Mozambique Mandates 15% State Mining Stakes as New Law Bars Most Unprocessed Mineral Exports
Updated
Updated · Reuters · Jun 4
Mozambique Mandates 15% State Mining Stakes as New Law Bars Most Unprocessed Mineral Exports
3 articles · Updated · Reuters · Jun 4
Summary
President Daniel Chapo signed a mining law requiring a minimum 15% free-carried, non-dilutable state stake in all mining projects across the value chain.
The law also bans exports of unprocessed or semi-processed minerals unless ministers grant exemptions tied to approved plans for eventual local processing.
Maputo says the measure will strengthen control of strategic resources and capture more value as demand rises for battery materials such as graphite, where Mozambique ranks as the world's No. 3 producer.
It remains unclear whether the rules will reach existing mines, many of which operate under long-term agreements, including Syrah Resources' Balama graphite mine and Gemfields' Montepuez ruby operation.
The move aligns Mozambique with other African producers, including Zimbabwe and the Democratic Republic of Congo, that are tightening raw-mineral export rules to keep more economic benefit at home.