To Monica Moyo, the uncertainty surrounding the Kanyika Niobium Mine in Mzimba District is not simply about when mining will begin or how much compensation affected households will receive.
It is about whether she should prepare her fields for the next growing season.
“We can’t prepare the fields or plant because we don’t know whether we would still be here during the growing season,” she said.
Moyo’s concerns were raised before Globe Metals and Mining Limited announced the completion of compensation payments to 203 households affected by the project’s first phase.
The company says it has disbursed K2.42 billion in direct compensation under a K3.09 billion resettlement programme, giving affected households three months to relocate.
But the payments bring another question into focus: whether families can acquire suitable replacement land and rebuild their livelihoods.
Compensation raises questions over livelihoods
Moyo, who is Kamnafu vice-chairperson, said her family stood to lose about 25 acres, including land allocated to her children.
“We cannot move because we need that compensation to look for other pieces of land. I have lost about 25 acres, including the land I distributed to my children,” she said.
Moyo cited valuations of about K300 000 per acre for uncultivated land and K500 000 for farmland, although the basis of those figures remains unconfirmed.
Senior group village head Mberewere Ngwenya, who said he was offered about K3.8 million for two and a half acres, questioned whether affected households could secure replacement land and resume cultivation within the relocation period, which expires in December.
His concerns also extend beyond financial compensation to the potential disruption of cultural identities, community relationships and children’s education.
“I am a Ngoni who speaks Chitumbuka; what happens to my children when they have to go to school in an area that speak Sena?” he queried.
Ngwenya also questioned whether replacement land would have soil conditions suitable for the crops households currently cultivate.
Globe Metals and Mining said its compensation assessment involved a census, individual asset verification and a market survey conducted by an accredited valuer.
The mining firm said the Ministry of Lands reviewed the proposed rates, including adjustments to land and tree valuations.
However, its announcement did not disclose the approved per-acre rates. The Nation sought clarification from the ministry on the valuation methodology and land transfers, but had not received a response.
Globe promises support after relocation
Globe Metals said compensation payments to all 203 Phase 1 affected households had been completed, with funds deposited directly into individual bank accounts.
The company also confirmed the withdrawal and discontinuance in September of long-standing High Court proceedings brought by community members against its Malawian subsidiary and the Attorney General.
It said the resettlement programme includes agricultural and transitional assistance to help affected households re-establish their livelihoods.
Globe Metals interim chief executive and chief financial officer Charles Altshuler said the company recognises the significance of relocation for affected families.
“Our support extends beyond compensation, with livelihood restoration measures including seeds, fertiliser and other assistance to help families re-establish their farming activities and sources of income following relocation,” he said.
The company said its assessment and verification process involved government authorities, independent specialists and community representatives, with reference to
Malawian law and international standards.
However, the announcement does not establish whether affected households have secured suitable replacement land or whether the promised assistance has restored their livelihoods.
Communities await mining development benefits
Despite the relocation concerns, traditional leaders remain optimistic that mining could help address long-standing infrastructure challenges.
Group village head Aaron Nhlane said communities expect revenue from the project to support improvements in roads, electricity and water supply.
“We intend to use the money to develop our road, energy and water infrastructure,” he said.
Nhlane said residents depend on the Milere River, whose water supply becomes unreliable during dry spells.
“The funds from the CDA would help address these concerns,” he said.
These expectations are anchored partly in a Community Development Agreement (CDA) signed between Globe Metals and affected communities, providing for the establishment of the Kanyika Mine Development Trust.
Under the agreement and Malawian mining law, the company is required to contribute 0.45 percent of annual gross sales to the trust, subject to the applicable conditions.
However, with commercial mineral production yet to begin, the anticipated revenue is not immediately available to finance community projects.
Mining expert and former former minister of Energy and Mining Grain Malunga said CDAs provide a legally binding mechanism for ensuring communities benefit from large-scale mining.
“The CDAs are legally binding. They [large-scale mining companies] should sign them,” he said.
Oversight remains a concern
Natural Resources Justice Network national coordinator Kennedy Rashid said Malawi has established a progressive legal framework for community benefits, but implementation remains a challenge.
“The legal framework is progressive, but the operational and institutional systems required to implement and enforce CDAs remain underdeveloped,” he said.
Rashid cited weaknesses in monitoring, transparency, accountability and community capacity.
At Kanyika, Ngwenya said the proposed governance arrangements linking village and area development structures to a steering committee and trustees were not yet fully operational.
He said the steering committee had not been established, raising questions about how communities would influence development priorities.
The signed CDA provides for a development trust, with detailed governance arrangements addressed separately through a Trust Deed.
For affected households, however, the more immediate test is whether compensation and relocation support can restore the livelihoods disrupted by mining development.
For Moyo, the promise of future prosperity must ultimately be measured against something more immediate: the ability to cultivate land and provide for her family.
