The parliamentary standing committee on natural resources says a joint venture’s mining of lithium at Uis is legal.
This follows an investigation into allegations of illegal mining in the area.
The committee’s report confirmed that the joint venture between Long Fire Investment and Xinfeng Investment had presented valid legal documents proving their operations are conducted under exclusive prospecting licence (EPL) 8 397 and mining claims 73 409 to 73 418.
“The joint venture presented legal documents on its lithium mining at Uis under EPL 8 397 and mining claims numbers (73 409 to 73 418) at Uis. Hence their lithium mining activities at Uis were proven to be legal,” the committee says.
It says Xinfeng has entered into agreements with the Dâure Daman Traditional Authority to offer the local community developmental contributions.
These included monthly surface rights payments of N$10 000, with a 20% annual increment, along with the donation of 20 chairs and one computer to the traditional authority.
The company also promises to build between five and 10 rooms made of metal sheets, erect fencing, and improve gravel roads, water storage systems, and purification units.
The report further reveals that land rental payments totalling N$70 000 were deposited into the traditional authority’s Standard Bank account between December 2022 and June 2023.
CONCERNS
However, despite the legal backing of the mining activities, the committee raises concerns about the lack of proper community consultation.
The community further indicates that the money paid to the Dâure Daman Traditional Authority by Xingfeng was deposited into a NamPost account of Dâure Daman, which is an operational fund, and not into a trust account as per the Traditional Authorities Act.
“The community expressed further that the blasting of rocks disrupted the biodiversity in the area, which could be avoided if the investors would have consulted.
“The community further explained that Xingfeng was not mining sustainably – they were exploiting the cover of testing samples i a very short time,” the committee says.
Meanwhile, during consultations with environmental commissioner Timoteus Mufeti he informed the committee that the Environmental Management Act was in the process of being amended to address all implementation shortcomings.
“He pointed out that the public consultations were very limited and the law stipulated that the advertisement for objections should be placed in newspapers, however, the environmental commissioner acknowledged that not all communities have access to newspapers on time,” the committee says.
Meanwhile, community members say most engineers employed by the joint venture do not speak English, limiting communication with Namibian workers.
The committee recommends that the Ministry of Labour, Industrial Relations and Employment Creation ensure that Xinfeng and Long Fire Investment implement health insurance and regular check-ups for employees, and that Chinese employees are able to speak English as the country’s official language – either through training or upon employment.
It further recommends that the Ministry of Mines and Energy avoid issuing investors EPLs before the respective traditional authorities have given their consent.
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