WINDHOEK, Sept. 30 — Namibia‘s mining future looks bright owing to the high global demand for gold and uranium, but a proposed law requiring 51 percent local ownership in new projects is causing uncertainty among international investors, said a report released on Monday by the country’s Chamber of Mines.
According to the monthly mining update, elevated gold prices continue to support profitability and fiscal contributions, while uranium benefits from its critical role in the global energy transition.
“This positive price environment strengthens the investment case for new and advancing projects, such as Bannerman Energy’s Etango-8 uranium development, and Reptile Mineral Resources’ Tumas uranium project, while providing favorable conditions for the construction of Osino’s Twin Hills gold project,” the chamber said.
The chamber noted that these projects, along with the continued growth at Andrada’s Uis Tin and Lithium mines, help Namibia strengthen its position as a key supplier of essential minerals needed for global clean energy goals and for investors seeking safe investment opportunities.
However, the chamber said policy uncertainty will test the sector’s resilience. “In particular, the ongoing debate around proposals for a mandatory 51 percent local ownership in new mining projects has created a strong sense of unease among investors.”
The chamber noted that if such measures are enacted, Namibia will risk undermining its hard-earned reputation as one of the most attractive mining jurisdictions in Africa.
“Sustained stability in the regulatory environment will therefore be critical to preserve investor confidence and ensure that the strong fundamentals in gold, uranium, and battery minerals translate into tangible growth for the sector and broader economy,” it said.
Meanwhile, the Chamber of Mines said Namibia‘s mining sector continues to attract attention, bolstered by its improved standing in the 2024 Fraser Institute Survey of Mining Companies.
“Regionally, Namibia retained its position as the fourth most attractive mining investment destination in Africa, ranking second on the Policy Perception Index, which reflects its strong regulatory appeal,” the chamber said.
These shifts highlight Namibia‘s potential to capture new investment in uranium, copper, lithium, and rare earth projects, provided it sustains a stable and competitive policy environment, it said. (Xinhua)
