Govt slaps Xinfeng with criminal charges over illegal mining

Chinese-owned mining company Xinfeng is facing criminal charges over illegal mining in Namibia.

This comes after the Ministry of Mines and Energy took steps, including reporting a police case, against the company carrying out mining operations in the Uis area.

Xinfeng was exposed during an unannounced inspection by the Office of the Mining Commissioner on 16 November.

The visit established that the company was undertaking illegal mining using an exclusive prospecting licence (EPL) 8397 to mine for lithium instead of doing exploration work.

The executive management of Xinfeng admitted undertaking illegal mining activities in violation of the conditions of their exploration licence.

The mining commissioner ordered immediate cessation of all mining operations by the company in the EPL 8397 area.

“Furthermore, the executive management of Xinfeng was summoned to the ministry to account for what amounted to illegal mining activities by the company in the exploration area.

“At these engagement sessions, which were held on 4 and 5 December at the ministry offices, the directors of Xinfeng conceded to the undertaking of unauthorised mining activities relative to the scope and conditions of the exploration licence,” the ministry said in a statement, adding that illegal mining is subject to penalties.

According to the statement, the ministry has already invoked some of the penalty measures provided in terms of section three of the Minerals Act which deals with conducting unauthorised mining activities, pending the conclusion of investigations.

“The ministry is conducting a prompt inspection of the alleged activities at the site and will hold the executive management of Xinfeng Investment accountable for its action and inaction,” the statement reads.

The ministry also ordered the immediate cessation of all mining activities by Xinfeng Investment and will continue monitoring the company’s activities closely.

“The ministry opened a police case for the observed illegal mining activities, and will collaborate with law enforcement authorities for proportionate investigation on the unauthorised activities,” said the ministry.

The ministry urged members of the public to allow the ongoing investigations to conclude but encouraged reporting of any similar abuses perpetrated by those granted mineral and energy resources rights.

Last week, prosecutor general Martha Imalwa said her office has sent the docket of a bribery case involving N$50 million by Xinfeng back to the police for further investigation.

This after the company allegedly paid a N$50-million bribe to secure access to a lithium mining concession previously held by Karlowa Mining Enterprises.

According to Imalwa, the case involves a prosecution-guided investigation.

“The docket was sent to our office for that purpose, but was sent back to the investigation officer to carry out further investigations in the matter. My office has no power to arrest,” she said.

The investigation into the matter is being handled by the Anti-Corruption Commission (ACC).

ACC director general Paulus Noa says the case is under active investigation and thus declined to provide details.

“There is an investigation into the matter.

Unfortunately, we are unable to share the finer details,” he says.

The controversy led to the resignation of Ralph Muyamba, a former technical adviser to minister of mines and energy Tom Alweendo.

Muyamba stepped down in 2023 after the allegations became public.