The Ministry of Mines and Energy reported a significant surge in exploration activity, with over 600 new licence applications submitted as of December 2023.
The upward trend has continued into 2024, with an additional 400 applications received since January, bringing the total to over 1,000 new applications.
Minister of Mines and Energy Tom Alweendo said the influx of applications is a positive indicator of the growing confidence in Namibia’s mineral potential.
He said mining can create jobs, generate government revenue, and significantly boost the country’s economy.
“Regarding applications for exploration licences, we continue to notice a heightened increase in the applications. For example, as of December 2023, we had over 600 new applications that needed to be evaluated. Since January 2024 to date, we have received over 400 new applications,” Alweendo said.
He further explained that there are currently 162 valid mining licences but only 68 of those mines are actively operational.
The Minister expressed concern that the remaining licences were either on care and maintenance or had never been utilised since their issuance.
This situation, he claimed, was equally problematic as the issue with exploration licences. As a result, the Ministry adopted a stricter approach to evaluating new mining licence applications.
“To ensure that holders of mining licences do comply with the terms and conditions of their licences, we have introduced a requirement where henceforth, terms and conditions of all new mining licences shall be captured in a Mining Agreement that shall be negotiated between the Ministry and the holder of the licence,” he said.
Alweendo also said that the overwhelming number of applications has put pressure on the Ministry’s evaluation processes.
To expedite the evaluation process and ensure that only qualified applicants proceed to the exploration phase, the Ministry has implemented stricter criteria for licence approval.
Applicants must now demonstrate financial capability and technical expertise to carry out the proposed exploration work programmes.
“Given this high volume of applications, it is no surprise that it is taking a while for us to finalise the evaluation of all the applications in a timely manner. It is not uncommon for an application to take more than a year before it is evaluated,” he said.-mininandenergy.com.na
