Seven mining companies lose concessions over ‘serious’ failures

Rwanda Mining, Petroleum and Gas Board (RMB) has revoked licences of seven mining companies over “serious deficiencies,” including failure to meet environmental and labour standards. ALSO READ: Rwanda’s mining sector ‘holds $150bn potential’ The revocations announced on January 3, followed “repeated failures to remedy serious deficiencies highlighted in official cancellation warnings issued earlier,” the RMB said in a statement seen by The New Times, indicating that the decision took immediate effect. ALSO READ: Govt cracks down on 100 illegal mines Breached safety, environmental, labour standards The companies, most of them with concessions in Western Province, “breached safety, environmental, and labour standards, and have not met their investment commitments.” One of the companies, Ngali Mining, lost a licence in Ngororero District; DEMIKARU lost two licences in Rubavu and Rutsiro Districts; ETS MUNSAD Minerals lost one licence in Ngororero District; while FX TUGIRANUBUMWE lost one concession in Kamonyi District. ALSO READ: Mining: Officials confident sector will fetch $1b by end of year There is also Ngororero Mining Company (NMC), which lost two licences in Ngororero (Nyamisa and Nyabisindu); Ets R.M. & Sons which lost two concessions in Bugesera District; and Union Stone, which lost its licence in Rwankuba, in Gatsibo District. “These companies have breached safety, environmental, and labour standards, and have not met their investment commitments,” the statement reads in part. The RMB said the mining license cancellations are part of the government's efforts to implement measures that support and professionalize mining operations. Except for Ngali Mining, which extracted amethyst, all the other companies dealt in tin (cassiterite), tungsten (wolframite), and tantalum (coltan), which are collectively referred to as 3Ts. ALSO READ: Gold tops Rwanda mineral exports ALSO READ: Govt closes 13 mining concessions over safety, environmental issues In November 2023, the RMB cancelled 13 licences of 10 mining companies due to “serious and persistent shortcomings” related to safety, environmental and labour standards as well as investment commitments. Several other companies with serious deficiencies were given cancellation warning notices. “Through collaboration with other Government institutions, RMB will continue to ensure the security and proper decommissioning of abandoned concessions while preparing for responsible new investments,” the statement said. ALSO READ: 2023 recap: A look at Rwanda’s mineral returns The regulator encouraged all licence holders to continuously enhance their operations and maintain the highest standards. “This is essential for ensuring that mining remains an enabler of our country's sustainable development,” it said. The mining sector is one of Rwanda’s main export revenue earners. In the first nine months of 2023, mineral exports raked in more than $851 million (over $1.6 billion) up from $584 million over the same period in 2022. In 2022, Rwanda recorded total mineral export earnings of over $772 million, an increase from $516 million in 2021. In 2024, the government targets $1,5 billion in annual mineral export revenue, as it seeks to attract investments in the mining sector by positioning the country as a regional hub for mineral processing and trading.

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Seven mining companies lose concessions over ‘serious’ failures