Mining in Africa: a legal overview

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The future is bright for mining in Africa. More than 30% of the world’s global mineral reserves are found in Africa, yet less than 5% of the total global mineral exploration and extraction budget is invested in the continent. The potential for a burgeoning mining industry across these two emerging regions is immense.

In Africa, infrastructure building is critical for the continued growth of the mining sector. Reports by leading global advisories suggest that African governments are at present unable to meet demand for key infrastructure including rail, ports and energy projects. In response, private participation and investment is being actively encouraged and sought after.

The opportunities for mining, resources and infrastructure companies are impressive, however there are also many obstacles, and governments, as part of the quest to diversify and capitalise upon their mineral rich countries, are realising the need for modern, open and transparent regulatory frameworks.

Many countries in Africa have either recently introduced or are working on new mining laws that seek to encourage investment. These are the first steps towards the formation of a world-class mining industry that has the potential to contribute significantly to economic growth and employment prospects in the region…

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