By: Nghiinomenwa-vali Hangala
To address the limited participation of Namibians in the mining sector, the Ministry of Industries, Mines, and Energy has committed to supporting local businesses and developing and implementing local content policies for the sector.
This includes supporting Epangelo Mining Company (EMC), a wholly state-owned Namibian mining entity, which is engaged in mineral exploration, mining, processing, beneficiation, and strategic investments.
The Ministry noted this in its 5-year Strategic Plan.
Currently, Namibia has around 26 active mines and a couple that are being developed. However, the majority, if not all, fall under the ownership of foreign investors and miners.
These mines have generated N$64.2 billion in revenue from selling what they extracted in Namibia last year.
“There is limited participation of Namibians in the mining sector. This issue is further compounded by Namibia’s suboptimal benefits from natural resource exploitation,” the Strategy reads.
Therefore, the Ministry is committed to supporting local businesses, developing and implementing local content policies, and empowering youth with knowledge and opportunities to participate in the mining industry.
The Ministry noted that EMC plays a critical role in ensuring the strategic exploitation and optimal beneficiation of the country’s mineral resources.
That said, “the company faces challenges related to limited legislative backing and inadequate financial support, which constrain its ability to execute its mandate fully,” MIME noted.
In response, the Ministry has committed, over the next 4 years, to mobilising funding and facilitating the necessary legislative support to enable EMC to deliver on its mandate effectively.
Adding that with an enabling legal framework and adequate financial resources in place, Epangelo Mining Company will be better positioned to create value for the country.
This is by undertaking exploration and development of mineral licences, and providing technical support to Exclusive Prospecting Licence (EPL) holders and small-scale miners.
Moreover, enhancing the participation of Epangelo and other Namibians in the mining sector.
According to the Ministry’s assessment, the country currently lacks comprehensive policy guidelines to facilitate meaningful local participation in the mineral value chain.
To address this, the Ministry aims to formulate, adopt, and implement a Local Content Policy for the mining sector during the period of this plan.
The policy will serve as the national framework to guide and promote increased involvement of Namibians in the mineral sector.
Furthermore, MIME also plans on collaborating with relevant stakeholders to strengthen technical and vocational training, expand apprenticeships, and provide financial and mentorship support to local companies to facilitate their participation in the mining industry.
Beyond EMC’s support, MIME has also committed to building the capacities of Small-Scale Miners (SSMs) in the country by training them on introductory geology, business, and environmental management.
Additionally, they will be supported with machinery through the Equipment Aid Scheme (EAS).
The overarching goal is to enhance SSMs’ production capacity through sustainable and environmentally friendly operations, as well as adherence to local and international standards.
