MINES minister Tom Alweendo has signalled that he is planning to shut down Sperrgebiet Diamond Mine’s operations should the diamond mining company not prove that it can revive its actual mining operation at the mine situated at Elizabeth Bay, south of Lüderitz.
The Issue has learned that Alweendo gave the company until the end of July to prove that it has a comprehensive plan to revive the mine and start actual mining operations. Failure to do so, he will revoke the company’s mining licence.
This development has, however, been cloaked in secrecy, with both the ministry and the company refusing to respond to questions about the ultimatum. Alweendo did not respond to questions for two weeks, while mining commissioner Isabella Chirchir referred questions to Alweendo and the ministry’s executive director, Penda Iithindi.
SDM representative Grant Flanagan also did not respond to detailed questions sent over a week ago.
The Issue understands Alweendo’s move was motivated by the fact that the mining company found itself mired in several disputes, including a court dispute with shareholder Lewcor Mining.
Ministry officials briefed on the matter said the ultimatum came as a result of the ministry concluding that SDM has not fulfilled all its obligations and requirements set out in their mining licence. A significant part of what irked the ministry is the fact that mining at Elizabeth Bay has been suspended for an extended period, while the ministry wishes to see mining operations that will create jobs and boost the Lüderitz economy.
BLOCKING DEVELOPMENT
Despite efforts by mines minister Alweendo to kick-start mining operations, SDM finds itself accused of being an obstacle to major renewable energy projects sanctioned by the central government.
SDM’s Elizabeth Bay’s mining licence is situated on a vast piece of land in the south of Namibia that has been restricted for over 100 years. It is known as the Sperrgebiet. The SDM’s mining licence starts with land on Possession Island, which is just south of Elizabeth Bay and about 40 kilometres south of Lüderitz, and goes all the way north to Hottentot Bay, which is about 62km north of Lüderitz. This means that even the land between Lüderitz airport and the town is part of this mining licence, which prohibits the town from expanding further east. This is despite the expected boom, while SDM is refusing to grant the town council access to the land for town expansion purposes. This is simply because the said area still falls under a restricted area.
