South Africa's Department of Mineral Resources (DMR) said it has finished auditing the state-owned mining assets, ahead of compiling a consolidation proposal for the government, Mining Weekly reported.

"The Department of Mineral Resources has completed the auditing of state exposure to mining, and is preparing a proposition to cabinet to create a vehicle of consolidating all state mining assets into one vehicle," a DMR statement said.

The ruling African National Congress party stated in the past that it would rather form a state mining firm instead of nationalizing the mines.

President Jacob Zuma said last week nationalization of South Africa's mines and other economic sectors is not part of his government’s policy.

South Africa is the world's biggest platinum producer and the world's No.3 gold producer.