Mining remains an economic mainstay
‘Green shoots’ on the horizon
Namibia's Mining and Conference Expo returns for its 11th edition, spearheaded by the Chamber of Mines of Namibia.
Recognising mining’s importance as the bedrock of Namibia’s growth, the mining industry recorded a strong growth of 18.9% in 2023, increasing its GDP contribution from 11.9% in 2022 to 14.4% in 2023. Additionally, the expanding industry contributed to a 12.6% rise in direct employment compared to 2022. In 2023, the total taxes paid by the mining sector amounted to N$6.861 billion, marking a significant increase of 55.9% from N$4.401 billion in 2022.
The gross fixed capital formation also saw substantial growth, rising from N$3.480 billion in 2022 to N$5.908 billion in 2023. The sector’s revenue reached N$51.572 billion in 2023, reflecting a 36% increase from N$37.961 billion in 2022.
Reflecting on the remarkable achievements and trends, this year’s Mining Expo and Conference will highlight the potential within Namibia’s mining sector under the theme 'Green Shoots for Namibia’s Mining Industry: A Season of Opportunity and Growth to Drive Economic Expansion’.
“This theme underscores the new growth and opportunities emerging in the industry, driven by a resurging uranium sub-sector, a new gold mine, growing potential in the oil and gas sector, and strategic investments to increase the life of mines of existing operations. As the mining industry plays a pivotal role in Namibia’s economy, the event aims to spotlight these advancements and their potential to stimulate substantial economic expansion," the Chamber of Mines said in a statement.
Critical player
The green shoots for Namibia’s mining sector are mostly hinged on a resurging uranium market, as nuclear energy is emerging as a prominent and sustainable source of baseload power worldwide. Over the past two years, the uranium market has seen significant growth, with prices surpassing the US$100/lb mark in January 2024 due to the gradual depletion of utility stockpiles and stagnant supply levels.
This positive trend is expected to drive increased production at Namibia’s key uranium mines, such as Rössing and Husab, as well as the resumption of operations at Langer Heinrich and the development of new projects, namely Bannerman’s Etango-8 project and Deep Yellow’s Tumas project.
These developments position Namibia as a critical player in the global nuclear energy market, contributing to sustainable energy solutions and economic growth. Other avenues of growth are also being created by up-coming projects in battery minerals and precious metals.
Notably, Namibia will soon see the development of its third gold mine, the Twin Hills project, currently owned by Osino Resources. Osino Resources has accepted an offer by Yinati Gold to acquire and develop this project, which is pending the required approvals from the various regulatory authorities. Once the transaction is finalised, the new owners will commence with the development of the mine.
Annual expo
The Chamber of Mines this week announced the 11th edition of the Mining Expo and Conference, scheduled for August 7 and 8, which will take place at the Windhoek Show Grounds.
This year's event is proudly sponsored by RMB, a leading financial services provider to Namibia’s mining sector. To date, the 2024 Mining Expo has already received bookings from 145 companies, occupying 242 booths.
The 2024 event will feature a wide range of exhibitors, showcasing the latest innovations and technologies that are propelling the industry forward. Exhibitors and attendees can look forward to concurrent activities such as the mining conference, the supplier's platform, and business-to-business networking sessions.
In recent years, the industry has seen robust growth, driven by increased production and new investments. The Expo and Conference will further support this growth by fostering knowledge exchange, cooperation, and innovative thinking among industry professionals.