|Interesting to learn what the reasoning behind this is.
|If the Namibians are happy to issue a mining licence for hugely controversial offshore phosphate mining http://allafrica.com/stories/201610200176.html
. . . there is no reason why it can't issue NRRP's uncontroversial mining licence.|
|Finally, this August story in NEW ERA says that there appears to be even an argument around the 25-35% ownership and whether locals can 'afford the shares'.
Therefore it brings cheer to the fact that they are anticipating well off entrepreneurs to be able to get ahead and 'buy the shares' claiming locals cant.
So they then suggest giving shares to locals where the business is sited. Surely the company could offer shares in the business as part of wages even ?
Anyways below is the arguing that the bill will benefit rich Namibians because it does at least mention that the shares 'could' be bought.
How do we ensure that previously disadvantaged people that are now wealthy do not benefit again and again while the majority languish in poverty? This was the main question during the consultation meeting called to scrutinise the New Equitable Economic Empowerment Framework (NEEEF) draft Bill.
On Tuesday //Karas Regional Governor Lucia Basson and several regional leaders and inhabitants of the region gathered at the WK Rover Hall at Keetmanshoop to familiarise themselves with the draft Bill and make their inputs.
NEEEF’s primary aim is to bring about socio-economic transformation and to enhance equity, social justice and empowerment of the previously disadvantaged majority by integrating them into the economic mainstream.
But listening to Law Reform and Development Commission chairperson Yvonne Dausab as she unpacked the content of NEEEF, people were very concerned that wealthy black elites might find loopholes in the Bill and exploit it to enrich themselves even more.
They fear that if the law is not properly formulated, the same elites, who have already benefited from similar government interventions, would benefit even more.
Residents are also concerned that the previously disadvantaged people that the Bill aims to empower will not be reached, citing access to finance as a major obstacle for the poor to start or join any business venture and this might lead to established black entrepreneurs benefiting further at the expense of the poor.
“How do the most disadvantaged people – who don’t have the means to buy shares – benefit from this if they can’t afford it?” asked Lüderitz resident Ndignana Mukapuli.
Oranjemund Constituency Councillor Lazarus Nangolo said for the Bill to benefit the intended target group, the minimum 25 percent that must belong to previously disadvantaged people should be spread amongst several people and not given to any individual, so that more people benefit.
He also called for the ownership of these companies to be regionalised or localised to include shareholders from the area they operate in, saying this would ensure locals are economically empowered.
“If a company is from Keetmanshoop, at least some shares must be given to a person from that specific constituency, so that people from that area benefit too,” he argued.
Nicolaas Links, the regional manager of the National Chamber of Commerce and Industry, echoed the same sentiments, saying the Bill has no purpose if it does not benefit people in the region at grassroots level. He said if the Bill does not level the playing field, in view of the vast resources of the //Karas Region, it is a futile exercise.
“If people from the region are not benefiting then what’s the point of the Bill,” he asked. He also called for relevant agencies to be put in place to ensure success in the implementation of the proposed law, saying: “If there are no implementation and monitoring agencies then this Bill will just be another that will gather dust.”
Some residents also expressed frustration, saying they feel intentionally left out, indicating that oftentimes the people of //Karas are consulted, but when the laws are passed they do not benefit anyone in the region.
“If other people from other regions can benefit, why can’t we also benefit from these good bills?” asked Keetmanshoop Rural Constituency Councillor Elias! Kharuxab.
The LRDC is currently conducting broad-based regional consultative workshops on the implications of the NEEEF Bill. The LRDC was tasked with drafting of the Bill, whose stated purpose is to correct the economic inequalities that stem from past discriminatory laws and practices.""
|March 3rd from NEW ERA Newspaper :
This lot sound like the recently proposed 'Momentum Kids' which has been much parodied on Twitter over the last month.
Windhoek The SWAPO Party Youth League (SPYL) has suggested that government should increase the equity threshold level of ownership from 25 percent to 35 percent for Namibians, if the local owner is certified by the New Equitable Economic Empowerment Framework (NEEEF) Board as “a previously disadvantaged black person.”
I shouldnt laugh really but what else can you do ?
In the meantime some sort of high level guidance from business and government needs to come forthwith. We need to know how long that NRRP can wait until their licence application pending becomes untenable and so on.
|The article posted previously on this time-line mentioned that the President had disappeared off to USA around Sept 9 so he is due back around now. It mentioned where the President was flip-flopping and thats basically where I think we got too.
The President said one thing, allegedly panicked around FDI hostility, changed his tune a week later but then disappeared off on his 'free-trade' expedition to US.
The PM had said this :
""The chairperson of the Law Reform Development Commission (LRDC), Yvonne Dausab, tried to allay such fears by saying that the proposed law was not to prejudice anyone but to take all forward in the spirit of the Harambee Prosperity Plan. The former permanent secretary of the Office of the Prime Minister, Andrew Ndishishi, described the Bill as a “business partnership”, though he added that all-white male-owned businesses would have to comply with the new legislation whether they are doing business with the government or not.
Both Dausab and Ndishishi said the Bill is unassailable and will be passed.""
Specific info on the timing of the introduction into law doesnt now seem to be available so far, having an hour or two to look around and see what else there is on latest objections or comments on the NEEEF.
|August. Enough opposition to using NEEEF as a short term cash-cow. From CHURCH !
The Council of Churches in Namibia (CCN) says the New Equitable Economic Empowerment Framework (NEEEF) could undermine the roots of the Namibian economy.
The umbrella body called on President Hage Geingob to instead consider other avenues to bridge the inequality gap and not disturb the progress, peace and stability that have so far been maintained.
“The only voices that we Namibians are hearing on a daily basis are the claiming of rights, political egos and violence. We all need to fight for the common good while observing peace, hard work, respect and dignity for all,” the CCN said, adding that the country should not “throw away” the peace and love that makes the country a shining example in Africa.
NEEEF is a policy framework already adopted by Cabinet aimed at correcting economic inequalities created by past discriminatory laws and practices. It is the forerunner of the New Equitable Economic Empowerment Bill, which is meant to give the government the authority to put NEEEF’s policies into place. CCN, one of a handful of civil society organisations to comment on the policy so far, said the new empowerment framework and proposed law in the long run could deprive many people of their rights to take charge and maintain their hard-earned property.
“NEEEF has the potential of ‘slaughtering the cow’ that provides milk and other food just to have meat that is a one-off to enjoy. What will happen next?” the church federation questioned. It concluded that NEEEF would not help those already living in poverty, saying that it would instead benefit the middle class and those in charge of the administration of the proposed law. “Many people who are providing this country with needed resources will sell businesses or migrate to other countries,” it warned and said the private sector would not be eager to take in unskilled labour.
|This goes back to Feb 16 but I dont remember seeing it and adds some colour to the debate around what the NEEEF means.
A local businessman has criticised the two weeks allowed for public scrutiny and input on the New Equitable Economic Empowerment Framework (NEEEF) draft bill. The bill, which is available online, will remain open for scrutiny until February 25, allowing only two weeks for public consultation. Yesterday, Prime Minister Saara Kuugongelwa-Amadhila officiated at a public consultative meeting with the Law Reform and Development Commission. “It is absolute nonsense giving us two weeks to give our input while it took them 26 years to put together,” said businessman Desmond Amunyela. “It is not fair to those who will be beneficiaries of this NEEEF. This is nonsense and disrespectful to us. They must extend the time. More has to be done through consultations and two weeks are not enough,” he said. He then took issue with a suggested mandatory clause that would force businesses to give 25% of their shareholding to previously disadvantaged Namibians. “How do you allocate quotas to Namibians in their own country? Are we that inferior? Is this an acknowledgement of our inferiority? This is structurally and fundamentally wrong,” Amunyela said. “How do you accommodate someone like me who does not want a partnership? I like to build something from the start to the end. “I am not a NEEEF or BEE, I build the little that I have and my dream is to become an industrialist. I only have this one chance to do that and there cannot be a limit to what I can do,” he told the meeting. He recommended the “Dubai model” of economic empowerment, which he said put citizens first. Amunyela said he agreed with some sentiments of former Swapo minister Kazenambo Kazenambo, who recently objected to the mandatory 25% ownership provision in the bill. Kazenambo warned that the proposed law might be another gimmick that would benefit well-connected business people. Amunyela said: “The management thereof is going to be difficult. We all know that not everyone has access to information about opportunities, how will they hear about them now? “Do you think a businessperson from America who wishes to operate here would go to my brother in Mondesa? Of course not, he will Google and look for the well-connected and known.” He charged that the background of the will was based on political selfishness. “Our political system is selfish. There are probably politicians out there who think they would look good if they quickly finished this NEEEF thing. “There is a need for people to be engaged in robust consultations to make sure that it gets beyond any point of criticism once completed.” Amunyela added that the drafting of the bill should have been left to organisations such as the Namibian Chamber of Commerce and Industry (NCCI) and the Indigenous People’s Business Forum (IPBF). Amunyela further questioned how the NEEEF bill would monitor institutions such as banks with all their assets outside the country. “Many rent properties that they use and they repatriate their profits to South Africa. What will happen to them?” The NEEF Bill would supersede all other state transformation and empowerment policies and provide a framework which all private-sector initiatives must conform to. When she opened the meeting yesterday, Kuugongelwa-Amadhila said the draft had been in the public domain for a number of years and was debated at various public and government forums. “The NEEEF is designed to promote transformation in business through the six empowerment pillars,” she said. Those pillars included promoting ownership by previously disadvantaged Namibians and ensuring that the management of enterprises reflected the demographic, gender and employment equity requirements. She added that the bill would also seek to promote staff development in enterprises, provide scholarships in the areas of scarce skills and promote growth of new enterprises. The other pillars were to encourage corporate social investment in communities and to encourage local processing of natural resources, innovation, invention and technology. ELVIS MURARANGANDA
|If you Google Namibian Sun and NEEEF this is the latest column dated early October :
Government’s New Equitable Empowerment Framework (NEEEF) has been hotly debated in recent months, and has been classified by some as being too complicated. The primary purpose of NEEEF is to promote equitable, inclusive and shared economic development. One of the controversial empowerment pillars seeks to give blacks a tangible stake in mainstream businesses with a minimum requirement of 25% ownership. This, according to authorities, will help narrow income disparities between the haves and the have-nots leading up to Vision 2013 and beyond. The bill, however, has not been well received by many white-owned business people, with some already threatening to invest their cash in other countries. For many years government has struggled to come up with a respectable policy as far as black empowerment is concerned. We too agree that NEEEF is not perfect in its current form. However, there is not much time left to still grapple with a strategy for black empowerment considering blacks are still cut off from the mainstream economy. It is sad that those who are against NEEEF are primarily well-off whites who unfortunately don’t seem to give a damn as far as the mass upliftment of the black majority is concerned. Let us not turn a blind eye to the suffering of others. Yes, we totally agree that NEEEF should tackle significant redistributive measures in order to offer much hope for struggling Namibians rather than just empowering the already empowered. What is needed is a programme that is about redistribution of skills, resources and wealth. The authorities should never sell this NEEEF idea as a quick way to riches without too much effort. For NEEEF to succeed it must be done in an orderly manner and help level the playing field by drawing the black majority into all levels of the economy, including as employers and supervisors. It is high time that something is done to address past imbalances.
|Crunch this was a gut based on what I remembered from the contrasting stories in the Namibian Sun that we placed on here a while back.
I must have a look back to remind myself on specifics, either way there is nothing we can do. As you said they must be putting all sorts of pressure on through whichever channels. Someone somewhere must be pointing out that if no company is building or constructing mines, when it gets to a year or two there will be F all production ?
Maybe they dont care about smaller FDI as I think they are heavy on Chinese and Uranium and all that jazz.
Taking months over decision making in this area sounds bonkers, though look at domestic MPs here over large scale industrial infrastructure. EG Fracking and Heathrow or Gatwick and you name it.
I'll just vote Corbyn and let the state provide for me rather than risk my money in entrepreneurial private sector investments ! >:o(
Oh I forgot we are all doomed because we voted to leave the EU Commission and everyone in the UK is to be sent to Australia or something !!! LOL
|YT, hope you're right that this will be resolved by Xmas 2016 (ie. licence received).
The Namibian mining ministry has uploaded a new mining licence list dated 6 Oct on to its website. Not sure why it bothered 'cos they've only awarded one mining licence this year & that was back in February to a gold mine. Suppose it gave one of the mining ministry folk something to do.|
|and all that takes them about another year
No this matter should be resolved within timeframe of xmas 2016. Simply because the legislation is due to commence and the final consultation was around (Sept-Oct ish) and so on. The president being away for a month might have changed the timeline a bit.
No way is the company anticipating the NEEEF bill going into 2017 unless there is a very real continued hullabaloo about this. Considering NO project licence is seemingly being awarded at the moment I cannot imagine they will simply shut down new production for another year when their economy is supposedly in such disarray.
Namibia is making headlines as one of the few countries on Africa that are refusing to sign Anti-hunting and Anti Elephant shooting agreements, they were shown granting 'shoot an elephant for $100K' cos apparently it means local jobs, they also want to sell their stock piles of ivory against current world law.
If they are this desperate then they are in a really sorry state placing a big hole in future mine revenues whilst delaying all the companies over these pedants when a number were in fact satisfied with the reasonable demands of the ministry over representation of locals.
Adding on more money-grabbing was counter productive but who knows when matters meet politicians.
Unfortunately going forward in my investing life I will be very wary of any AIM company before it gets political go-ahead in any country to do absolutely anything !
Likewise if this is their only asset !
I have to respond on your post.
It might all seem odd, but the poster you refer to has had no bad intentions whatsoever.
His loss in NRR adds up to over 80k.
He has now sold out.
My loss is about 150K. I have not sold all but a lot. My confidence in the Board is nil. Mr Beddows was supposed to make a change. Who has seen him? Right.
Mr Beams seems genuine but is no league of the Greenstone's. And the Namibian Government is struggling to get some proper legislation done.
So what are we left with?
A hole in the ground.
And lots of my money is in it because I am daft and I thought it would make my pension go smoother.
Basically we all should have left the company and sold out when the Greenstone boys fired Mr Shali, the local miner. He indeed did not mine well, but he was a Namibian and family of the Minister of Mining at the time. We might have had that license there and then.
Now all we can do is wait and hope there will be an uplift one day, before the company is sold out to the large investor.
And yes, I was very hesitant to put some of my pittyfull remaining funds in the new hot share the poster recommended. But I did invest in it for a bit. It seems a better shot then NRR today.
Best of luck, MM|
|Such a shame as all we need is the License|
|If the government
1) enact the legislation
2) resolve the contradictions in the note of preparedness, and
3) finally grant the licence
and all that takes them about another year
it would seem that a period of absolute minimum expense, more or less mothballing, will be required.|
|More comment on ZINC should Namibia sort itself out ever.......
|Tobias Ellwood, MP for Bournemouth East, is Parlamentary Under Secretary of State in the Foreign and Commonwealth Office and the Minister for Middle East and Africa.
Is JB in contact with him? If not, why not?|
|I wonder if JB has tried using diplomatic channels to try & speed up the licence?|
26 September 2016
North River Resources plc / Ticker: NRRP / Index: AIM / Sector: Mining
26 September 2016
North River Resources plc
('North River' or 'the Company')
Interim Results for the six months ended 30 June 2016
North River Resources plc, the AIM quoted resource company focused on the Namib Lead-Zinc Project ('Namib Project') in Namibia, is pleased to provide its unaudited interim results for the six months ended 30 June 2016.
-- North River continued in its efforts to secure a mining licence for the Namib Project. A Notice of Preparedness to Grant the Mining Licence was received from the Namibian Ministry of Mines and Energy ("Ministry") in January 2016, setting out a process and timeline for agreement on newly introduced licence conditions, and a formal proposal to address these conditions was submitted to the Ministry in late April 2016. The Ministry is yet to respond to this proposal.
-- The 3,800 metre drill programme continued to progress in the first half of the year, with a number of drill holes showing significant mineralisation. Overall results, however, have been mixed, with drill holes not intersecting mineralization to the extent anticipated, indicating that achieving a significant increase in defined mineral resource will require further work to improve understanding of the structural complexity of the orebody at depth. Since 30 June 2016, the programmed drilling metres have been completed in early September, and next steps will be defined following completion and assessment of final assays.
-- A loss before taxation reported for the 6 months to 30 June 2016 of GBP1,302,437 (30 June 2015: loss of GBP1,377,787).
Post period end:
-- A successful share capital reorganisation and US$ 5.6 million financing, including an open offer and placing, were completed in July 2016, allowing the Company to redeem outstanding convertible loan notes to Greenstone Resources LP. The financing left the Company effectively debt free and with US$2.5 million in working capital to support project work programmes in the second half of the year.
-- New appointments to the Board of Directors of wholly owned Namibian company, Namibia Lead Zinc and Mining (Pty) Ltd ("NLZM"), were announced on 26 August 2016. The appointments of Asser Kapere, Ratonda Kajivikua and Francois du Plessis will greatly strengthen the NLZM Board in its efforts to advance the mining licence application and take the Namib Project forward to a construction decision. Mr Kapere has been appointed as Chairman of the Board of Directors of NLZM.
-- The Company now faces a critical period of assessment in determining the way forward for the Namib Project. In regards to this assessment we are cognisant of both the prolonged, ongoing uncertainty regarding timing and terms to be attached to the grant of a mining licence, and the results of the resource expansion drilling programme.
North River continued in the first half of 2016 to focus on advancing the Namib Lead Zinc Project in Namibia towards a construction decision. Against a backdrop of continued uncertainty surrounding the long outstanding mining licence application, the clear priorities in the period were to continue pushing for the grant of the licence, advancing the resource expansion drilling programme, and raising working capital to support these critical activities.
As shareholders are aware, a successful share capital reorganisation and US$ 5.6 million financing, including an open offer and placing, were completed in July 2016, allowing the Company to redeem outstanding convertible loan notes to Greenstone Resources LP and in so doing be left effectively debt free and with $2.5 million in working capital.
Regarding the Namib Project mining licence application, a Notice of Preparedness to Grant the Mining Licence was received from the Ministry in January 2016, setting out a process and timeline for agreement on newly introduced licence conditions. A formal proposal was submitted to the Ministry in late April 2016, addressing these conditions, by committing to: (i) providing an opportunity for local ownership of the Namib Project; (ii) participation by historically disadvantaged Namibians in the management of the Namib Project; and (iii) implementing a corporate social responsibility strategy.
As per the process set out in the Notice of Preparedness to Grant, the Ministry then had 30 days to review and respond to the Company on its proposal. The Ministry however informed NLZM on 2 June 2016, and then again on 3 August 2016, that it requires more time to review the submitted proposal. No revised date, or timeframe within which the Company can expect to receive a response, has been given by the Ministry. While the Company looks forward to continuing to work with the Ministry on agreeing the terms and conditions to the grant of the mining licence, the duration and outcome of these discussions remain uncertain and the final issue of the Mining Licence on commercially acceptable terms cannot be guaranteed.
The North River Board also continues to examine the implications of the Government of the Republic of Namibia's proposed introduction of broad based empowerment legislation. As previously announced, a first draft of the NEEEF Bill was published in February 2016 for a period of public consultation and can be found on the website of the Office of the Prime Minister (www.opm.gov.na/web/opm/neee-bill). Following an extended period of public consultation, a second draft of the NEEEF Bill is now under further review and stakeholder consultation. The second draft of the NEEEF Bill clarifies that the legislation would apply to both existing and new business but otherwise remains largely unchanged from the first draft. Indications from the Namibian Government suggest that this proposed legislation will go ahead and be enacted into law but timing remains uncertain. If enacted, the NEEEF Bill will set out obligations for companies, irrespective of sector, in respect of, inter alia, ownership and management participation by previously disadvantaged Namibians. Certain obligations under the draft Bill are inconsistent with those laid down under the terms & conditions to the Notice of Preparedness to Grant. The extent to which the NEEEF Bill would place additional obligations on the Namib Project remains unclear. It is an area on which the Company and Namibian mining industry as a whole will seek and need further clarity in due course.
The Company recently announced new appointments to the Board of Directors of wholly owned Namibian company, Namibia Lead Zinc and Mining (Pty) Ltd ("NLZM"). The appointments of Asser Kuveri Kapere, Ratonda Engelhardine Kajivikua and Francois du Plessis are aimed at strengthening the Board to support the Group's efforts to obtain the mining licence and take the Namib Project forward to a construction decision. Mr Kapere has been appointed as Chairman of NLZM.
North River is reporting a loss before taxation for the 6 months to 30 June 2016 of GBP1,302,437 (30 June 2015: loss of GBP1,377,787). The Company's cash position at the end of the period was GBP162,026 (30 June 2015: GBP602,093), before the net US$2.5 million working capital financing was completed in July 2016.
I would like to thank our shareholders for their continued support during what has been a difficult period for North River. The Company now faces a critical period of assessment in determining the way forward for the Namib Project. In regards to this assessment we are cognisant of both the prolonged, ongoing uncertainty regarding timing and terms to be attached to the grant of a mining licence, and the results of the resource expansion drilling programme.
26 September 2016|
|Thanks YT. All good information - but largely incidental while we wait endlessly in the hope of getting a bloody mining licence.
Speaking yesterday at the United Nations General Assembly in New York, Namibian President Hage Geingob was quoted as saying:
“We need to talk about inclusive growth that will translate into creation of decent job opportunities for our citizens. In other words, we must do more to move away from the current jobless growth model that prevails in many of our member countries and aim to grow our economy in a sustainable and inclusive manner in order to ensure that we effectively tackle the scourge of poverty.”
With this in mind, it absolutely beggars belief that a company like NRRP, offering the promise of employment to several hundred Namibians (as well as paying a sackful of tax to the local government), has already waited two and a half years for a licence, for no good reason, and is consequently in a desperate struggle to survive.
This was a country that was ranked 2nd in Africa and in the top 10 in the world for doing business. The sad reality is that it’s run by a bunch of incompetent bureaucrats and blighted by misguided trade unions who are obsessed with power to the locals, especially those of a particular skin colour.
If the proposed legislation goes ahead, businesses that can, will move elsewhere and the Namibian economy will be dead and buried; and all for the sake of enriching a small number of already successful black Namibians.|
|The main positives are below :
1. We know the project is economically favourable.
2. We know our main investor and the BOD are still confident and onboard.
3. We know we can get the licence and then have a profitable plant.
4. We know that ZINC is THE metal and that Silver is $20 & has positive profile.
5. Price of ZINC currently between $2100-2300.
6. We know we have the full plan with serious DFS to achieve serious metals production.
1. Haven't received the licence so cant be certain.
2. Billions of shares in issue that had to be consolidated.
3. No endgame still on licence or the rules.
4. Potential for "20percent for free" to NEEEF which seems a step too far for BOD.
5. Getting the remaining funding from sources EX-Greenstone.
Short term is A : getting the licence and B : it being on sensible terms.
Long term still is fact that confidence in financing isn't yet fully restored.
So whilst I agree that up till say Xmas I would group NRRP into complete basket cases, I would say that post Xmas, providing we havent expended too much in the way of cash... we would be well positioned to enhance value on any actual and full award.
I would also like to remind of :
1. ZINC still on upward trajectory and so is Silver.
2. We are supposed to be seeing more resource but perhaps slowed down on money and licence issues.
3. Lots of mainstream talk that China in particular are looking to invest in ZINC production outside of their country. Lots of mothballing of resources still being inacted which are helping the supply demand equation.
Finally there is a possible crackdown in dodgy capital spending particularly in shadow banking, this could be good or bad, the main thing in our favour is that it isn't a licence to print mine's money for unproductive Chinese sources of ZINC anymore.
I heard it mentioned that Chinese production was 'low hanging fruit' in the past and that it would be harder and more expensive to extract it down the line.
Just my take as we wait... ( and wait ) !
|Chablard, you might as well hold now, or at least only sell to offset some CGT, that's about the only thing NRRP are good for!|
|Oops my smiley face symbols came out as question marks. There's no chance of any happy signal here, feels appropriate! :(YT|