Following the disruptions from October 2024 to January 2025, owing to violent post-election protests and attacks, Mozambique’s mining sector will need to place even more emphasis on strengthening environmental, social and governance (ESG) frameworks, says Mozambique Chamber of Mines board chairperson Geert Klok.

The protests disrupted logistics, in particular in the south of the country, which also impacted mining companies in the region. Blockades of mines and mine invasions were also reported during this period, while there were indications that smuggling syndicates behind illegal mining activities may have encouraged some of the mine invasions.

Klok tells Mining Weekly that the events brought to the fore the critical importance of maintaining strong relationships with mine host communities.

“A strong ESG policy should be in place from the very beginning, ideally as early as the exploration stage, even when a mining company has only a small on-the-ground presence, perhaps operating seasonally with just a team of geologists.”

Early engagement is vital for managing expectations and gaining a thorough understanding of local communities’ needs, concerns and aspirations. The ESG process, he adds, must be handled with care, as building open and transparent communication channels is critical.

“In challenging or unstable situations, it is often these very communities that can offer support and protection, provided a strong, trust-based relationship has been established from the outset.”

Klok remains optimistic that recent changes and reforms, prompted in part by political dissatisfaction, may pave the way for more inclusive and mutually beneficial growth for the communities and mining industry.

The appointment of newly inaugurated Mineral Resources and Energy Minister Estevão Pale has contributed positively to this sentiment, with Pale having a background in mining, when he served as National Department for Mining director.

“This is especially important at a time when legislation and policies are under review. Given the long-term nature of the mining industry, it’s extremely helpful to have someone who knows where we’re coming from and understands the trajectory of the sector. We hope he also recognises the importance of legislative stability,” adds Klok.

A key priority under Pale’s leadership is the comprehensive review of Mozambique’s mining cadastre. In this regard, efforts are under way to enhance the cadastre’s functionality – an issue the Mozambique Chamber of Mines has long flagged as a critical area in need of reform.

“The mining cadastre has been a bottleneck, and we’ve received many complaints about it from our members. It’s encouraging that the ministry acknowledges the issue and has begun addressing it. We are hopeful that there will be meaningful progress within the year,” he says.

Timely Legislative Review

Since Mozambique’s current mining legislation came into force in 2014, the domestic and global landscapes have evolved significantly, particularly in response to the energy transition and surging global demand for critical raw materials.

In this context, Klok describes the ongoing legislative review as “timely”, highlighting that Mozambique has a range of critical raw materials, making it essential for the country’s legal framework to reflect this evolving dynamic.

For example, the country’s mining sector needs a clear national definition of what constitutes a critical raw material, as Maputo’s definition may differ from what the EU or the US considers to be critical minerals. However, Klok adds that Mozambique has yet to define this criteria.

Nonetheless, he tells Mining Weekly that the Mozambique Chamber of Mines is preparing for the upcoming public consultation process and is discussing proposed amendments to the legislation.

Despite its critical mineral resources, Mozambique is still in the early stages of defining its role in the global supply chain for the energy transition.

As for the energy transition’s minerals requirement, Klok anticipates a substantial rise in demand for critical raw materials, such as graphite and lithium, which are regarded as major growth drivers for the country.

However, he notes that exploration remains subdued, owing largely to limited funding available to junior mining companies and an unpredictable political and economic climate.

Prolonged delays in exploration permit approvals also remain a challenge, but Klok notes encouraging signs of progress in heavy mineral sands projects along Mozambique’s coastline, while gold, lithium and rare earth minerals are attracting attention, owing to global market demand.

“The potential for developing the mining industry in the northern provinces, despite ongoing insurgency, is significant,” he concludes.