Mozambique

Pays Candidats Overview of Extractive Industries in Mozambique Despite the country's considerable mineral resources, the mining sector is poorly developed, owing to the long civil war during which the country was in effect closed to foreign investment-and the resulting lack of investment and available geological data. As a result, the sector operates well below potential: in 2006 it contributed just 1.6% of GDP. However, a number of large investments are now transforming the sector, which is set to assume a more prominent role in the economy. The country's key areas for export growth are believed to be in base rather than precious minerals. Several multinational mining companies are currently involved in exploration and exploitation of mineral reserves; they including Brazil's Vale (formerly CVRD), Rio Tinto, BHPBilliton and Russal, as well as increasing numbers of junior mining companies. Minerals that are currently being exploited include titanium, tantalum, marble, gold, coal, bauxite, granite, limestone and gemstones. There are also known deposits of pegmatite, platinoids, uranium, bentonite, iron, cobalt, chromium, nickel, copper, granite, fluorite, diatomite, emeralds, tourmaline and apatite. Mozambique has identified reserves of natural gas in commercially exploitable quantities, and further exploration is under way. The state energy company, Empresa Nacional de Hidrocarbonetas (ENH), has joint-venture equity participation and production-sharing contracts in all oil and gas exploration projects. Companies holding exploration concessions include StatoilHydro (Norway), Anadarko Petroleum (US), ENI (Italy), Petronas (Malaysia), Petrobras (Brazil), BG (UK), Artumas (Canada), British American Natural Gas Group, and South Africa's Sasol and PetroSA. Status of EITI Implementation Mozambique is an EITI candidate country, and has until 14 May 2011 to complete the validation process. The Government established an ‘ad-hoc' multi-stakeholder group of named representatives of the Government, companies, and civil society working together to implement the EITI in Mozambique. The role of the ad hoc group was specifically to develop the workplan and to propose a permanent multi-stakeholder ‘Coordinating Group' to be established after candidature. Governance of EITI Implementation in Mozambique Dr. Abdul Razak Noormahomed, Deputy Minister of Mineral Resources will be the leader of the Mozambique EITI implementation. Government Focal point for the EITI in Mozambique Dr Benjamin CHILENGEE-Mail: ben [dot] chilenge [at] tvcabo [dot] co [dot] mz For further information, please contact Eddie Rich at the EITI International Secretariat.