Reviewed Mining Law to be applied in Mozambique only to future concessions

11 July 2011

Maputo, Mozambique, 11 July – The new rules introduced into Mozambique’s Mining Law will only be applied to mining concessions granted in the future and current concessions would not be required to follow them, the country’s Mining Resources minister told Macauhub Friday in Maputo.

“The review of the Mining Law is being carried out through permanent dialogue between the government, the mining industry and Mozambican society and, due to policy, new rules will only be applicable to future concessions,” Esperança Bias told Macauhub in Maputo.

The minister quelled investors’ fears by saying that, “the rights acquired by concession holders will be respected.”

The large projects Law recently approved by the country’s parliament outlines that national investors must be stakeholders in certain projects, owning between 5 percent and 20 percent of such projects.

This amount, which will be regulated, may be directly transferred to the State, and these transfers should be carried out under market conditions.

The large projects Law also notes that existing contracts will be respected under the terms that they were signed.

“This position is totally coherent with our usual practices, via which the State owns modest shares of the main coal companies and consortiums in the country as well as oil and gas resources,” Bias told Macauhub. (macauhub)