STAMICO secures licence for REE project

MOROGORO: MINISTER for Minerals, Anthony Mavunde, has handed over a Strategic Large-Scale Exploration and Mining Licence for Rare Earth Elements (REE) mining to the State Mining Corporation (STAMICO), marking a significant step in enabling the corporation to engage in large-scale mining operations aimed at benefiting all Tanzanians.

The handover ceremony was held yesterday at Sesenga Primary School grounds in Sesenga Village, Mgazi Ward, Morogoro District, following the government’s decision to revoke the licence from Wigu Hill Mining Company Limited after the conclusion of a legal dispute at the International Centre for Settlement of Investment Disputes (ICSID).

Speaking to the citizens who attended the event, Minister Mavunde said that REE are among the strategic minerals currently in high demand globally due to their critical role in modern technology sectors.

“These minerals are used in military equipment, smartphones, computers, electric vehicle batteries, medical devices and various machines.

This is a golden opportunity for Sesenga Village, Morogoro District, the region and the nation at large to benefit from this valuable resource,” Minister Mavunde said.

He also pointed out that the project will create numerous employment opportunities for residents of surrounding areas and stimulate social and economic development. This will be achieved by prioritising local communities to supply goods to the mine (local content) and through the company’s corporate social responsibility (CSR) initiatives.

He further explained that the Morogoro District Council will increase its revenue through service levies imposed on mining activities.

In a related development, Minister Mavunde instructed STAMICO to immediately begin the process of developing the licence so that the extraction of these minerals can commence on time.

For his part, Morogoro District Commissioner, Mussa Kilakala, congratulated Minister Mavunde for his effective leadership in the mining sector and pledged to continue overseeing the sector closely in the interest of the nation.

Meanwhile, the Permanent Secretary in the Ministry of Minerals, Eng Yahya Samamba, praised President Dr Samia Suluhu Hassan for creating a friendly and secure environment in mining areas, enabling miners to benefit from the country’s natural resources.

STAMICO Chief Executive Officer Dr Venance Mwasse, also thanked the government, through the Ministry of Minerals, for entrusting the corporation with the strategic licence. He assured Minister Mavunde that STAMICO is ready to commence operations promptly and will ensure the project is implemented effectively, within the set timeframe, and with a focus on delivering broadbased benefits to citizens and the nation.

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“We recognise our significant responsibility to the nation. STAMICO is ready to manage this project with the highest level of professionalism to ensure productivity and enhance the mining sector’s contribution to the national economy,” said Dr Mwasse.

The government’s decision to hand over the licence to STAMICO is part of its broader efforts to safeguard national interests in the mining sector by ensuring that resource-rich areas are not left undeveloped and that such resources directly contribute to the well-being of citizens and the country’s economic growth.