namibia - govt pockets all rights to mine u, page-6

Windhoek, Namibia --- MININGREVIEW.COM --- 21 April 2011 - The government of Namibia expects investment of US$3.5 billion in its mining sector over the next five years, and it estimates that the mining industry will account for at least 15% of its economic output.

Revealing these statistics as he tabled the budget for his ministry here, mines and energy minister Isak Katali said: �The mining sector informed us that advance projects, those either committed to or under construction, are estimated at N$24 billion.�

He went on to say: �Mining contributed about 15% to Namibia�s GDP in the previous financial year (to March 2011) and accounted for more than 50% of export earnings.�

The minister added that the recently established state mining company, Epangelo Mining, would be given a competitive advantage.

�Cabinet recently approved a submission to declare uranium, copper, gold, zinc and coal as strategic minerals with a view to allowing the exclusive exploration and mining of these minerals by the state mining company."

This means that any other mining company intending to mine these newly declared strategic minerals would have to �do so jointly with Epangelo Mining�, Katali told AFP.

Namibia is the world�s fourth largest uranium producer, with three mines operating and at least one more, owned by Areva of France, starting production next year.