Mining & Trade News

Despite the Reserve Bank of Malawi (RBM) operating the structured market for gold and gemstones for years now through its subsidiary Export Development Fund (EDF), Artisanal and Small-scale Miners (ASMs) dealing in these minerals say they are continuing to experience a host of challenges in finding a formal market for their minerals.

Chairperson of ASMs in Malawi who is also President of the Federation of Women and Youth in Mining (FWYM) Flore-Annie Kamanga said in an interview that the problem emanates from lack of licensed buyers as EDF officers are not available to buy the minerals in all mining areas, difficulties in obtaining export permits, and a lack of knowledge about pricing mechanisms and value addition.

Kamanga said: “Small-scale miners primarily sell their minerals through informal channels due to limited access to formal markets. This forces the miners to deal with middlemen who offer very low prices.”

“There are also difficulties in obtaining export permits leading to smuggling, and limited knowledge of pricing mechanisms and value addition, which results in miners being exploited.”

Kamanga also pointed out that RBM’s verification standards require documentation that many miners lack such as proof of legal mining and official export licenses.

“The costs associated with meeting verification standards are too high for most artisanal miners. There is also limited awareness and technical knowledge on how to comply, and bureaucratic delays in obtaining necessary approvals make compliance unachievable.”

However, Kamanga believes that mining cooperatives can offer a viable solution to the problems.

“Forming cooperatives can be a game changer as through the cooperatives, ASMs can pool resources together to afford legal compliance costs, strengthen miners’ bargaining power to negotiate better prices, facilitate training on verification processes, and enable direct engagement with regulatory bodies like RBM.”

She, however, said the cooperatives will require adequate support to be effective including provision of access to affordable loans or grants to cover compliance costs. They will also need technical support including training on mineral valuation, record keeping, and proper mining practices.

“The government must also facilitate direct sales to licensed buyers and streamline the verification process to make compliance more accessible,” Kamanga said.

Kamanga observed that mining cooperatives have already helped many miners formalize their operations and secure mining licenses.

“They provide financial assistance for compliance-related expenses and offer collective support in meeting government regulations, including RBM verification standards. However, their success depends on strong leadership, proper governance, and government support.”

Meanwhile, RBM is seeking independent assessors for gold and gemstones. The Bank says the assessors will assess the authenticity of the purchased minerals, weight.

The Malawi Mining and Minerals Regulatory Authority has granted a prospecting licence to ASX-listed DY6 Metals for the Karonga tenement which covers a recently identified high potential Copper (Cu) mineralisation anomalous area.

 DY6 Chairman Dan Smith says in a Press Statement that the licence grants to DY6 the exclusive right to prospect for copper, rare earth elements, lithium and other minerals for a term of three years with an option to renew for a period not exceeding two years.

Smith explains that preliminary reconnaissance/ surveillance sampling work on the licence area revealed occurrence of elevated Cu grades, with initial portable XRF results ranging from 1.4 to 7.8% Cu in rock with the results to be verified using standard laboratory-based XRF analytical assaying methods.

He states: “DY6 has recently acquired and completed reprocessing of historic hyperspectral survey data, which has been used to map areas with high probability for copper mineralisation. The results from this exercise correlate well to the mineralisation identified in the sampling work.”

“Historic anomalies from regional airborne geophysical radiometric and magnetic data appear to correlate with both the hyperspectral probability copper mineralisation mapping and the preliminary sampling reconnaissance work conducted.”

“Exploration for Cu and other minerals will continue on the licence area.”

The Karonga Prospecting Project is located about 440km north of the capital Lilongwe. It can easily be accessed using Karonga-Chitipa M1 Road turning to the west at Kasikisi School signpost along the M1 Road.

Geology and Mineralisation

The Karonga area is associated with a series of NW-SE and N-S trending ridges with metamorphic Basement complex rocks commonly identified as windows within the Karroo System which overlies the basement. The Karroo System units are typically sandstones with carbonaceous shale formations.

The eastern part of the licence area is overlain by several patches of Karoo sediments and Cretaceous to recent lacustrine sediments, the interrelations of which are complex due to unconformities and faulting. This area is part of the northern sub-province of the Malawi Province of the Mozambique belt, active between about 700-400 million years ago. The major lithological components are gneisses and intrusives of the Misuku Belt, representing the south-eastern extension of the Ubendian Mobile Belt of south-western Tanzania into Malawi.

On a more local scale, the licence area is comprised of a suite of quartzite rocks, pegmatitic rocks and amphibole gneisses that intrude into the basement gneissic rocks forming the wall rock of the project area. The lithologies have a general NW-SE trend and are dipping west / south-west at very steep angles ranging from 600 to 850.

The presence of base metals and other related metal mineralisation is evident in the pegmatitic rocks and quartz zone (quartzite) group. The quartzite unit has clear malachite and azurite coexisting with sulfide minerals indicating the presence of copper and other base metals.

Surveillance/Initial Reconnaissance Work Done

1.    Surveillance Site Visit

Four samples were collected on a recent reconnaissance visit to the site. The visit targeted an anomaly which was identified using a combination of geology and aeromagnetic data.

The samples were collected on a mineralised quartzite zone, which displayed disseminated mineralisation of malachite and azurite with sulfides. These samples were analysed using an Olympus Avanta Portable XRF (pXRF) machine.

Results showed elevated Cu grades ranging from 1.4% to 7.8% Cu. These samples were collected on a 60cm thick zone of an exposed portion of a 40 – 50m long quartzite zone.

The samples will be sent to SGS Randfontein laboratory in South Africa for a standard XRF analytical procedure to verify the Cu grades and other minerals’ grades obtained from the pXRF.

Samples collected on surveillance site visit Cu analytical results (pXRF

2. Hyperspectral Data Analysis and Interpretation

Historical satellite imagery data has been acquired, re-processed and interpreted by an experienced spectral data analyst from Dirt Exploration. This is intended to assist with probability mapping of several minerals including Cu mineralisation. 

The data is extracted by spectral unmixing of the Sentinel-2 VNIR (Visible & Near Infrared) and SWIR (Short Wave Infrared) satellite imagery. Sentinel-2 VNIR/SWIR imagery is the highest spatial resolution satellite imagery available with 10m resolution.

Using a geochemical exploration technique called Mobile Metal Ions (MMI) the extracted and unmixed spectral bands provide some diagnostic mineral responses in the regolith (overburden / outcrop rock material) above a buried mineral deposit.

In the case of Cu mineralisation, six end-members are anomalous over Cu occurrences: azurite, gypsum, illite, hypersthene, beryl and jarosite.

“The results of the spectral data analysis combined with the aeromagnetic data signatures and confirmed by the four geochemical samples analysed using the pXRF machine shows the potential of the Karonga licence area for copper mineralisation and possible occurrence of a copper deposit that requires to be investigated further,” says Smith.

He explains that further exploration work is currently planned to follow the anomalies identified in the surveillance activities, including geochemical analysis of the four collected samples at SGS Randfontein laboratory in South Africa to verify and validate the results obtained from the pXRF machine.

The planned activities at the site include detailed geological mapping of the licence area; and detailed geochemical sampling of surface outcrop rock chips, soils and where possible trenching to be considered.

“The outcome of the activities above will lead to target generation for a future drill program, which will in turn be used for mineral resource and reserve estimations,” Smith says.

Stakeholders in the extractive sector have expressed concern over the failure by the Ministry of Mining to conduct thorough and regular inspections of mining fields as a result of inadequate funding the Ministry receives from Treasury for its mandatory duties.

The stakeholders say despite efforts by the Ministry to ensure that mining zones adhere to health and safety measures, lack of funding remains a major challenge for the Ministry to visit many mines for inspection.

Mining expert and Consulting Geoscientist Ignatius Kamwanje said: “The Ministry lacks inspection. They are rarely on the ground due to low funding levels.”

“The Ministry has tried but not done enough to ensure mining companies adhere to precautionary measures.”

“The other major challenges impeding mine inspection work are lack of sensitization, engagement and capacity in terms of training in the sector; lack of equipment for inspection and; corruption.”

Concurring with Kamwanje, Artisanal and Small-scale Mining (ASM) Consultant Chikomeni Manda said poor inspection mainly in small scale mining areas is contributing to the challenge of lack of funding and capacity by ASMs.

Manda also blamed the Malawi Environmental Protection Authority (MEPA) for not fully executing its mandate of protecting and managing environment and natural resources in ASM mining sites.

Said Manda who is Managing Partner for Perekezi ASM Consulting: “When it comes to inspection by the Ministry, it is very poor. This is because the Ministry is poorly funded to curry out such tasks.”

“MEPA is also not doing enough when it comes to inspections. There is a lot of mercury use in ASM gold mining, which is a very dangerous substance to both humans and the environment.”

“The major challenge is in ASM, when it comes to medium, and large scale mine, it is better when it comes to precautionary measure, though there might also be some minor violations due to minimal inspections.”

He also called for more investment in resources and technology to ensure that miners comply with health and safety standards. In a separate interview, Coordinator for Chamber of Mines and Energy Grain Malunga said there is a need for a robust licensing system to ensure that licences are given to responsible investors who understand and utilize mine safety regulations.

“Proper licensing of exploration licenses using a set guidance is crucial to avoid political decisions that will give licenses to speculators and crooks,” said Malunga.

The concerns come barly months since the Ministry of Mining in conjunction with the Malawi Bureau of Standards (MBS) launched Occupational Safety and Health Standards in Mining Sector.  

The standards are part of Malawi's commitment to Malawi 2063 blueprint and were developed under the Southern Africa Tuberculosis and Health Systems Support Project (SATBHSSP) with backing of the World Bank.

Malawi joined Lesotho, Zambia and Mozambique to adopt such mining safety standards under the project which started in 2017 and ends this June.

Miners are exposed to a range of health occupational hazards psycho-socio, ergonomic, biological, physical and chemical that cause injuries, microbiological contamination, and acute and chronic disease like respiratory disorder.

Minister of Finance and Economic Affairs Simplex Chithyola Banda says the long-awaited construction of the 300MW coal fired power plant at Kam’mwamba in Neno District will cost US$800-million.

In the 2025 Economic and Fiscal Policy Statement, the Minister explains that Electricity Generation Company (EGENCO) completed a review and update of the feasibility study for the project which established the cost estimates of around US$800 million with engineering, procurement and construction pegged at US$600 million.

In the statement, Chithyola Banda also outlines other projects that the Malawi Government has lined up for the energy sector. He explains that as part of efforts to diversify Malawi’s energy generation sources, the Government is implementing the 50MW Salima Solar PV with Battery Energy Storage System (BESS)

The project will be executed in phases, with the first phase targeting 10 MW currently underway with civil works in progress, supported by a completed feasibility study and Environmental and Social Impact Assessment (ESIA) report.

The Minister also reports that preparations of the construction of the 358.5MW Mpatamanga hydropower plant are steadily in progress. The project is being developed under a Public-Private Partnership (PPP) with financing from the World Bank’s International Finance Corporation (IFC).

The project’s basic design was completed in May 2024 and construction works are expected to commence in 2025/26 Financial Year.

Chithyola Banda states: “There is also outstanding progress on the rehabilitation of Kapichira Dam which was damaged due to the impact of the Tropical Storm Ana that occurred in 2022, which extensively damaged intake dam rendering the hydropower station out of operation.”

“Phase 1 of the repairs to the dam was completed and all three machines at the plant were restored and are back online while Phase 2 of the project which involves reconstruction of the dam structure based on an improved design that will ensure resilience to floods commenced.”

Chithyola Banda also expresses government’s steady commitment towards achieving universal access to electricity by 2030.

He says: “This will require an average of 408,000 on-grid connections, 401,000 off-grid connections per year and substantial investment in generation, transmission and distribution infrastructure.”

“Government will also take advantage of the increasing demand of power within the region to export its excess generation.”

Chithyola Banda also says Government continues to implement the Malawi-Mozambique Interconnector Project with an objective of connecting Malawi and Mozambique’s electricity transmission system to enable the two countries to engage in bilateral and regional power trade in the Southern Africa Power Pool (SAPP).

He explains that the scope of the Project is to interconnect the Mozambique and Malawi Power Systems at 400kilovolts(kV) through a transmission line being constructed from Matambo Substation in Tete Province in Mozambique to Phombeya Substation in Balaka District in Malawi.

“Construction works are underway and currently overall progress is estimated at 62.3% whereas commissioning of entire project is expected between April and June, 2025,” says Chithyola Banda.

Meanwhile, the country’s current installed generation capacity is 556MW comprising 402MW from hydro (73%); 102MW from solar (18%); and 52MW thermal diesel (9%). Out of the 556MW, EGENCO generates 444MW, representing 80% of market share while Independent Power Producers (IPPs) generate 112MW.

To achieve 50% grid access by 2030, the country requires 1,200MW implying the need for additional generation capacity of 644MW.

The other power projects in the Policy Statement include the 132kV Eastern Backbone Rehabilitation Project, which will involve upgrading of the existing transmission network which carries power from the Southern to the Central and Northern Regions in order to improve the resilience of electricity transmission and distribution infrastructure in the country.

The Malawi Government says it is implementing a number of strategic reforms in the mining sector aimed at stimulating economic growth and maximizing returns from the country's rich mineral resources.

These reforms are outlined in the 2025 Economic and Fiscal Policy Statement by the Minister of Finance and Economic Affairs Honourable Simplex Chithyola Banda.

Chithyola Banda reports that following the gazetting of the Mines and Minerals Act in 2023, the government established the Mines and Minerals Regulatory Authority (MMRA) in July 2024.

He says: “The Authority is now fully operational, with a Director General, Board of Directors, and technical officers deployed through secondment arrangements.”

“In the 2025/26 fiscal year, government will continue to build the capacity of the MMRA, and complete the recruitment process to ensure it delivers on its mandate.”

Chithyola Banda also says that in a bid to ensure that the country retains significant value from its natural resources, government is advancing the operationalization of the Malawi Mining Investment Company, a state-owned enterprise.

“The registration of the company is in its final stages. The 2025/26 fiscal year will focus on making the Malawi Mining Company fully operational as the company will strengthen government’s strategic role in the sector,” he says.

To improve transparency and efficiency in the allocation of mining rights, the Minister states that the government has pledged to champion transparency in mining agreements, licensing, and revenue flows. This includes maintaining open access to the cadastre system and consistent reporting through the Malawi Extractive Industries Transparency Initiative (MWEITI).

Chithyola Banda says: “In the 2025/26 financial year, the government will modernize the mineral licensing process by strengthening the web-based cadastral system.”

“This system will enhance accountability and reduce bureaucratic delays in issuing mining licenses and will make sure that mining companies are complying with environmental regulations, uphold human rights, and fulfil their tax obligations.”

The Minister also highlights that the government is now focusing on exploring high-value minerals crucial for green technologies. These include rare earth elements, lithium, and graphite.

“Increased efforts will be directed towards conducting geoscientific surveys and assessments in areas with high potential for critical minerals.”

Chithyola Baznda also says while recognizing the potential of artisanal miners, government has pledged to finalize the Artisanal and Small-scale Mining Policy in the 2025/2026 fiscal year.

“The policy aims to create an enabling framework for ASM activities, while also facilitating access to capital and modern technologies for small-scale miners,” he says.

The Minister also discloses that Malawi is working with the Commonwealth Secretariat (COMSEC) to revise the Petroleum Exploration and Production Act, in order to align it with international best practices. Plans are also in place to re-demarcate oil and gas blocs to optimize exploration and production potential.

Chithyola Banda also says government will conduct a comprehensive review of the Mines and Minerals Policy and develop new regulations under the Mines and Minerals Act.

He also says efforts are underway to revise the Explosives Act (1968) to strengthen oversight of explosives usage within the mining sector.

“Alongside the Act, the Explosives Regulations will also be drafted, addressing operational practices and safety protocols.”

The outlined reforms reflect a growing recognition by the Government of the mining sector’s role in Malawi’s long-term development agenda. If successfully implemented, the reforms could unlock significant economic opportunities, create jobs, and increase revenue generation from both large-scale and small-scale mining operations.

The Reserve Bank of Malawi (RBM), which is operating the gold structured market through its subsidiary Export Development Fund (EDF) is buying the precious mineral at a price higher than the price on the international gold market.

Mining & Trade Review has established that the Central Bank is buying gold at MK260, 000 per gram surpassing the international market price which is now at around US$100.24 equivalent to MK172,795 per gram on a rate of Mk1,727.38 to a dollar.

Commenting on the development, Coordinator for Chamber of Mines and Energy Grain Malunga opined that the decision by RBM is aimed at competing with the black market whose prices keep on escalating. Malunga said even though the target is to dominate the market, the central bank is at risk of losing more money in a move to curb illegal trading.

He said: “The RBM is trying to capture all the gold being produced in Malawi and is setting its price competing against the illegal market.”

“The negative impact is that the Bank will lose a lot of money while trying to curb illegal trading.”

MD for Maleta Gems and Jewelry, Percy Maleta said buying gold at that price has negative impact to the countries’ economy including inefficiencies in the economy and putting pressure on foreign exchange reserves.  

Maleta said: “Buying gold at a K260,000 premiums over international prices could lead to inflation, distort market dynamics, and strain the country's budget.”

“It may create inefficiencies in the economy and put pressure on foreign exchange reserves.”

ASM consultant Chikomeni Manda commented that RBM is likely make loses the time they will think of selling the gold. Manda said: “It is very surprising to see RBM offering the highest buying price of gold in the whole world.”

“I think they are doing this to compete with the black market buyers, who are buying the gold using the black market dollar exchange rate.”

“With such an abnormal price, it will be very impossible for RBM to make a profit out of the gold.”

In a separate interview, Mining Expert Ignatius Kamwanje however said RBM’s offer of high gold purchasing prices to ASMs is an encouragement to local miners to start taking mining as a serious business in return to increasing the Bank’s reserves. On the other hand, he feels that the decision would influence smuggling of gold from outside the country to be sold at RBM at a higher price.

  Kamwanje said: “The government is pegging highly possibly because they want to accumulate enough reserves by encouraging locals to mine and sell to RBM.”

“By doing so there is rampant gold mining, unfortunately others are still doing it illegally.”

“But the negative impact could arise from those who smuggle gold from outside the country to sell in Malawi leading to competition with locals and this externalizes the much-needed forex in one way or another leading to forex shortage.”

RBM, which also buys precious gemstones from ASMs, established the structured gold market in 2021 and has to date managed to purchase gold amounting to 293 kilograms valued at US$27 million which is about MK47 billion.  

The Ministry of Trade and Industry, in collaboration with institutions of higher learning and financial bodies, has rolled out initiatives aimed at equipping individual Artisanal and Small-scale Miners (ASM) and cooperatives with the necessary skills, technology, and funding to enable them process minerals locally before exporting.

In an interview with Mining and Trade Review, Director of Micro, Small and Medium Enterprises (MSMEs) in the Ministry of Trade and Industry Limbikani Kachiwaya explained that the Malawi Government has introduced programs to train the miners, provide processing equipment, and facilitate access to financing.

“We are determined to ensure that our minerals add more value to the economy before leaving the country,” Kachiwaya said.

He explained that at the heart of this initiative is the incubation program at the Small and Medium Enterprises Development Institute (SMEDI) center in Mponela. The facility provides training and access to value addition machinery, enabling miners to refine and enhance their raw materials.

“This program allows aspiring miners to gain hands-on experience with cutting and polishing techniques, among other skills,” he said.

To strengthen these efforts, the government has partnered with the Malawi University of Business and Applied Sciences (MUBAS) and the Malawi University of Science and Technology (MUST) to establish industrial parks that will double as incubation centers.

“Machinery from previous government programs has already been donated to these institutions, and an official Memorandum of Understanding (MoU) is set to be signed soon. The industrial park at MUBAS is nearing completion, with equipment installation at 99 percent, while work at MUST is ongoing,” he said.

In addition to training individual miners, the government has facilitated the formation of mining cooperatives, with 10 groups already receiving training in partnership with the Department of Mines in the Ministry of Mining.

“These cooperatives are expected to benefit from the expertise at MUBAS and MUST, ensuring they acquire the necessary skills to produce high-quality, market-ready mineral products. The training programs are scheduled to commence in this financial year,” Kachiwaya said.

To ensure that small-scale miners have the financial backing to transition from raw mineral extraction to value addition, the Ministry of Trade has engaged the National Economic Empowerment Fund (NEEF).

“The Ministry has successfully written a proposal to NEEF for a dedicated loan product tailored for mining cooperatives. Eligible groups can now access up to K250 million, with potential extensions up to K500 million for viable projects. This funding will allow cooperatives to acquire advanced processing machines from international suppliers and establish production lines capable of competing in both local and foreign markets,” he said.

Another key element of the government’s approach will be the formation of a union that will bring together primary cooperatives. This will enhance production capacity and ensure that locally processed minerals are produced in large quantities to penetrate international markets.

“Small-scale miners, when working individually, lack the capacity to scale up production. But by pooling resources under a union, they can operate at an industrial level and negotiate better prices on the global market,” Kachiwaya stated.

In a separate interview, Acting Director for Mines in the Ministry of Mining, Mphatso Chikoti explained that the Ministry of Mining developed the Mines and Minerals Policy (2013-under review) which, among others, promotes investment in downstream value-addition of minerals in the country—for instance, cutting and polishing of gemstones and production of jewellery.

He said that the Ministry has a Laboratory and Research Division, founded in 1981 alongside other divisions of the Department of Mines. This division was established to provide training to small-scale artisanal miners and mining cooperatives on how to use processing and refining equipment.

“Additionally, it delivers training to improve the quality of mined products. Training on mineral processing technologies and proper gemstone grading methods ensures an improvement in the quality of the final products,” Chikoti said.

He also stressed the need for formalization, noting that illegal mining remains a significant challenge to value addition efforts. Chikoti explained that illegal miners, often operating in remote areas, continue to use rudimentary methods that make it difficult to enforce quality standards and provide support.

“Illegal mining is one of the biggest setbacks to our sector’s growth. It undermines government efforts to ensure that minerals are properly processed before being sold. We are working on formalization programs to educate and integrate these miners into the legal system,” he said.

Chikoti said that the Ministry of Mining has been engaging stakeholders, including large-scale mining companies, to encourage responsible mining practices and investment in local processing facilities.

In a separate interview, Sovereign Services Managing Director Frank Eagar expressed support to the government’s push for value addition.

He said his company, which is developing the Kasiya Rutile-Graphite Project, believes that local processing will be a game-changer for the economy.

“Sovereign Metals sees great potential in developing value-added industries around our Kasiya Rutile-Graphite Project. Processing minerals within Malawi will not only create jobs but also maximize the revenue that stays in the country,” he said.

Eagar explained that once a mining licence is granted, his company will commit to align with national beneficiation goals. He hailed government support so far, particularly in processing approvals and easing bureaucratic problems through Technical Working Groups, saying it has been instrumental in facilitating Kasiya exploration activities.

Eagar said: “However, the lack of accredited laboratories for mineral sample testing, limited incentives such as tax holidays or waivers, and the country's ongoing foreign exchange constraints affecting fund repatriation may discourage investors,”

Eagar warned.  “Our current role is focused on exploration, but once we transition into mining, we expect value addition to naturally attract industries that use rutile and graphite. This could spur local industrialization and enhance the global competitiveness of Malawi’s mining sector.”

As Malawi continues to develop its mining sector, the focus remains on ensuring that mineral wealth translates into tangible economic benefits. By equipping miners with skills, providing financial support, and enforcing cooperative structures, the government is positioning the sector for sustainable growth.

Government has commended Sovereign Services for its commitment to responsible mining practices through the land rehabilitation efforts at its Kasiya Rutile Project exploration site.

During a recent visit to the Sovereign rehabilitation site, members of the Lilongwe District Council Special Planning Area Taskforce for the Kasiya Rutile Project observed firsthand the successful restoration of land previously used for a mining and rehabilitation trial.

During the tour, Deputy Commissioner for Physical Planning in the Ministry of Lands and a member of the taskforce, Phillimon Mkwezalamba, described the outcome as a benchmark for responsible resource development in Malawi as it transitioned from an open excavation pit back to productive agricultural land.

"We first came here to appreciate the rehabilitation site when it was dug. This time around, we have come to appreciate what they have done to bring back the soil to its original form and plant the different crops that are here.  The first word is it's truly amazing. It's amazing because we didn't expect to see things like this. When we hear about mining, [the perception often] is that people just open the soils and then once they have taken whatever they want, they just go," Mr Mkwezalamba stated.

He further explained the comprehensive nature of Sovereign’s rehabilitation, noting: "They have told us about the processes, how they have done it to make sure that the soil is back to usable levels; we have really seen it to say that indeed this is possible that after doing the open-cast mining... they are able to bring the soils back and then put them to use."

Mr Mkwezalamba highlighted the various techniques employed, including the planting of diverse crops, intercropping, the use of vetiver grass and bamboo for soil conservation, and the application of soil science to restore carbon levels and productivity, potentially making the land "even more [productive] than how it was in the first place."

He further addressed the distinction between current activities and future potential mining, stating that mining activities do go through various stages, and that the area has been going through exploration activities, and Sovereign Services has not been given the licence to mine, but a licence to explore.

“So, it means there is no way we can say they are mining, because they are not given that licence yet,” he continued.

He confirmed that the work involves taking small samples for testing to determine mineral quantity and quality, not large-scale extraction for commercial sale. Addressing potential concerns among local communities regarding land use, Mr Mkwezalamba emphasised the temporary nature of land disruption during exploration and mining phases.

"I think what I can say is that there is need for continued engagement with the farmers and the locals. There should be massive sensitisation; it will just be for a short period of time.,” he explained to local people.

He also pointed to thriving maize and other crops as evidence of the land's restored potential, which could lead to "bumper harvests" and improved local livelihoods through modern farming practices learned during the rehabilitation process, undertaken collaboratively with local landowners.

And Director of Planning and Development at the Lilongwe District Council and another taskforce member, Willard Chirwa, echoed these positive sentiments, saying: "We came here when there was an excavation; today we came to see the restoration. I'm very much impressed with what has been done here. Because the land has been restored in its former glory, and we have seen the immense bumper yield come out of it."

Mr Chirwa viewed the rehabilitation as exceeding expectations and highlighted the socio-economic benefits.

"The harvest that will come from this land will by far exceed the original harvest because of the new technology that is applied," he observed.

He further noted the project's value as a model, stating: "As a council, we are happy because it will be like a training lab for other people. This will be the standard."

He added that if implemented fully, the project promises a bright future for the Khongoni area, Lilongwe District, and Malawi as a whole. Both officials acknowledged the government's role in overseeing the process, ensuring legal compliance regarding land use planning and compensation, and coordinating between Sovereign, local chiefs, council offices, and the communities to safeguard livelihoods and ensure fair treatment.

The Kasiya Rutile Deposit is poised to become a cornerstone of Malawi’s economic development, creating employment opportunities and generating significant revenue for the country.

Sovereign Services is working closely with the Government of Malawi and local communities to ensure the project delivers lasting benefits, reinforcing its role as a catalyst for sustainable growth and community empowerment.

Local Artisanal and Small-Scale Miners (ASM) have formed an umbrella body to fight the common problems they face in the industry.

Percy Maleta, Managing Director for Maleta Gems and Jewels and PL Treasurers said the initiative was mooted because the ASM subsector plays a crucial role in economic development of the country.

He said: "The Artisanal and Small-Scale Mining subsector plays a critical role in development yet faces numerous challenges, including inadequate policy support, unsafe working conditions and limited access to markets and mining. To address these issues, the Mining Federation for ASM is being established as a unified voice for miners in gemstones, gold, quarrying, ceramics and other areas."

Maleta appealed to mining associations to seriously consider joining the federation to enable it advocate for the pressing issues.

He said: "We invite all legitimate mining associations to join the federation, unite with a strong voice and work together to create a sustainable, thriving ASM subsector. It is high time we changed and believed that together, we can make a difference.”

"The federation aims to create a strong, collective voice for ASM operators, advocating for better policies and access to the resources necessary for growth and development."

"This initiative seeks to bring together all legitimate associations and stakeholders, ensuring that ASMs needs are heard at national level and international levels."

Currently, ASMs are facing both local and international hitches with the Ministry of Mining imposing a 21-day ban to export some of the minerals such as gemstones and gold which has been extended to two months.

The imposing of tariffs by the US government on goods from selected countries worldwide, including Malawi, has also taken a toll on their trade.

Key Focus Areas

1. Advocacy and Policy: Championing favourable policies and legal frameworks for ASM

2. Capacity Building: Providing training on mining techniques, safety and sustainability

3. Access to Finance and Technology: Facilitating partnerships to support financing and technological advancements

4. Environmental Sustainability: Promoting responsible mining practices to reduce environmental impact

5. Market Access: Connecting miners to legitimate buyers and ensuring fair trade.

6. Health and Safety: Improving working conditions through better safety standards

7. Gender Equality and Inclusivity: Ensuring equal opportunities for Women and marginalised groups in the industry.