Minister Clarifies Khoemacau Regulatory Status

Government has no negotiated agreement with MMG Limited but has instead granted Khoemacau Copper Mining (KCM- Khoemacau) with a Mining Licence. Answering a parliamentary question on Tuesday, Minister of Minerals and Energy, Ms Bogolo Kenewendo said the licence was granted in 2015 and valid for 20 years in accordance with Section 39 of the Mines and Minerals Act and therefore the conditions of the mining licence were aligned with the legislation. Minister Kenewendo also told Parliament that agreements were negotiated for diamonds as required under Section 51 of the Mines and Minerals Act, however for other minerals government had the option to acquire up to 24 per cent shares as per section 40 of the same Act.

Additionally, she said in the case of Khoemacau mining, government had forgone their option to get a stake at the time as it was not favourable to invest in the business. She added that Khoemacau exported copper contained in concentrate and since opening of the mine 587,526 tonnes of concentrate containing 177,446 tonnes of copper had been exported to date, while 40,176 tonnes of copper had been exported annually since the mine started operations. Furthermore, she indicated that government, through the Ministry of Minerals Energy had seen the need for value addition in minerals, hence amendments to the Mines and Minerals were recently enacted.

She said the ministry had also developed a strategy for beneficiation and value addition (MRDEEV). “While there is appreciation that refinery or smelter project are very capital intensive and cannot be done on a loss, companies and investors also need to be given the opportunity to carry out bankable feasibility studies to determine the business case,” she said. Again, the minister told Parliament that Khoemacau Copper Mining had spent over P1 billion on citizen contractors in 2025, having signed a Citizen Economic Empowerment Policy (CEEP) in January this year and employed a dedicated CEEP coordinator to show committed efforts in empowering citizens.

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She said the company continued to train citizens through their mining contractors, who were also utilised by other local mining companies. “The company currently employs 3,200 people including contractors. At the peak of their expansion project, which I recently officiated its groundbreaking, the mine will employ 5,500 employees. Concentrate produce annually is 146,000 tonnes and given the Khoemacau exploration programme, we expect a mine life beyond 2050,” the minister said.

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