Mining 2025

ANGOLA Law and Practice Contributed by: João Afonso Fialho, Marizeth Vicente and Lukeny Pascoal, VdA

institutions, local processing and dressing of minerals, or significant contributions to increase exports. The government may also authorise special tax and customs exemptions for Angolan com - panies exclusively engaged in the processing, dressing and cutting of minerals extracted in the country. Investors often seek tax stabilisation under their mineral investment contracts. However, tax sta - bilisation is seldom granted. 4.3 Transfer Tax and Capital Gains on the Sale of Mining Projects Direct and indirect transfers or sales of mineral rights/mining assets (including by means of M&A operations in and/or outside the country) may trigger the assessment of capital gains under the general rules of the Investment Income Tax Code. 5. Mining Investment and Finance 5.1 Attracting Investment for Mining Over the past six years, the Angolan government has made several political, economic and legal reforms to facilitate and attract investment in the country. Particularly in the mining sector, the government has undertaken several initiatives to enhance the sector’s performance, competitive - ness and transparency with the establishment of a new governance model, new policies and regulations for the marketing of rough diamonds and a new foreign exchange regime applicable to the sector. The opportunity to negotiate special tax incen - tives and benefits, the details of the data avail - able to the investors – as a result of the works

of the National Geology Plan (PLANAGEO) for mineral-geological investigation – and the variety and quality of the Angolan portfolio of miner - als with significant potential for economic return attract investors from all over the world. 5.2 Foreign Investment Restrictions and Approvals in the Exploration and Mining Sectors Investment in the mining sector is subject to the special investment regime established in the Mining Code. There are no limitations on for - eign investment, although additional formalities must be complied with by foreign investors in the import of investment capital and the export of dividends and profits. Such additional formalities have, nonetheless, been eased with the approval of the new foreign exchange regime applicable to the sector. The exceptions to the above principle are dia - mond artisanal production, which may only be granted to Angolan citizens, and diamond semi- industrial mining, civil construction or mining rights of mineral-rich waters, which may only be granted to companies organised under Angolan law in which Angolan citizens hold at least two thirds of the capital. 5.3 International Treaties Related to Exploration and Mining Angola has signed bilateral investments treaties or memorandums of understanding for com - mercial co-operation with a number of coun - tries, including Brazil, Cape Verde, Congo, Cuba, France, Germany, Guinea Bissau, Italy, Japan, Mozambique, Namibia, Portugal, the Russian Federation, São Tomé e Príncipe, Spain, South Africa, Switzerland, Turkey, United Arab Emir - ates, and the United Kingdom (not all of these treaties are yet in force).

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