46. Persons who may apply for, or for transfer of, mineral licences or for approval to grant, cede or assign interests in such licences or to be joined as joint holders of such licences or interests.

Subject to the provisions of this Act, a mineral licence shall not be granted or transferred or any interest in such mineral licence be granted, ceded or assigned to any person other than -

(a) a company; or

(b) a Namibian citizen who has reached the age of 18 years and who, in the opinion of the Minister, is a fit and proper person to hold such licence,

and no person other than such person shall be joined as a joint holder of any such mineral licence or interest.


47. Applications for, or for renewal or transfer of, mineral licences, or for approval tot grant, cession or assignment of interests in mineral licences, or to be joined as joint holders of such mineral licences or interests.

(1) Subject to the provisions of this Act, an application for -

(a) a mineral licence or the renewal thereof;

(b) the amendment of a mineral licence; or

(c) the approval of the Minister for the transfer of a mineral licence, or the grant, cession or assignment of any interest in any mineral licence, or to be joined as a joint holder of a mineral licence or such interest,

shall be made to the Minister in such form as may be determined in writing by the Commissioner and shall be accompanied by such application fee and such licence fee as may be payable in respect of the licence period or first licence period, as the case may be, of such licence as my be determined under section 123.

(2) Subject to the provisions of this Act, the Minister -

(a) may grant on such terms and conditions as may be determined in writing by him or her, or refuse to grant an application referred to in subsection (1); or



(b) shall grant an application for the transfer of' it mineral licence referred to in paragraph (c) of subsection ( 1) where such mineral licence is to be transferred from a company which is the holder of such mineral licence to a company which is controlling, controlled by or under common control with such holder, if the Minister is on reasonable grounds satisfied that such holder is not contravening or failing to comply with the terms and conditions of such licence or any other mineral licence held by it or any provision of this Act.

(3) The provisions of section 39(6), (7) and (8) shall apply mutatis mutandis in relation to the transfer of a mineral licence or the granting, cession or assignment of
any interest in a mineral licence or the joinder of a person as a joint holder of such mineral licence or interest.


48. Powers of Minister in respect of applications for, or for renewal or transfer of, mineral licences or for approval for grant, cession or assignment of interests in mineral licences, or to be joined as joint holders of such mineral licences or interests.

(1) The Minister may at any time after the receipt of any application referred to in section 47 require the person concerned by notice in writing -

(a) to furnish him or her within such reasonable period as may be specified in such notice with -

(i) such information specified in such notice as the Minister may in his or her discretion deem necessary to enable him or her to determine who, in the case of a company, has the controlling interest in the affairs of the company; and

(ii) such other information so specified as the Minister may in his or her discretion deem necessary for purposes of considering such application;

(b) to publish particulars of the application in relation to -

(i) the full names of such person; and

(ii) the area, the kind of mineral licence and the mineral or group of minerals to which such application relates,



in such manner as may be specified in such notice;

(c) to give the particulars of the application -

(i) referred to in paragraph (b);

(ii) relating to the condition of, and any existing damage to, the environment in the area to which the application relates;

(iii)relating to an estimate of the effect which the proposed prospecting operations or mining operations, as the case may be, may have on the environment and the proposed steps to be taken in order to prevent or minimize such effect,

in such manner and to such person or persons as may be specified in such notice.

(3) In order to enable the Minister to consider any application referred to in section 47 the Minister may -

(a) cause such investigations to be made or undertaken as the Minister may in his or her discretion deem necessary;

(b) require the person concerned by notice in writing -

(i) to carry out or cause to be carried out such environmental impact studies as may be specified in the notice;

(ii) to furnish the Minister within such period as may be specified in such notice with such proposals, by way of alteration to or in addition to proposals set out in the application, as may be so specified.

(3) In considering any application referred to in section 47 and the terms and conditions subject to which such application may be granted, the Minister shall take into account the need to conserve and protect the natural resources in, on or under the land to which the application relates and in, on or under adjoining or neighbouring land.



(4) If the Minister is, after having considered an application referred to in section 47, prepared to grant the application subject to certain terms and conditions, he or
she shall direct that notice be given to the person concerned in which the terms and conditions, in addition to he term and conditions referred to in section 50, are set
out on which he or she is prepared to grant such application.

(5) The person referred to in subsection (4) may, within one month as from the date of that notice or such further period as the Minister may on good cause shown
allow in writing, agree in writing to accept such terms and conditions or such other terms and conditions as may be agreed upon.

(6) If the person making an application referred to in section 47 fails -

(a) to comply with the requirements of any notice referred to in subsection (1) or (2)(b); or 

(b) to agree as contemplated in subsection (5),

within the period specified in such notice or such further period as the Minister may on good cause shown allow in writing, the application in question shall lapse on the expiration of such period.


49. Mineral agreements.

(1) The Minister may, before a mineral licence is issued and at the request of the person making an application referred to in section 47, enter into an agreement not inconsistent with the provisions of this Act with such person containing the terms and conditions agreed upon as provided in section 48(4) and (5) on which such mineral licence will be issued.

(2) A mineral agreement -

(a) shall contain the full names and address of the person concerned and, in the case of a company, particulars of its incorporation and registration as a company, the registered address and principal place of business of the company in Namibia, the full names and nationality of the directors of the company, the share capital of the company and the full names and nationality of any person who is the beneficial owner of more



than five per cent of the shares issued by such company; or

(b) may include terms and conditions relating to -

(i) minimum reconnaissance operations, prospecting operations or mining operations to be carried on and the time table determined for purposes of such operations;

(ii) the minimum expenditure in respect of reconnaissance operations, prospecting operations or mining operations;

(iii)the formation of joint ventures or the operation of production sharing or other joint arrangements;

(iv) the participation, including the acquisition of equity share capital, by the State or any other person in any ventures or arrangements referred to in subparagraph (iii);

(v) the manner in which reconnaissance operations, prospecting operations or mining operations shall be carried out;

(vi) the processing, whether wholly or partly, within Namibia of any mineral or group of minerals found, won or mined by the holder of a mineral licence in the course of any prospecting operations or mining operations;

(vii)the basis on which the market value of any mineral or group of minerals in question may from time to time be determined;

(viii)the utilization of any profits derived by the holder of a mineral licence from any reconnaissance operations, prospecting operations or mining operations carried on under such mineral licence;

(ix) guarantees to ensure the due and proper performance of the liabilities and obligations under a mineral licence;



(x) financial and insurance arrangements;

(xi) the application of any of the fiscal laws in force in Namibia;

(xii)arbitration in the event of any dispute which may arise in the application of any term and condition contained in such agreement, whether in terms of the provisions of the Arbitration Act, 1965 (Act 42 of 1965) or by way of any international arbitration tribunal specified in such agreement;

(xiii)co-ordination of prospecting operations or mining operations to be carried on by the person concerned in terms of a mineral licence with any prospecting operations or mining operations carried on by any other holder of a mineral licence in any neighbouring prospecting area or mining area.

(3) Any term and condition contained in an agreement referred to in subsection (1) which is inconsistent with any provision of this Act shall, to the extent it is so
inconsistent, be null and void.

(4) Nothing contained in an agreement referred to in subsection (1) shall be construed as absolving any party thereto from any requirement laid down by law or from
applying for, and obtaining, any permit, licence, approval, permission or other document required by law.


50. General terms and conditions of mineral licences.

In addition to any term and condition contained in a mineral agreement and any term and condition contained in any mineral licence, it shall be a term and condition of any mineral licence that the holder of such mineral licence shall -

(a) exercise any right granted to him or her in terms of the provisions of this Act reasonably and in such manner that the rights and interests of the owner of any land to which such licence relates are not adversely affected, except to the extent to which such owner is compensated;



(b) in the employment of employees, give preference to Namibian citizens who possess appropriate qualifications, expertise and experience for purposes of the operations to he carried on in terms of such mineral licence;

(c) carry out training programmes in order to encourage and promote the development of Namibian citizens employed by such holder;

(d) with due regard to the need to ensure technical and economic efficiency, make use of products or equipment manufactured or produced, and services available, within Namibia;

(c) co-operate with other persons involved in the mining industry in order to enable such citizens to develop skills and technology to render services in the interest of that industry in Namibia;

(f) prepare in such form as may be determined in writing by the Commissioner for the approval of the Commissioner -

(i) an environmental impact assessment indicating the extent of any pollution of the environment before any prospecting operations or mining operations are being carried out and an estimate of any pollution, if any, likely to be caused by such prospecting operations or mining operations;

(ii) if any pollution is likely to be so caused, an environmental management plan indicating the proposed steps to be taken in order to minimize or prevent to the satisfaction of the Commissioner any pollution of the environment in consequence of any prospecting operations or mining operations carried on by virtue of such mineral licence;

(g) from time to time as circumstances change to revise such environmental management plan either out of his or her own motion or if required by the Commissioner;

(h) in the case of a company, give to the Commissioner notice of any change of -



(i) the name of such company;

(ii) the registered address and principal place of business of the company in Namibia;

(iii)the directors of the company;

(iv) the share capital of the company;

(v) the beneficial owner of more than five per cent of the shares issued by such company,

within 30 days as from such change.

(i) in the case of a natural person, give to the Commissioner notice of any change of the address of such person within 30 days as from such change.


51. Register of mineral licences.

(1) The Commissioner shall keep and maintain a register of mineral licences in such form as may be determined in writing by the Commissioner in which shall be recorded in respect of every mineral licence issued -

(a) the full names and such other particulars of the holder and joint holder of a mineral licence or interest in such mineral licence in whose name such mineral licence has been issued or to whom such mineral licence or interest has been transferred or to whom an interest in such mineral licence has been granted, ceded or assigned as may be determined in writing by the Commissioner and, in the case of a holder or joint holder of a mineral licence who is resident outside Namibia, the full names and address of his or her accredited agent;

(b) the date on which such mineral licence has been issued or transferred or any interest in such mineral licence has been granted, ceded or assigned or a person has been joined as joint holder of such mineral licence or interest;

(c) the date on which such mineral licence has been renewed and the date on which such mineral licence will lapse in terms of the provisions of this Act;



(d) the nature of such mineral licence;

(e) particulars of the area of land to which such mineral licence relates;

(f) the mineral or group of minerals in respect of which such mineral licence has been issued;

(g) particulars of any permissions granted under any provision of this Act in relation to such mineral licence;

(h) the date on which such mineral licence is cancelled in terms of section 55;

(i) particulars of any agreement or ancillary right referred to in section 52(1)(a); and

(j) such other particulars as may in the opinion of the Commissioner be necessary for purposes of carrying out the provisions of this Act to effect an efficient system of registration of mineral licences and any interests in such mineral licences.

(2) A copy of any mineral licence issued in terms of this Act and the register referred to in subsection (1) shall during ordinary office hours be open for inspection by any person foe of charge, and any person may on payment of such fee as may be determined under section 123 obtain copies of such mineral licence or extracts from such
register.

(3) A person who fraudulently -

(a) makes or causes to be made any entry in the register referred to in subsection (1) which is false;

(b) prepares or submits any extract of an entry in such register which is false or causes such an extract to be prepared or submitted,

shall be guilty of an offence and on conviction liable to a fine not exceeding R8 000 or to imprisonment for a period not exceeding 12 months or to both such fine and such imprisonment.



52. Restrictions on exercise of rights by holders of mineral licences.

(1) The holder of a mineral licence shall not exercise any rights conferred upon such holder by this Act or under any terms and conditions of such mineral licence -

(a) in, on or under any private land until such time as such holder -

(i) has entered into an agreement in writing with the owner of such land containing terms and conditions relating to the payment of compensation, or the owner of such land has in writing waked any right to such compensation and has submitted a copy of such agreement or waiver to the Commissioner; or

(ii) has been granted an ancillary right as provided in section 110(4) to exercise such rights on such land;

(b) in, on or under any -

(i) town or village;

(ii) land comprising a proclaimed road, including such parts adjoining such road as may in terms of any law governing such road be regarded as the road reserve, aerodrome, harbour, railway or cemetery; or

(iii)land used or reserved for any governmental or public purpose,

and otherwise in conflict with any law, if any, in terms of which such town, village, road, aerodrome, harbour, railway, cemetery or land has been established, erected, constructed or is other wise regulated, without the prior permission of the Minister granted, upon an application to the Minister in such form as may be determined in writing by the Commissioner, by notice in writing and subject to such conditions as may be specified in such notice;

(c) in, on or under any land in respect of which no person other than the holder of a reconnaissance licence is, by virtue of a notice issued in terms of section 122, entitled to carry on any prospecting operations or mining operations;



(d) in, on or under any private or State land -

(i) used as a garden, orchard, vineyard, nursery, plantation or which is otherwise under cultivation;

(ii) within a horizontal distance of 100 meters of any spring, well, borehole, reservoir, dam, dipping-tank, waterworks, perennial stream or pan, artificially constructed watercourse, kraal, building or any structure of whatever nature;

(iii)within a horizontal distance of 300 meters from any point on the nearest boundary of any erf, as defined in section 1 of the Townships and Division of Land Ordinance, 1963 (Ordinance 11 of 19631 if such erf has been surveyed for the purpose of inclusion in a township as defined in that section; or

(iv) on which accessory works were erected or constructed under this Act and which existed at the time of the issue of the mineral licence in question,

without the prior permission in writing of the owner of such land, and, in the case of land referred to in subparagraph (iv), of the holder of a mineral licence who has erected or constructed such accessory works on which it is proposed to exercise such right;

(e) in, on or under any land subject to a production licence, as defined in section 1 of the Petroleum (Exploration and Production) Act, 1991 (Act 2 of 1991), which existed at the time of the issue of the licence in question, without the prior permission in writing of the holder of the production licence concerned; and

(f) which in any way will interfere with fishing or marine navigation, without he prior permission of the Minister granted, upon an application to the Minister in such form as may be determined in writing by the Commissioner, by notice in writing and subject to such conditions as may be specified in such notice.



(2) When, in the course of any prospecting operations or mining operations in any prospecting area, mining area or retention area, as the case may be, any damage is caused or done to the surface of any land or to any water source, cultivation, building or other structure therein or thereon as a result of such operations, the holder of the mineral licence in question shall be liable to pay compensation to the owner of the land, water source, cultivation, building or other structure, as the case may be, in relation to which such damage has been caused or done.

(3) When a dispute arises between the holder of a mineral licence and the owner referred to in subsection (2) in relation to the liability for, or the amount of, compensation payable under that subsection, such holder or owner, or such holder and owner, may make application in writing to the Commission to have the matter determined as provided in section 110.

(4) The provisions of subsection (3) shall not be construed as prohibiting an owner referred to in the said subsection (3) or an authority administering land from instituting civil proceedings in any competent court against the holder of a mineral licence for the payment of compensation in respect of any damage referred to in the said subsection (2).

(5) When the owner of land or any authority administering land on which prospecting operations or mining operations are being carried on in an application to the
Minister -

(a) states that such operations prevent the proper use of the land wholly or partly for farming purposes; and

(b) requests that the holder of the mineral licence concerned carrying on such operations be required to purchase so much of the land as cannot be so wed,

the Minister may, if he or she is on reasonable grounds satisfied that such operations prevent the land from being so used, by notice in writing addressed and delivered to
such holder, direct such holder to purchase so much of the land as cannot be so used on such conditions as may be specified in such notice, and shall notify the owner of the
land in question accordingly.



(6) When the holder of a mineral licence and the owner of land or an authority administering land are unable to ague on the price to be paid for land to which a
direction under subsection (5) relates, the price and mode of payment shall be fixed by arbitration.

(7) Any person who contravenes or fails to comply with the provisions of subsection (1) or any direction referred to in subsection (5) shall be guilty of an offence and on conviction liable to a fine not exceeding R8 000 or to imprisonment for a period not exceeding 12 months or to both such fine and such imprisonment.


53. Drilling of boreholes.

(1) Any holder of a mineral licence shall not drill in connection with any prospecting operations or mining operations any borehole or boreholes from the surface of any land or resume the drilling of any such borehole or boreholes which has been discontinued for a period of more than three months, unless such holder has given the Commissioner notice in such form as may be determined in writing by the Commissioner of such holder's intention to so drill any such borehole or boreholes.

(2) A holder of a mineral licence referred to in subsection (1) shall, at the request in writing of the Commissioner and within such period as may be so determined by him or her, furnish the Commissioner with a report in such form as may be so determined by the Commissioner, containing particulars relating to -

(a) the location, direction and depth of such borehole;

(b) the geological formations through which such borehole was drilled;

(c) the widths and assay values of any mineral or group of minerals intersected in such borehole; and

(d) such other information as the Commissioner may require.

(3) A holder of a mineral licence referred to in subsection (1) or a person who was at any time such a holder shall not destroy or dispose of or cause to be destroyed or disposed of any borehole core or other material derived from any borehole referred to in that subsection except -



(a) with the prior approval in writing of the Commissioner; or

(b) in so far as it is reasonably necessary to destroy such core or material in the course of any analytical or metallurgical testing.

(4) (a) The Commissioner may by notice in writing addressed and delivered to the holder or person referred to in subsection (3) require such holder or person to deliver to the Commissioner in such manner as may be specified in such notice at such holder's or person's own costs -

(i) in the case of any such holder, in the course of drilling operations, any borehole core or other material referred to in subsection (3) or any sample of such borehole core or other material; or

(ii) in the case of any such holder or person, after the completion of drilling operations any borehole core, other material or sample so referred to or any part thereof.

(b) The Commissioner shall -

(i) issue a receipt in respect of any borehole core, other material or sample thereof delivered in terms of paragraph (a); and

(ii) upon any claim received from the holder of a mineral licence or person referred to in paragraph (a) other than a holder or person who has applied for or obtained the approval contemplated in subsection (3)(a), return such borehole core, other material or sample to such holder or person, or pay to such holder or person an amount equal to the market value of any such borehole core, other material or sample.

(5) Any person who contravenes or fails to comply with the provisions of this section or any notice referred to in subsection (4) shall be guilty of an offence and on
conviction liable to a fine not exceeding R8 000 or to imprisonment for a period not exceeding 12 months or to both such fine and such imprisonment.



54. Abandonment of reconnaissance areas, prospecting areas, retention areas and mining areas.

(1) The holder of a mineral licence may abandon the reconnaissance area, prospecting area, retention area or mining area to which such licence relates by notice in
writing addressed and delivered to the Commissioner and shall together with such notice return such mineral licence, whereupon -

(a) the Commissioner shall -

(i) cancel such mineral licence;

(ii) make an entry to that effect in the register of mineral licences referred to in section 51;

(iii) notify the person who was the holder of such mineral licence that such mineral licence has been cancelled; and

(iv) notify the owner of the land on which such area was situated of such abandonment; and

(b) such area shall be deemed to have been abandoned on the date on which such mineral licence has been cancelled as provided in subparagraph (i) of paragraph (a).

(3) If a reconnaissance area, prospecting area, retention area or mining area is abandoned as provided in subsection (1), the holder of the mineral licence to which such area relates shall -

(a) demolish any accessory works erected or constructed by such person in such area, except in so far as the owner of the land retains such accessory, works on such conditions as may mutually be agreed upon between such owner and person, and remove from such land all debris and any other object brought onto such land;

(b) take all such steps as may be necessary to remedy to the reasonable satisfaction of the Minister any damage caused by any prospecting operations and mining operations carried on by such holder to the surface of, and the environment on, the land in the area in question.



(3) The abandonment of a reconnaissance area, prospecting area, retention area or Suing area shall not affect any legal proceedings instituted against such holder or any obligation or liability of such holder in terms of the provisions of this Act.

(4) Any person who contravenes or fails to comply with the provisions of subsection (2) shall be guilty of' an offence and on conviction be liable to a fine not exceeding
R8 000 or to imprisonment for a period not exceeding 12 months or to both such fine and such imprisonment.


55. Cancellation of mineral licences.

(1) Subject to the provisions of section 56 and subsections (2) and (3) of this section, the Minister may by notice in writing addressed and delivered to the holder of a mineral licence, cancel the mineral licence of such holder or, in the case of two or more persons who are the joint holders of such mineral licence or interest, cancel the mineral licence in respect of any one or more of such holders, if -

(a) any such holder fails to comply with the terms and conditions of such mineral licence or of the provisions of this Act;

(b) in the case of a company, such company is wound up in terms of the provisions of the Companies Act, 1973 (Act 61 of 1973), unless such company has been wound up for purposes of an amalgamation or reconstruction, as contemplated in that Act, and has obtained the prior approval of the Minister for such amalgamation or reconstruction;

(c) in the case of a natural person, such person's estate is sequestrated.

(2) The Minister shall not under subsection 1(a) cancel a mineral licence so referred to, unless -

(a) the Minister has by notice in writing informed the holder of such mineral licence of his or her intention to cancel such mineral licence -

(i) setting out particulars of the alleged failure; and



(ii) calling upon such holder to make such representations to the Minister as such holder may deem necessary or expedient within such period, but not less than 30 days as from the date of such notice, as may be specified in such notice;

(b) the Minister has considered -

(i) any steps taken by such holder to remedy the failure in question or to prevent any such failure from being repeated during the currency of the mineral licence; and

(ii) any other matters submitted to the Minister by way of the representations made under paragraph (a)(ii); and

(c) in the case of a holder of a mineral licence who has failed to pay any amount payable by such holder in terms of this Act or by virtue of the terms and conditions of the mineral licence in question, such holder has, before the date specified in the notice referred to in paragraph (a), paid any such amount, together with any interest payable in respect of such amount.

(3) The Minister may, on application in writing made to him or her by the holder of a mineral licence in such form as may be determined in writing by the Commissioner and on payment of such fee, if any, as may be determined under section 123, cancel by notice in writing any mineral licence.

(4) The cancellation of a mineral licence in terms of the provisions of this section shall not affect any liability or obligation incurred in relation to anything done under or by virtue of the terms and conditions of such mineral licence.


56. Vis Major

(1) Any failure by the holder of a mineral licence to comply with any term and condition of such mineral licence or any provision of this Act shall not be regarded as being a failure to comply with such term and condition or provision in so far as such holder was prevented from complying with such term and condition or provision due to an am of war, hostility or insurrection or an act of God.



(2) The holder of a mineral licence who is prevented from complying with a term and condition or provision as contemplated in subsection ( 1) shall forthwith inform the
Minister by notice in writing setting out particulars of the nature, extent and causes of such holder's failure to comply with the term and condition of provision specified in such notice.

(3) The Minister may, on application made to him or her by the holder of a mineral licence referred to in subsection (2) who has been prevented from exercising any rights under such mineral licence for any period in the circumstances contemplated in subsection (1), extend by notice in writing on such conditions as may be so determined by the Minister the period for which the mineral licence in question has been issued, by such period as may be so determined by the Minister with due regard to the provisions of this Act relating to the period after which mineral licences of the nature of the mineral licence in question expire.

(4) The Minister may refuse any application referred to in subsection (3) if the holder of the mineral licence concerned could, by taking such reasonable steps as may
have been available to such holder, have exercised such rights during that period.

(5) The provisions of this section shall not he construed as absolving any holder of a mineral licence from complying with any liability or obligation under a mineral licence or this Act to pay any royalties, annual charges, rent or fees.


57. Directions to holders of mineral licences.

(1) The Minister may, with due regard to good reconnaissance practices, good prospecting practices or good mining practices by notice in writing addressed and delivered to the holder of a mineral licence, give directions to such holder in relation to -

(a) the carrying on of reconnaissance operations, prospecting operations and mining operations, including the erection or construction of any accessory works;

(b) the protection of the environment;



(c) the conservation of any natural resources, including mineral resources, and the prevention of the waste of such resources;

(d) the construction, erection, maintenance, operation or use of accessory works;

(e) the removal of accessory works or other goods erected, constructed or brought on land in connection with the prospecting for, or the mining or conveyance of, any mineral or group of minerals which is not used or intended to be used in connection with such prospecting, mining or conveyance;

(c) the discovery of any mineral or group of minerals; 

(g) the taking, preservation and furnishing to the Commissioner of cores, cuttings or samples of any mineral or group of minerals obtained or which may be obtained in the course of reconnaissance operations, prospecting operations and mining operations;

(h) the submission to the Commissioner of reports, returns and other information,

and the Minister may, if such holder fails to comply, within such period as may be specified in such notice or such further period as the Minister may on good cause shown
allow in writing, with such directions to the satisfaction of the Minister, cause such steps to be taken as may be necessary to comply with such directions, and may recover
from such holder in a competent court the costs incurred in connection with the taking of such steps.

(2) Any holder of a mineral licence who contravenes or fails to comply with a notice issued under subsection (1) shall be guilty of an offence and on conviction be liable to a
fine not exceeding R8 000 or to imprisonment for a period not exceeding 12 months or to both such fine and such imprisonment.