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Kanyika locals demand answers

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Bande: Communities will be engaged for their input
Bande: Communities will be engaged for their input

Battle lines have been drawn between communities around Kanyika in Mzimba and Globe Metals & Mining over what locals believe is lack of transparency in the way crucial issues are being handled.

One of the locals’ grievances is that since the company began exploration operations for niobium in the area seven years ago, it is yet to pay them compensation.

But government has assured the communities that it is handling discussions with the company in a manner that does not compromise the people’s welfare.

Also at issue is whether local people will receive their compensation in dollars or kwacha as well as the status of the development agreement between government and the firm.

People such as Kawaghe Nkhoma, a village head in the area, also say they need to know when they will be relocated, what government is doing about the environmental impact assessment and the mining company’s commitment to corporate social responsibility.

“We suspect some shady dealings. There is no safety for us. There is no transparency and community involvement from the beginning. People do not know the merits and demerits of the mine,” said Nkhoma.

Senior Chief Mabulabo supported the locals’ assertions that there is lack of information on the operations of the mine, but blamed chiefs in the area for not briefing their people on what is happening.

The Church and Society of the Livingstonia CCAP Synod, which is running an advocacy campaign for an inclusive, transparent and accountable extractive industry, also sided with the communities on the issues.

“At Kanyika, community leaders complained that there was inadequate consultation and negligible community participation in the mining area,” said projects officer Park Muhonda.

He  said people in the area also complained about insufficient and irregular compensation for loss of land and livelihoods.

Director of planning and development at Mzimba District Council Humphrey Gondwe said an interface meeting between government officials and community leaders was held in the district on July 8 2013.

Gondwe said locals will receive their K60 000 (US$173) compensation in dollars as originally agreed. He also said each person will receive K200 000 (US$579) as compensation for land.

Gondwe admitted that the compensation has delayed, but said it was because government and the mining company have not finalised the development agreement.

According to a statement released on Globe Metals & Mining website, the results of the definitive feasibility study (DFS) on its Kanyika Niobium Project has delayed due to ongoing discussion with government on the development agreement.

Minister of Mining John Bande on Friday said discussions are almost through and communities would be engaged for their input.

Once operational, the Kanyika Niobium Mine will be the first of its kind in Africa, but the fourth in the world after two other mines in Brazil and one in Canada.

With a projected lifespan of 20 years and an annual output of 3 000 metric tonnes of niobium metal, the mine is expected to rake in $180 million (about K50 billion) a year in revenues and will employ 2 000 people.

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One Comment

  1. Bande, say the truth. Govt. and Globe have failed to reach an agreement. The issue is on royalty. Government wants a 5% and 30% shareholding which Globe is refusing.

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