Liberia’s Mines & Energy Ministry Issues Termination And Default Notices To Several Mining Companies

According to a citation issued on October 12, 2022 by the Ministry of Mines and Energy said, the Government of Liberia through the Ministry of Mines and Energy continues carve out policies and implement existing regulatory frameworks to enhance the mineral sector of Liberia.

To improve our regulatory oversight, the Ministry has embarked on the following:

1. Begun the process of reviewing the existing 2000 Minerals and Mining Laws of Liberia;
2. Banned the use of dredges and mercury during gold mining activities on our water bodies;
3. Banned the use of heavy earth moving equipment within non-Class B mining license areas;
4. Introduction of ASM identification cards;
5. Established the Artisanal and Small-scale Mining Sector Working Group (ASMWG)
6. Working collaboratively with the FDA and the World Bank through Redd++ on the implementation of Smart Mining techniques during ASM operations;

7. Establishment of the Special Mineral Task Forces (SMTF);and
8. Issuance of Default Notices and Termination Notices to some Mineral Exploration license Holders that are not in compliance with the Mineral Exploration Regulations and the licenses they possessed.

For this press release, we will focus on the Notices issued to mineral exploration license holders.

The Ministry has issued Termination Notices and Default Notices to fifteen (15) Mineral Exploration license holders. These notices will affect twenty-seven (27) Mineral Exploration Licenses. The affected companies have either not made the requisite filings required by Section 4.1 (a), Sec 12.1 (a) or Sec. 17.1 (c) of the Mineral Exploration Regulations of Liberia. As such,

some of these licenses automatically expires at the end of the Initial Term of the Extended Term without requirement of action or notification by the Minister. As the result of these notices, the companies have the right to request hearing to contest the Ministry’s justification for termination according to Sec. 17.2 of the Mineral Exploration Regulations of Liberia.

As for those licenses that were issued Notices of Default, either the companies have not made the requisite filings required by Section 4.1 (a) within the period provided in such Section according to Sec 12.1 (a) of the Mineral Exploration Regulations, or there is no evidence of the 2% of the approved work budget for the affected licenses that apparently could neither be calculated nor verified for the periods according to Sec 9.3(b) of the Mineral Exploration Regulations; or the companies have not submitted the required Annual Environmental Audited Reports for the affected license(s) during the period under review according to Sec.10.2 of the Mineral Exploration Regulations.

Those companies and licenses affected include but not limited to: