Locals in Namibia set to own 15% of new mining companies.

All new mining companies in Namibia are required to have a 15% local ownership. Image credit: WhyAfrica

17 March 2021 – With new regulations, locals in Namibia are set to own 15% of all mining companies. The Namibian Ministry of Mines and Energy recently announced that from 1 April this year, all applications for a mining licence in Namibia must have 15% local ownership.

The move to localise ownership of Namibian mining licences follows the completion last year of a review of the Mining Act which covers prospecting and mining activities. The ministry announced in a press release that all “applications by Namibian nationals for the transfer, cessation and assignment of mineral licences to foreign companies or persons may be granted provided 15% interest in the company is retained locally”.

The latest economic outlook by the Bank of Namibia predicts that the mining and quarrying industries will record a 5.4% growth this year. Most of this growth is expected to come from diamond production, but uranium is still expected to post negative growth this year. The ministry also announced that the suspension on accepting and processing of new applications for retail and wholesale petroleum licences have now been lifted.

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