Mozambique Mandates State Ownership to Overhaul National Mining Sector

The government of Mozambique has proposed sweeping legislative reforms to the national mining law, mandating a minimum 15% state equity stake in all mineral projects while instituting a comprehensive ban on the export of unprocessed minerals.
This strategic pivot, scheduled for parliamentary debate on May 7, aims to rectify long-standing fiscal “gaps” that have historically prevented the state from capturing the full economic value of its vast natural resources.
By leveraging the National Mining Company (ENM) as a primary stakeholder, the administration of President Daniel Chapo intends to transform the mining sector from an extractive, export-driven model into a catalyst for domestic industrialization and local value addition.
The proposed legal framework introduces a multifaceted approach to resource management, including the allocation of 10% of total mining revenues to a dedicated local development fund.
Under the new regulations, licensing protocols will undergo a significant overhaul, with exploration permits shortened to two-to-five-year durations and mining concessions extending up to 25 years.
These reforms are accompanied by the creation of designated zones for artisanal mining and stricter oversight across the entire value chain, ensuring that mineral wealth translates into job creation and the empowerment of local firms.
Mozambique’s initiative mirrors a broader structural shift across Africa, as nations from Mali and Burkina Faso to Ghana reassert control over their critical mineral reserves.
In the Sahel, Mali recently increased its state and local ownership thresholds to 35%, while Burkina Faso has moved toward nationalizing foreign-owned gold assets.
By enforcing in-country processing and increasing state participation, these governments seek to reverse an economic imbalance where global powers capture the majority of mineral value.
As demand surges for critical minerals essential to the global energy transition, Mozambique is positioning its resources as strategic leverage to secure a more equitable share of the global economic landscape.
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