WINDHOEK There is growing uncertainty following Namibias signing of a N$7.8 billion uranium investment deal with Russia three weeks ago that sparked talk that Epangelo Mining outfit would partner a Russian company to develop the Rssing South uranium project, currently owned by Australias Extract Resources.
Rssing South, believed to be one of the largest untapped uranium deposits in the country, is wholly owned by Extract Resources, but Rosatom, Russians state atomic energy corporation, has officially expressed interest in the same deposit. Epangelo, a wholly state-owned mining company, established to actively involve Namibia in her mineral riches, has also expressed interest in the Rssing South project.
Rosatom is allegedly keen to muscle in on Rssing South on the basis that Extract has failed to develop the project within the deadline provided by the Ministry of Mines and Energy when it issued the Australian company with an Exclusive Exploration License (EPL) about three years ago.
Extracts Chief Executive Officer Jonathan Leslie told New Era from Toronto, Canada, yesterday that Rssing South is wholly owned by his company and any prospects of bringing partners on board for the project would be subject to his companys approval.
Leslie also dismissed talk in Russia that his company has failed to meet the deadline set by the Namibian government to develop the mine.
The Namibian government is happy with the progress we have made so far. We have been hearing these reports for three weeks now but the Namibian government has promised that it would not interfere in our commercial negotiations with third parties, Leslie said.
New Era understands that when President Hifikepunye Pohamba led a delegation of government and business personalities to Moscow last month, Rosatom management told the Namibian representatives that it would develop Rssing South quickly and efficiently.
Chairperson of Epangelo Mining, Advocate Ellaine Samson told New Era upon inquiry yesterday that uranium tops our mineral interest, adding that she wont deny that weve an interest in the Rssing South project.
Samson has, however, maintained that her company is not in the know of any attempts to muscle out Extract from the project, saying the Australian company is legally the owner of the project.
It would be pre-empting to say we intend to take over the project. Namibia is a law respecting country and anything has to be a result of mutual negotiations, she said.
Leslie revealed that his company is currently sitting with a proposal by Epangelo Mining, in which the Namibian parastatal has expressed interest in the project. We spoke to Epangelo about this but no agreement has been reached, he said.
Samson is, however, adamant that it would only be fair if the Namibian people, through Epangelo, get equities in Rssing South, which is estimated to produce 15 million pounds of uranium oxide per year.
How would a person living in Tsumkwe benefit from the countrys mineral riches, Samson asks.
With regard to Epangelos partnership with the Russian company, Samson admits plans are on the cards to set up a joint task force that would see Russias Atomredmetzoloto (ARMZ) forging a partnership with the Namibian company.
The agreement was signed at the highest level by the two (Namibia and Russias) heads of state. We are not privy to the details of the agreement, but allegations that we are trying to take over Rssing South are unfortunate and disrespectful to the decision taken by the two presidents, she said.
Mark Hohnen, chairman of Londons Kalahari Minerals, which owns majority shares in Extract, when approached for comment, also appeared disturbed at news that plans are on the cards to wrestle Rssing South from the Perth-based mining concern. Several messages left at the office of Mining Commissioner in the Ministry of Mines and Energy, Erasmus Shivolo, for his comment, went unanswered.
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