GoZ Suspends Issuance of Mining Licenses

The Government of Zimbabwe has, with immediate, effect suspended processing applications for new mining titles seeking rights to extraction of diamonds, copper, lithium, nickel and rare earth which are considered strategic minerals.

The government cites an overwhelming increase in demand for mining claims, reported correspondence signed by Permanent Secretary for Mines and Mining Development Mr Pfungwa Kunaka.

The correspondence dated December 19, 2022, was addressed to provincial mining directors and the deputy cadastre registrar and the mining affairs board secretary.

The Government has also directed that on applications for inspection certificates, the applicants should submit:

1. a declaration of the amount of work carried out on mining claims,
2.  a declaration of minerals contained in the ore body being mined.

Reads part of the correspondence:

We have of late seen flooding of applications for mining titles for minerals which have now been deemed strategic in the upcoming Mines and Minerals Amendment Bill.

It has thus become necessary that in the national interest we temporarily stop acceptance and processing of applications for mining titles for the following minerals until further notice: diamonds, copper, lithium, nickel, and rare earth minerals. The above directives are to be implemented with immediate effect.

It has come to the Ministry’s attention that some miners have not been declaring discovery of different minerals from the one that they are registered for. This non-declaration has led to prejudice to the growth of the mining sector economy as in some instances high-value minerals are involved.

Accordingly, you are hereby directed to ensure that on applications for inspection certificates the applicants submit a declaration of the amount of work carried out as well as a declaration of minerals contained in the ore body being mined.

This, it said, should be backed by an assay certificate issued by an approved laboratory. The government recently banned the exportation of raw lithium.

The deputy cadastre registrar and mining affairs board secretary are now required to undertake frequently targeted inspections to prevent leakages and losses while monthly reports of such inspections need to be submitted to the Ministry of Mines and Mining Development.

In 2019, the Government launched a US$12 billion mining industry strategic roadmap by next year aimed at increasing production in the sector from the low levels of about US$2.7 billion in 2018. Authorities say the sector has grown to about US$5.3 billion in 2021 and is expected to reach US$8 billion this year.