The Minister of Mining and Energy cannot refuse to renew the EPL...

The Minister of Mining and Energy cannot refuse to renew the EPL without cause according to the Namibian Minerals Act. He would need to first write to the Company set out his concerns and give them the opportunity to respond / remedy the problem.

If the Minister subsequently rejected the application and the Minister's decision was not based on reasonable grounds or did not follow due process, MLS can take him to court.

It is also worth noting the Company is not aware of any issues with respect to the EPL application. Nor has the Minister expressed any concerns to date.

On this basis the EPL will be renewed.

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Extract from Minerals Act:

(4) The Minister shall not refuse to grant an application for the renewal of an exclusive prospecting licence -

(a) if the holder of such licence -

(i) has complied with all the terms and conditions of such licence;

(ii) has complied with the proposed programme of prospecting operations; and

(iii)has expended the expenditure in respect of such operations as in accordance with the terms of such mineral agreement;

(b) if the Minister is on reasonable grounds satisfied -

(i) with the proposed programme of prospecting operations or the proposed expenditure to be expended in respect of such operations;


(ii) that the person concerned has the technical and financial resources to carry on such prospecting operations;

(c) on the grounds thereof that such holder has contravened or failed to comply with any provision of this Act or any term and condition of such licence, unless the Minister has by notice in writing informed such holder of his or her intention to so refuse such application -

(i) setting out particulars of the contravention or failure in question; and

(ii) requiring such holder to make representations to the Minister in relation to such contravention or failure or to remedy such contravention or failure on or before a date specified in such notice, and such holder has failed to so remedy such contravention or failure or make representations.