MOZAMBIQUE Law and Practice Contributed by: João Afonso Fialho, Guilherme Daniel and Helna Vitoldás, VdA
VdA Rua Dom Luís I 28 1200-151 Lisboa Portugal Tel: +351 21 311 3400 Email: vieiradealmeida@vda.pt Web: www.vda.pt/en
1. Mining Law: General Framework 1.1 Main Features of the Mining Industry Mozambique has been in the spotlight for its mineral wealth, which encourages investment in the mining industry. This is one of the country’s most rapidly growing industries and one of the principal drivers of its economy. Mozambique’s large and diverse mineral deposits, which include coal (high-quality coking coal and ther - mal coal), graphite, iron ore, titanium, apatite, marble, bentonite, bauxite, kaolin, copper, gold, rubies and tantalum, have considerable growth potential and present several opportunities in the energy transition era. The country’s journey to achieving success is intertwined with the production of heavy sand (geared towards minerals used in a wide range of industrial applications, such as zirconium, ilmen - ite and titanium) and coal, which continues to be the most-extracted mineral, making Mozam - bique a key player in the global coal markets. Despite the downward trend in the production of graphite in 2024, Mozambique’s graphite depos - its are expected to continue playing a pivotal role in the electric vehicles industry, which reaches new heights every year. Ruby mining also plays a huge role in the Mozambican economy, with
Mozambique producing prolific quantities of rubies of all grades. In the first nine months of 2024, Mozambique produced 3,145,391 carats of rubies, exceed - ing the annual forecast of 3,080,895 carats. This significant result illustrates Mozambique’s grow - ing role in the global gemstone market where there is strong demand for high-quality rubies. Since 2014, the country’s ruby auctions have generated a total of USD1.12 billion in revenue, reflecting the robustness and economic impact of the sector. Exceeding the targets in 2024 rein - forces the importance of this resource for the economy and consolidates Mozambique as one of the main global suppliers of rubies. Mozambique’s economic growth and integra - tion are largely driven by its strategic location in southern Africa. With direct access to the Indian Ocean and borders with landlocked countries such as Zimbabwe and Malawi, Mozambique serves as an important trade route for the region. This privileged position offers significant oppor - tunities for the development of transport and logistics infrastructure, facilitating trade and strengthening economic relations with its neigh - bouring countries. In addition, Mozambique’s ports are key connection points, allowing the
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