has said it expects Neal Froneman, the former chief executive of Sibanye-Stillwater, to withdraw from a partnership between business and the government, after he urged Washington to sanction individual South African officials rather than the country's businesses.

Presidency spokesman Vincent Magwenya called Froneman's approach unpatriotic and destructive. "As to his role in the government and business partnership, one would expect he will withdraw his participation now that he is at odds with the government," Magwenya said, BusinessDay reported on Wednesday.

The partnership brings cabinet ministers and senior officials together with business leaders, coordinated through the group Business for South Africa. A joint oversight committee meets with President Cyril Ramaphosa every quarter.

'Don't punish business'

The dispute follows an interview Froneman gave to BizNews, in which he described his recent discussions in Washington. "With my work in Washington and with the United States, we have made it very clear that the private sector and the majority of South Africans are not the problem," he said. "Therefore, don't punish business in South Africa."

Froneman said the United States should target officials who back policies favorable to Russia and Iran, as well as those advancing land expropriation without compensation, which he said had made deals with American companies harder.

The comments have drawn criticism beyond the government, with commentators accusing him of straying into diplomacy at a time of strained relations between Pretoria and Washington.

A Formula One bid at stake

The clash comes as Froneman leads a R6.7 billion plan to build a Formula One circuit in the Swartland region of the Western Cape, with a target of hosting a Grand Prix in 2031. He has acknowledged that South Africa's foreign relations could put the project at risk, but argued that a clear separation between business and government should address concerns at Liberty Media, which owns Formula One.

Froneman ran Sibanye-Stillwater, one of the world's biggest producers of platinum-group metals and gold, until his retirement, and was once among South Africa's best-paid executives. He now chairs US-based PGM Processing and copper miner Copper 360, and chairs Business Against Crime South Africa.