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Mozambique

Legislation

  • Mining Law 2014
  • Mining Law Regulations 2015
  • Decree 26/2004 on the EIA Process

Regulatory Risk Rating

Severe
Regulatory Risk

Regulatory Corruption Risk

Very High
Regulatory Corruption Risk

Corruption Exposure Risk

Very High
Corruption Exposure Risk
Regulatory Risk Rating Factors Risk Level
First Come / First Serve Subscribe
Application Critiera Subscribe
Duration Subscribe
Right to Renew Subscribe
Competing Licences Subscribe
Mineral Coverage Subscribe
Right to Mine Subscribe
Criteria for Mining Rights Subscribe
Tenure Subscribe
Surface Rights Subscribe
Government Take Subscribe
Transfer Rights Subscribe
Change of Control Subscribe
EIA Process Subscribe
Power to Revoke Subscribe
Age of Legislation Subscribe
Other Factors Subscribe

One imagines, when reading the law, a piece of legislation being passed in a flurry with no review by an upper chamber; the law contains numerous conceptual and drafting weaknesses that one would expect to find in an initial draft of legislation (perhaps). More problematic are concepts such as listing on the local stock exchange (if holding a Mining Concession) and processing minerals in-country "if the economic viability justifies it". These are signs of legislation passed (or at least conceptualised) at the height of a commodity boom; a host of supplementary regulations have ultimately been found necessary to paper over the cracks left by a poorly conceived governing text.

Contents

Legislation

  • Mining Law 2014
  • Mining Law Regulations 2015
  • Decree 26/2004 on the EIA Process

Regulatory Risk Rating

Severe
Regulatory Risk

Regulatory Corruption Risk

Very High
Regulatory Corruption Risk

Corruption Exposure Risk

Very High
Corruption Exposure Risk
Regulatory Risk Rating Factors Risk Level
First Come / First Serve Subscribe
Application Critiera Subscribe
Duration Subscribe
Right to Renew Subscribe
Competing Licences Subscribe
Mineral Coverage Subscribe
Right to Mine Subscribe
Criteria for Mining Rights Subscribe
Tenure Subscribe
Surface Rights Subscribe
Government Take Subscribe
Transfer Rights Subscribe
Change of Control Subscribe
EIA Process Subscribe
Power to Revoke Subscribe
Age of Legislation Subscribe
Other Factors Subscribe

Overview

Mozambique has a substantial endowment of natural resources with significant quantities of coal, iron ore, bauxite, copper and gold (OECD 2017). The country produces significant quantities of mineral sands (ilmenite and zircon), aluminium and coal, as well as beryllium and tantalum. The economic importance of mining and quarrying has grown in the last decade with these activities accounting for 7% of GDP in 2016, up from 2.4% in 2011 (African Development Bank Group 2018). That said, there appears to a large volume of resources that have yet to be exploited and the industry remains relatively undeveloped. There are predictions that the exploration and exploitation of these resources, in particular gold and graphite, will result in continued economic growth over the coming years (United States Department of Commerce 2019).

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